This is an obvious question because if you can determine it correctly, just about any investment you make will be profitable.
The bottom is... when you think the economic world as we know it will end, very soon there will be no stock market and your prediction of the future economic structure of the United States is a hunter - gatherer society.
That is the bottom and it is now time to buy. This is based on the assumption that because you are experiencing this fear, everyone else is as well. During this time only the logical can stand back and notice everyone has lost their minds and the deals of the decade are being presented.
The individual who can pull the trigger at this point, manifests discipline and courage. Basically a complete absence of fear while maintaining faith that people will continue to be people and buy goods and services, hence lifting the economy, spurring optimism which only spurs more buying, turbocharging the profits of good companies as well as their shareholders.
Just be mindful of the flipside...when people are too greedy. This marks the top of the market and the perfect time to sell.
1 comment:
Wow, that's a powerful post, since that sort of fear is EXACTLY what I'm feeling right now. Thanks for the wake up call!
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