ASX200 (XJO) 7000 here I come....

Not being one that focusse's too much on the negative but this time with the knock on effect all around the world maybe by the end of this week 7000 will be history..

 

ASX XJO 6851 all time high Dec 2006
let see what final closing auction result going to be at 4:10pm

at 4pm it closes at 6859, nice flush right on auction day end
auction close 6849, 10 points down from market close

 

it not all time high well not according to the future market, a couple weeks ago in late November future market push it to 6904 during the night when our market wasn't open, so people are bullish even back then so I think she will retest that level during our market trading hour at some stage this month

 

Looks like it's going to be this week..

 

Not that I'm happy as an accumulator though; I'll be paying more

 

U.S. exports to China to nearly double in 'totally done' trade deal: Lighthizer

Just have to wait and see what impact something like this has once the US markets open tonight and the flow through tomorrow on the ASX..

 

Well...key in this article for me is the title is totally at odds with the content!
For those who dont read the whole article here it is.
The final word is this:

 

Up, you don't need a crystal ball to know the market always has and always will eventually go up. Just like the sun it goes down but you can bet in the darkest of night it will come up again.

 

Yes the unknown factors will always be there i guess..I watched the US vs the English pound and the Dow till the sun came up this morning and the way several high end UK listed bank have been shorted over the past month ...
Much the same as the 300th Anniversary that will surface in investing history early net year..
Breakingviews - Chancellor: A 300-year bubble worth remembering
Quote..
It’s possible to calculate precisely how irrational Newton and his contemporaries became during 1720. Since England was then at war with Spain, the Company’s South American trading monopoly was basically worthless. Its entire income derived from the fixed interest payments it was set to receive from holding government debt. A highly numerate parliamentarian, Archibald Hutcheson, published a pamphlet in June 1720 arguing that the stock could not possibly be worth more than 200 pounds – just one-fifth of its peak value and roughly the level to which the shares subsequently fell. Some shrewd investors didn’t lose their heads. Bookseller Thomas Guy sold his entire South Sea holding at an average price of 416, and later used his enormous profits to establish the London hospital that still bears his name. Guy also shorted South Sea stock.

 

You're likely to be right but I wouldn't know to be honest.

From the little I know however, the ASX Accumulation Index was around 36,000 12 years ago and now in the mid-75k's so there is some slight offset for the doldrums there.

 

This!

Total return/total cost is so significant.
I know two parts of f-all, but total is what counts as an investment hence the more than double the accumulation index is from 12 years prior with the gfc in there to spice things up. This means that your investment has doubled even though the price is where we are 12 years ago thanks to dividends.
It is total cost/total return (TCTR) that in my opinion makes shares such an attractive option as an investment in comparison to property (minus leverage)

 

Satay--King , yes that would be in the range from 12 years ago give or take a week or so not that i'm any good with numbers above ten..

Things that sounded impossible back then when the death knell was sounded while looking at business records from then to now price wise x div's payments that some i've held for 25 years the one inescapable truth that always burns deep when one has long existing views it can be both a cash generative business and a high capital gain business all in one worry free and the weather does not affect them..

 

As you imply @willair, time is a factor but we tend to forget it is.

 

I asked if this was possible many moons ago but never got any response. Too hard basket? It most certainly would be for me!

You know twice as much as I do in that case.

 

That's all that matters as most of the up-swings are precipitated by actions and events over the past 12 years some with a degree of Darkness..
Was sitting around the dinner table when one of our daughters asked when CBA was just below 93 dollars several years ago and buying ..I just said yes time not important just borrow 80 percent buy 1000 then drp and let it compound ..I know that holding went back into the mid and below the 65 bucks range but the dpr just kept being a builder ,not a destroyer ..I think it's back to the entry level value now and above now rather then others that have become relic's of investing history and that list is long and the same 35 years ago..

 

The losses can compound with DRP you get hit with a double whammy. As the share price falls so does the value of the dividends. After tax you could get hit with a triple whammy. As has happened with AMP you could pay tax on $6 share when it drops to $2 you your tax rate has effectively tripled and your dividend worth 70% less.

 

It's taken a long time ,and people who sold off in both 2008-2009 and 2016-2017 would now be thinking why..