Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Dividend investing for retirement -- Ignore unavailable to you. Want to Upgrade?

To: Ditchdigger who wrote (30325)	1/9/2019 10:30:55 AM
From: robert b furman	Read Replies (3) \| Respond to of 34328

HI Ditch, Yes the quietness shows fear. Fear is to be expected with the past bouts of volatility to the downside we experienced last month. That quiets us "perma bears" who invest long term vs. speculate on short term swings. Lots of bears who called this roll over in the overbought top are getting mouthy and making more posts than when the market was climbing higher. I think we've wrapped up the down side - there is a possibility of a retest, if so I'll be buying the dip. Throughout this decline - I sold out of Ford and bought into XOM. Xom took a dip from 95 ( July 2016) to 65 (12/26) a 31.57 % decline. That sale took away my tax bill for 2018, but I'm really feeling good about XOM. XOM is now the largest driller in the Permian. XOM has also bought into 25% ownership of one of KMI new 42 inch 400 mile pipeline that takes light crude to Houston ship channel for export and or more importantly feeds their three new big petrochemical plants in Mount Belview. Electric cars may well reduce the need for gasoline in urban areas. My four dealerships that I used to own, I can guarantee you are selling full size trucks and SUV's and can not give a way a small gasoline car. Chrysler was smart to drop the Dart over two years ago. Ford slashed their car models to 2 models Mustang and Fusions. Gm as usual is coming late to the party by slashing their small car entries. An automatic small car transaxle plant is a bad place to be working. A small electric car drivetrain is a good place to be working - just the world transitioning to urban electric cars and scooters. I'm over exposed to the semi sector - have been for the last 41 years. If I had to buy a stock to get into the semi's, I'd look long and hard at the three best : AMAT, LRCZ, KLAC. Memory slowing down has hurt Lrcx, but the advanced memory designs are so fast and hard to make I think the big three memory makers will still prosper, MU, Samsung, and SK Hynix. I only buy US, so MU is one to look at. Qualcom has been beat up with bad news, but you know what - they build the best RF radio's in the world, and my bet is they will continue to do so.They pay a nice 62 cent quarterly dividend at 57.00 it yields 4.35%. I'd like to add Qcom to my positions in the next year. As we switch from smartphones to OLED foldable phones the need for both tablets AND phones will morph into just one nice foldable device. That one nice device will need to have a very fast rf radio to display streaming data (on a screen twice the size of a smartphone) much more enjoyable. Speaking of streaming data, T has risen to the top with their Time Warner, vs Verizon's errant bet on AOL and advertising direction. T was beaten up when they bought Direct TV back in 2015, and they have been beaten up even worse with their long battle with the DOJ and now appealed. This to will go away and give T the cash flow to weather the long upgrade to 5G - which will make data streaming ubiquitous. T's $2.04 dividend is yielding 6.7%,and will be working down debt in 2019, and easily set themselves up for the usual one cent per quarter well into the future. Wireless phones are not going away in our life times. Well heck - I just mentally spent your 11% cash and went to full blown margin! See how easy it is to spend other people's money? If you've got cash right now - it's a great time to buy some excellent companies - all on a blue light special discounted sale price. Most importantly - they all pay a nice dividend. If this market is to go down, I want to have a nice dividend revenue stream such that I can keep adding to the ownership of great stocks at cheaper prices. That's how I plan to give myself a pay raise into the future. 13 months ago I sold T puts on 30's 33's and 35's - I like to get them all assigned next week friday. I'm loving the yield. Having cash is a great position to be in - it gives one the correct attitude to weather a downturn like we've just seen. Happy investing with your cash - or you could turn into silver dollars and enjoy playing with it every day. <smile> Investing it and making it grow is much more challenging and fun in my humble opinion. Best of trades Ditch! Bob

To: Ditchdigger who wrote (30325)	1/9/2019 7:58:44 PM
From: JimisJim	2 Recommendations Recommended By Bob Bosco Ditchdigger Read Replies (2) \| Respond to of 34328

All msg. boards everywhere experience the empty echo chambers when the market is declining and when traders have essentially locked in their losses as they bail out of the market and go to cash -- not talking about 10% or even 20% of one's combined PF's cash holdings, which is quite appropriate for swing traders... but people on average seem to bail from stocks and go mostly to cash when market share prices are at, or on the way to the next bottom... and then wait too long during trend reversing to the upside because they are afraid the recovery isn't real... most (ignorant) people sell low and buy high... My brother's (recently departed) mother-in-law is a classic example... my brother, in helping to figure out her financial positions discovered that she'd sold all of her stock in late 2009 and kept it all in her checking account for the rest of her life... even my brother was astonished when he saw all of her statements, etc. and my brother never takes part in his own investing, instead having a "wealth" management person do all the buying/selling... my brother's only involvement is calling that guy up and asking for more money, and/or asking if he can afford a trip, or big item purchase... I actually heard his side of the conversation minutes before he was going to deposit the down payment (about half of total compensation, a land contract stipulates the rest of the terms) on buying out my half of the old cottage, and my one third interest in some SW Ohio farmland... I could never sleep well if someone else were "in charge" of my liquid assets... even a fiduciary won't care about my money more than I do.