Sunday, December 17, 2023

2024 US stock trading strategy...short term vs long term...

 As we are looking into 2024 we need to plan NOW...

In 2023 we have only 9 trading days left....

Performance is staring @ us....mostly good.....

Past is NO guarantee for future performance

What worked so well in 2023 with benefit of hindsight or Monday morning quarter backing, answers are so obvious....

BUT 2024 is a different ball game....yesterday's performance have little relevance

None of us knows what will work....

This where " deep analysis " and looking into future trends helps

Future trend is telling us the following obvious ones :

- Interest rates are coming down and Fed will cut in spring or earlier based on market forces

- Mighty inflation is coming down as economy is forcing everyone to sharpen their spending habits

- AI is into everything / everywhere....who will gain the-most or optimize the-most will keep winning.

- Housing / Homebuilders are direct beneficiaries of lower rates.

- Lower Interest rate will benefit consumer & economy @ large, more disposable income....

SO IF we narrow down to given trend which I have highlighted, many stocks will jump in your mind....BUT BUT NOT SO FAST....

Analyze PE for long term strategy & look @ RSI for short term trading....

A mix of both short & long term portfolio should work the-best

Some other themes have developed in the meantime, It IS oil prices which has crashed, It has nowhere but to go UP UP UP.....

SO...do your own thinking / strategy and create a portfolio which makes sense to your Investing / Trading style.

Good luck with closing 9 day's of 2023......

BLOG does NOT give buy or sell.

Saleem

2 comments:

stocktrader_1996 said...

Hi Saleem,

Last week: +3.14% (YTD: +102.08%)
Portfolio Leaders: LYFT TYGO PSNL
Portfolio Laggards: HIMS

The week was disappointing despite the gains as a premature move on Wednesday cost the portfolio significant performance (nearly 5%). It is always difficult to know exactly the right moves, and my plan to sell any Fed-related pop on "known" factors turned out to be too pessimistic given how much of a pivot the Fed made. Nonetheless, I continue on and the great year is hardly tarnished - it just stings for now. The year is nearly over now with holidays approaching and I'm not sure we'll see any big moves, so it's important to start looking for 2024 winners as you mentioned. I will be thinking more about that in coming days, especially as I have a decent cash pile now.

Holdings: SOXS(x2) LYFT HIMS AGCO PSNL ZENV(x0.5) TYGO(x0.5), cash 29%

Stocktrader

Stocks100 said...


Hi Stocktrader,

Last week UP 4.04%

YTD UP 99.64%

Saleem