At the end of every year, stock market prognosticators make predictions on what they believe the market is going to do next year. They even go as far as to give a price target they think the market will reach.
At the time of this writing the S&P 500, which is an index of the top 500 companies that are publicly traded, was up 19.45% in 2017.
So…how will the market perform in 2018?
My prediction is that the market will be up! I can’t tell you by how much because it’s impossible to know. What I do know is that over the past 50 years, the stock market has gone up more than it’s gone down.
I also believe that the next 25 years will be better than the previous 25! That’s why you have to make 2018 the year you get in the stock market, if you’re not already!
If you don’t know where to start, The Stock Market is for Everyone is an introductory guide I wrote to help beginners get started. It can be purchased on Amazon!
I wish you wealth and prosperity in 2018!
My book, The Stock Market is For Everyone, is a short guide for the beginning, inexperienced investor that is easy to understand and can be put into action immediately.
Right now the entire planet is captivated by bitcoin and other cryptocurrencies. The evolution of digital currency is one of the most exciting technological advancements since the Internet.
The number of average Joes interested in buying digital currencies is remarkable. I’ve followed stocks for over 20 years and there are people I’ve known in that time period that have never asked me one question about investing in stocks. However…these same people, people who have never invested before in their lives, are now suddenly asking me about bitcoin!
Here is what I have to say:
There is no doubt in my mind that digital currencies should be a very small percentage of your portfolio. What percentage depends upon you and your risk tolerance.
Now let’s talk about “crypto stocks”. I put this term in quotes for a reason!!!
Over the past two weeks there have been several small companies that have made announcements claiming that they are in some way, shape or form involved in blockchain technology. The price moves in these stocks have been absolutely insane!
What companies are often doing is attaching words like “crypto” or “blockchain” to their names in an effort to get their stock price to significantly increase. Here are some examples:
This past October, Bioptix, a biotechnology company, changed its name to Riot Blockchain and its focus to cryptocurrency. Its stock went from $5.50 in November to a high of $46.20 over a two-week period. It is now under $25.00.
Digital Power Corporation was trading at around $.80. In August of 2017, they announced that they would become a blockchain company. Their stock shot up to $5.95.
Longfin Corporation, which went public last week, announced that they were buying a small company involved in cryptocurrencies. Their stock went from $4.69 to $142.00 in a matter of days.
The cryptic Crypto Company (I am not even sure what they do!) saw their stock go from $3.30 to $642.00 a share before the Securities and Exchange Commission (SEC) halted trading in order to investigate the company.
Omni Global Technologies changed its name to Blockchain Industries Inc. Its stock price soared from $.01 to around $30.00! Crazy.
Net Element, a mobile payment processing company, went from $2.56 to $33.51 after announcing its move into the cryptocurrency space.
My personal favorite? A company called Long Island Iced Tea…which, as the name would suggest, sells iced tea. Yesterday they made an annoucement that they would explore investments in blockchain technology – and, by the way, change their corporate name to Long Island Blockchain. Their stock went from $2.50 to $9.50 in one morning. However, it went down over the course of the day and sunk even lower today.
Ladies and gentlemen: I wouldn’t invest in a single one of these companies, even with play money! Again, these companies are literally adding the words “crypto” and “blockchain” to their names and oftentimes not doing much else beyond that!
Be aware, folks, that this is only the beginning. There will be much more crypto-shadiness to come. Unfortunately, manias like bitcoin attract fraudsters. So be careful and buyer beware!
If you have money to invest, the stock market is a MUCH SAFER PLACE than cryptocurrency. Check out my $3.99 ebook, The Stock Market is for Everyone , to learn more about the power of the stock market to generate wealth for you over a lifetime!
I welcome all of your comments, be they in agreement with me or otherwise. Until next time!
My book, The Stock Market is For Everyone, is a short guide for the beginning, inexperienced investor that is easy to understand and can be put into action immediately.
