Rich life
2024-12-20

Buy the dip or sell the stock after FED decision?

If you believe the market will recover over time and you’re investing for the long term, buying during a dip can be a good opportunity to acquire stocks at a discount.

Look for stocks or sectors with strong fundamentals that are undervalued due to market panic, not because of underlying issues.

If your focus is short-term, consider cutting losses if the downturn is likely to continue or if a key support level break.

If the drop is due to Federal Reserve interest rate hikes, higher rates often pressure stocks, especially high-growth ones, as borrowing costs rise.

Do you have enough cash on opportunities without overextending yourself? Rate hikes may affect certain sectors (like tech or real estate) more than others. Defensive sectors (e.g., utilities or consumer staples) might perform better.

If you’re unsure, consider  strategy with your long-term goals.

Alphabet & Amazon Cloud Miss: How to Trade After Earnings?
Alphabet’s Q4 earnings missed expectations. Revenue slightly below estimates, but core search-ad business outperformed. Cloud revenue growth also missed. Capital spending forecasted at $75B for 2025, much higher than expected, raising concerns amid rising competition. Amazon posted sales in last year's final quarter that topped Wall Street estimates, but investors initially drove shares down due to weakness in the cloud computing unit and a lower-than-expected revenue guidance. Amazon's upcoming earnings will focus on AWS performance. How to trade after earnings miss?
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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