Using Morningstar to Calculate Fundamental Value and VIX Coming Down
I did two videos last night on the correction of stock markets. The truth is, we cannot buy at the bottom each time. In the short term, the stock market is a voting machine. In the longer term, it is a weighing machine. I will stick to stocks and sectors where the fundamental values are below their intrinsic values.
This blog post is purely for financial education, not financial advice.
https://www.youtube.com/watch?v=qkW3GeuPz98&t=475s
https://www.youtube.com/watch?v=YHgQtXf9ldk
The VIX is coming down gradually, but the rate of infection rates is rising, and death rates on a daily basis has plateaued. The virus is still around and I'll stick to tech stocks for now. I feel that as long as a cure hasn't been found, a vaccine not found, old economy stocks will find it harder to recover.
The S&P500 is by no means very expensive. It's divided into tech stocks that are very high in PE, oil & gas, banking stocks in cheap territory.
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