Markets are going down.

And if I had listened to the pros I would be watching my account diminish like you are. I Moved all mine a month ago and am ready to buy now. While you are setting and waiting for yours to recover, I will be reaping the profits of my decision. The pros aren't always right. You must be a pro.

 

After you make a mistake when timing the market, are you going to come on here and quantify the costs of your errors?

I think that's my real point. It's not that you can't sometimes time it right. It's that it's difficult to do it with consistency. The costs from trying to market time are compounded in taxable accounts.

My take has always been to stay the course. That includes dollar cost averaging.

 

In general, this is true. But when you have a situation like we currently have, it's a pretty sure thing. I don't pretend to be able to time the markets, but When a blue chip stock hits a 52 week low, and the company is a financial backer of most of the rest of the country, I say buy in large quantities. Our economy couldn't afford for BofA, Wachovia to go under, so I know I'm buying a solid stock at a low price.
Over the long haul, it can lower my dollar cost in my portfolio. In the short term I see some substanatial gains.

 

Dollar cost averaging.

 

I'm not talking about stock picking. I'm talking about timing the market......

 

Yeah...over the lomg haul nobody can really time the markets. If someone really could, for an extended period of time, they would have more money than Bruce Springsteen.

 

The question is what was the cost of the stock when you bought it? A fool like you attempting to market time generally guarantees you will buy high and sell low.

You may sell it all now at 40 and buy it back at 38 but what the fuck does that get you when you bought it all at 45?

Much better to just keep buying at 38 and when it goes back to 46 you haven't lost a thing in fees or elsewise.

 

I have NO IDEA how anyone can accurately time the market. If I knew how, I'd be one of the richest people on the entire planet.