Quote:
Originally Posted by Nightfyre
My plan for my stock market investments is to play the vulture. Right now is the time to be cash rich.
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While we all have different philosophies and needs, based on my limited knowledge, this is a risky and hard strategy to nail. Most studies say trying to "time the market" like this is very hard for the average investor and even for most "pros."
And example is the recent market fluctuations after Brexit. If you went cash heavy after a couple of down days, you sold when the DOW was near 17200. You then missed the current run to 18300. So many panicked and sold lower and if you're wanting to get back into the market now, will buy high. I realize this isn't true for all sectors but just an example of trying to "time the market."
I also am not looking for yearly income currently from any investments like my brokerage account. Doesn't mean with gains I won't sell some things at times, but I am not looking to make yearly moves for income. If I was, I may take more risk to "time the market," but currently that strategy is very risky IMO, or at least I am not comfortable with it.