How to not be caught by market manipulation
Why Does GM Stock Still Have Value? – WSJ.com.
Despite the link name, the article linked above is titled “How Traders Killed Value Investing”. The piece is an interesting read on how the big money traders manipulate the prices of securities. A quote:
For the long-term investor, whether you’re investing for retirement or simply betting on a company’s potential success, the payoff is suddenly in play — every stock is a potential target of forces outside of the traditional movers.
Over the last year I have watched a stock market that one day was betting on $200 oil fertilizing the world at $1,000 per ton to, only a few months later, driving the stock prices of good companies down to levels I have not seen in 30 years of stock market interest. My frustration reached such a level that I stopped writing regular posts for this blog. Of course, I stopped just about the same time the market hit its most recent bottom and has rebounded 40% since.
I continue to read articles concerning the current speculative nature of the market. I want to put out information that will help investors make money, this is not a trading site for those trying to make a quick buck. In the continuing evolution of this site, I have decided to focus primarily on dividend paying stocks. It is much harder for the market pushers to manipulate a distribution away from an investor. I also want to pursue ways to give some downside protection to a stock portfolio and look at covered call selling to enhance income.
The website I picked to show model portfolios has not worked out well so I am working an a new portfolio tracking system to help track what I am writing about. I will also be using some of the information from my other site: The Shipping Stocks Blog, to find good, income paying investments.
I plan to get the new portfolio up and running by 1 July. Until then check back in for what I hope will be some interesting and useful investing with a focus on income stocks.
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