Time for bargain hunting, or should I wait for falling knives to hit the gound? January 22, 2008Posted by deminvest in Defensive Stock, investment, investment strategies, My investing mistakes, risky investments, stock faq.
Nobody really knows.
Buying stocks when they are falling like this is a bit like catching falling knives. I’m probably going to get hurt. It is more healthful to wait for knives to hit the ground to easily pick them up. Maybe I should wait until current sell off finishes to pick up stocks at lower prices, rather than buying now and maybe seeing stocks continuing to fall tomorrow.
Of course if today was the bottom (the ground) I’d see a rebound tomorrow and higher prices.
Unfortunately there is one day every year in which the market is at its minimum and many days in which market is on its way down, so I shouldn’t bet on the fact that I’m buying on a minimum.
I can be pretty sure to buy during the month in which stock-markets hit the minimum, because I do buy every month. I guess I’ll have to wait until February the first for my “bargain” buy. Meanwhile I better search the ruins of Wall street to find a cheap gem.