WILL FALLING RATES SAVE THE DAY?
And yet, we’re not worried. While we’re not predicting it, it most certainly could happen. Why aren’t we worried? The way we’ve survived many bear markets (post losing our college funds during the ’73-’76 Dow drop from 1,000 to 600) is to keep playing and keep selling – each and every time you initiate a losing position.
Just don’t be that investor who rode Amazon from $105 to $5 in the dotcom crash. Get in and if it falls, get out. Get in and if it falls again, get out. But when the occasion comes where you get in and it doesn’t fall and/or goes up – this time stay in.
Just don’t sit pat and believe the market commentators who say you ‘can’t time the market.’ Or don’t sell if you’re ‘in fall the long haul.’ See chart below for Japan’s 10 year ‘long haul.’ No thanks.
Investors don’t have to time the market, let the market time for you by selling losers and keeping winners. If your finger is burning do you keep it in the fire? Hal, no. Back away.
WILL FALLING RATES SAVE THE DAY?
