"Use your emotions for sports, not for the investments you make" by: John Sample

   I thought I should take the time to explain last week’s column a bit further. I did stipulate that we had nowhere to go but up.  
   I meant that in the long term sense, as you are aware that last week the Dow dropped 170 points. My method of investing is always geared toward the long term.  
   That would make the end of this year short for me.  
   There will be all sorts of movements up and down. Of late, we see triple-digit moves up and down within the same trading day.  
   It seems to me that the earnings reports for many large capitalized companies will be higher than expected, driving the equity indexes higher in general. 
   That is not to say that daily, it seems, news out of Washington D.C. puts a shadow over the financial markets. I am glad that the news cycle has dropped to less than 10 seconds.  
   It should be noted that the Standard & Poor’s 500 stock-index is down over 2 percent for the year, but that we are up over 10 percent from this point last year.  
   All the news, however, is not negative. I know you find that hard to believe.  
   The Chinese President indicated that there may not be in fact a trade war and NAFTA talks are progressing. Unfortunately, you have the Justice Department raiding the President’s attorney’s office and Syria is a constant source of trouble.  
   All I am trying to do today is to remind you that investing my way takes time and more than a bit of patience.  
   That does not mean sticking ones head in the sand. It does mean waiting for value. Some would suggest that the recent troubles Facebook is undergoing is just such a moment.   
   While it would not meet my criteria as value, it is at a much better price than just a few weeks ago.  
   While the FANG stocks still get all the headlines, I would direct you to the energy sector where West Texas Crude has climbed closer to $70 - a large factor in the higher prices you are paying for gasoline. 
   You can obtain a respectable dividend and a price to earnings multiple that is lower than high tech.  
   I know the news indicates that cars will all be electric and electricity will come from renewable sources. Those things will happen but the timing is up for debate. 
   I find the news cycle incredibly interesting but not life altering. All these stories have merit.  
   My financial decisions are solely based on a methodology void of emotion. Fear should be your vehicle to profits as you move in when others leave should the facts warrant your counter opinion. 

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