Any thoughts on this happening in the next few months? There's lots of mixed messages out there.
Yeah, yeah, I'm not supposed to time the market, common advice is to dollar cost average instead…
Time in the market is much better than timing the market! Invest what you plan to invest so you can stay invested through any “crash” without emotionally selling.
Zoom out, the market always goes up as long as the world is growing.
I doubt it. The Fed essentially said it won't raise rates until next year.
Medium Probability: Equity Markets will drop 15-30% (maybe more) from here this year,
Very High Probability: Equity Markets will increase between 2x and 4x (maybe more) from here this decade.
Caveat: Markets can go up due to weakening of USD more than expansion of GDP.
Very Low Probability: You will be able to pick the market low over the next 11 months to buy in.
If having all of your investable funds in the market is going to increase the probability you sell when prices drop then you should DCA,
"Medium Probability: Equity Markets will drop 15-30% (maybe more) from here this year"
Seems reasonable, but I assume there would be a bull run after this, such that the year ended on a high.
If only I can tell!
Let it ride
If I have lets say 5000, is it better to invest it all at once or "dollar cost average" and invest it over a few months
@Madison L: It depends on your comfort. Only invest what you are willing to loose. If you feel as if investing the full 5,000 right away might tempt you into emotional selling if/when the market price becomes lower than what you initially bought for, I would say "dollar cost average" is probably the better bet.
Remember:
Also remember investing is not "trading." Have a solid reason for putting your money in assets which you think will appreciate faster than the cost of living. Before you put your money in, decide the justification you will need to exit the market. Selling should never occur due simply to avoid emotional pain of loss if the rationale for the initial investment has not changed.
“Far more money has been lost by investors trying to anticipate corrections, than lost in the corrections themselves.”
Peter Lynch
Thanks to the Biden gas hike even if there isn't a market correction expect inflation or at least your monthly budget shrinking.
Thanks to the Biden gas hike even if there isn't a market correction expect inflation or at least your monthly budget shrinking.
Blaming Biden? Ok.
you are right david b.
No one can predict the market.
Amusing to revisit this two months later.
Whatever comes down must come back up.
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At the beginning of almost every year someone predicts a crash. Occasionally they are correct. Such is the nature of many predictions, Make enough of them and some will be correct, highlight those that are correct, ignore those that ate wrong, and you become a prophet
Ebb and flow is part of the natural cycle.
I am convinced the market will crash by 2024. The question is how soon?
Every time the Democrats spend $2 trillion we're 1 day closer.
You need a diversified portfolio but due to low interest rates the bond portion right now is like deadwood. But you have to understand that in general terms when stocks decline bonds should shine.
I'd also have up to 10% (I'm going with 5%) in quality mining stocks rather than buying gold & silver. One I invest in happens to have increased over 100% in a year but you can't count on that happening consistently.
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Fed will print more money to save the market. No worry about market crash.
if only I knew!
hmmm
