Fickle days during my first recession
It's been an interesting ride the last couple of days. Back in December when my colleagues' financial advisers were selling of shares left and right, I took heed and dumped about 20% of my assets in money market accounts. Suppose I should have gone all the way, but that's a bit steep IMHO as I've ridden out all the prior technical corrections since I started investing in 2002 like a good armchair investor.
Looking back, however, those rules change when you're in a legitimate recession, as opposed to a technical correction or cyclical trend. I never rode out the 2001 recession, so I never had the emotional experience of getting seriously shellacked. Looking at the telltale recessions signs, this one was actually quite easy to call, after the fact. Plenty of information out there from the investment houses, and even I caught the drift. I simply didn't realize the scope of the snowfall. I was, in fact, a bit overly steadfast.
I'm calling a bottom once we stay below 11,000 for more than 3 days. Then I'm going back, all in.