No. of Recommendations: 11
everyday is a reading and evaluating day while waiting for a market capitulation or more frequently, the capitulation of a particular quality company's stock valuation.
Anyone else in the same boat and doing research while waiting to pull the trigger to put available funds to work?
There's a story about a guy caught in a flood, he climbs onto the roof of a building to await rescue. He prays to God for rescue. A raft comes along and he waves it away saying God will rescue me. A boat comes along and he waves it away saying God will rescue me. A helicopter comes and he waves it away saying God will rescue me.
Sadly, he drowns and then complains to God that his prayer was not answered. God said, "What do you mean? I sent you a raft and a boat and a helicopter."
Forget trying to catch the random short-term swings. Look at a 10 year chart of your stock and count all the times that waiting for a "better price" would have had you standing at the sideline while the stock sailed away without you.
I still remember a long discussion in the mid-2000's with a guy who insisted that AAPL was too expensive above 100 and he was waiting for it to drop to 95 to buy. That was before cumulative 28-1 splits. We poked fun at him for the next several years.
Today AAPL is split-reversed $6550. Holding out for a $10-$15 price drop cost him over $6000.
As Jim Cramer says, "Buy when you can, not when you have to."
If it's a good stock, it's a good stock at the current price. If it's not a good stock it doesn't matter how cheap it is.
