Quote:
Originally Posted by SSLance
My portfolio has been interesting to watch the past week, as I'm sure yours has been as well. Looks like to me certain groups sold off their dividend income stocks to raise cash to buy treasuries after the election. I kept my powder dry while watching and now finally today, it appears that the sell off has stopped and dividend income stocks are gaining ground again. Another added plus was the tick up in all of my remaining oil related stocks.
In years past in other investing strategies, moves like this would have spooked me a bit but I wasn't concerned at all now.
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That will be the most valuable take-away for making you money. Doesn't say that there won't be long periods that will make you sick to your stomach -- but OVERALL -- LONG TERM -- you make money being in versus being out.
Quote:
Originally Posted by Vegas69
I'm not concerned about my stock holdings as I'm holding long term. I just feel there are new opportunities for growth outside of stocks in a fearful market or next cycle. While the stocks take a hit, I'd like to try to capitalize on something that thrives in a down cycle.
I'll be researching it and will share if I find some ideas.
"The money is made when the market is most pessimistic."
I don't recall where I saw this, but I think it holds the key.
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Wether you're buying cars, houses, or stocks..... the money is always made on the buy vs the sale. If you bought right - the gain will be far better than if you paid too much.
The problem is knowing (or guessing) when that point is reached.
When we're small time investors -- long term -- it won't make enough difference in our portfolios to change our goal much. When we're looking at PERCENTAGES rather than $$ -- the moves are so small as to be inconsequential at the amounts we're investing in the stock market.
In other words - if someone is buying 400 shares at $20 vs 400 shares at $22..... If they are sitting around waiting for just the right opportunity - they can move to $26 or perhaps they have a 10% sell off and move down to $18. I don't want to bend over to pick up pennies and leave dollars on the ground.