When do you know when to sell and then get back into the markets? I had thought you could set a percentage fall in a stock or index, for example, and then sell when that is reached. You get in when another increase of percentage takes place. But small percentages never work. The trend lines in either direction can continue.
Of course, timing the market by instinct on both sell/buy complete transactions have been shown to work about 1% of the time. That is 10% in each type of transaction.
The solution is to be disciplined. Bonds use duration principles. ( See the Earl J Weinreb NewsHole® comments.)
No comments:
Post a Comment