Few random thoughts. 💭
- This Market can make you feel very dumb on big down days and very smart on major up days. Do not fall for that trick. Take advantage of the noise if you can, but don't drown in it.
- This Market can make you feel very dumb on big down days and very smart on major up days. Do not fall for that trick. Take advantage of the noise if you can, but don't drown in it.
- Have conviction in your own capabilities and strategies, discipline in sticking to long-term goals, and flexibility to change but only when warranted upon careful analysis.
- Sure, there could be some speculative, short term trading opportunities in bad/avg businesses also for someone who has the required competency, reliable trading & risk management skills and discipline to execute and stick to the plan...
....but if you're investing for the long-term, be more interested in the Companies that can survive this short-term pain and can thrive during the normal to good economic scenarios.
- Maintain a strong conviction in your qualitative assessment of the Business, it's Financials (esp Balance sheet) and a conservative estimate of the Valuations, and only get involved when you have a long-term advantage over Mr.Market's short term craziness.
- You will always be scared to invest if you extrapolate the extremely bad short-term. On the flip side you'll easily overpay when you extrapolate the extremely good times.
Maintaining an emotional balance is extremely important at all times in the Market.
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Maintaining an emotional balance is extremely important at all times in the Market.
/END.
