What goes up must come down....

[RozcoJC]

I can't stop but wonder if this market will ever correct itself . Obviously no one knows the answer to this otherwise they would be rich . I'm just curious to see what others think. People with more educated guesses let's hear your thoughts . So much for what goes up must come do wn huh. I just hope if that bubble does burst I'm in that G or F fund. As always thank you guys for hearing me out

[Jokerswild]

If you figure out when it'll crash, please let me know and I'll buy you dinner. All joking aside, following a strategy that has a low CSI% might help (hopefully). At least if you follow one of those, you are considered safer 40+-% of the time

[RozcoJC]

If you figure out when it'll crash, please let me know and I'll buy you dinner. All joking aside, following a strategy that has a low CSI% might help (hopefully). At least if you follow one of those, you are considered safer 40+-% of the time

Haa I knew someone would say that . That's why I said "obviously no one knows ..." you are the joker so it's in your nature lol . I'm just looking to read what people's thoughts are about this "artificially " inflated market that just doesn't seem to have a roof to stop it from flying high .

[cashworth]

I don't think its artificially inflated. Money (corporate debt) has been super cheap for several years now allowing very strong growth.
There may be some bubbles (especially in biomed and tech) but as a whole, from a business standpoint, the world economy and especially the U.S., is growing.

[Jokerswild]

Prior to this site mainly, majority probably had no strategy and our IFTs if we made any were like throwing darts randomly hoping to hit a bullseye. Now with the work of Aitrus and MJedlin, we are hitting the mark the majority of the time. I'm personally trying to stick to one strategy but it's SOO hard to completely "trust" the schedule, and stay the course when our own live emotions try to convince us to stay jist a little longer or less when the strategy says make your IFT. Overall my rate of return this year is something that I'm very satisfied with, but could have been even better had I just stayed the course but many of us seem to want to beat even the best strats, maybe at times those gut instincts might work, but usually mine didn't

I say all this to lead into this, I'm not overly concerned about a major market correction, just stay the course with a strategy. Look at any of the top strategies, and how they fared using the same IFTs even after recession years. They all recovered plus alot more. Nobody wants to actively watch their money start to dwindle if the market is correcting, and that's where the emotion part will be internally fighting us to change our plan, but I say stick with it. Unless you're already about to completely cash out of the market either through death or running away to a small island and taking everything with you, I wouldn't be too concerned about a market correction. Yes, it would be great to avoid them all together then catch the wave back up, but I'm not that wise. I've been dealing with stock trading long enough though to realize that the majority of major swings are just not anything anyone could foresee, hence the terms FOMO or FUD. If you're following a strategy, just stick to the plan

[adm_m]

Good point. In my opinion, a correction is a buying opportunity. Keep that in the back of your mind and continue on.

[Scorpio70]

I am sort of hoping for a flash stock sale.

[RozcoJC]

Good point. In my opinion, a correction is a buying opportunity. Keep that in the back of your mind and continue on.

I very much agree and I'm ready !

[Octjan2]

With this supposedly being the day of the biblical rapture, I am going to use a bible verse....a correction usually comes in the "twinkling of an eye". Meaning you don't see it coming and it happens abruptly.

[MakeMe$$$$]

Good point. In my opinion, a correction is a buying opportunity. Keep that in the back of your mind and continue on.

The question is how do you pull off a "buying opportunity" within the scheme of TSP? With the trade limitations is seems a bit tough but can be done.

For the more active traders it would seem to require a very acute ability to identify a peak that should be followed by a reasonable down turn and run to safety just in time. OTOH, for others it might be taking profit early, sitting out for a longer spells but also loosing out of gains.

I suppose this is more a philosophical comment than a "how too" guide.

[sakae90]

Ha, good one Octjan2

[Travis1984]

Good point. In my opinion, a correction is a buying opportunity. Keep that in the back of your mind and continue on.

The question is how do you pull off a "buying opportunity" within the scheme of TSP? With the trade limitations is seems a bit tough but can be done.

For the more active traders it would seem to require a very acute ability to identify a peak that should be followed by a reasonable down turn and run to safety just in time. OTOH, for others it might be taking profit early, sitting out for a longer spells but also loosing out of gains.

I suppose this is more a philosophical comment than a "how too" guide.

I have a co worker who runs buy and hold with 5% contribution to G fund. When the market dips greater then 2-3% he buys in with his G fund and starts over. Therefore taking advantage of a buying opportunity while accepting the historic return of B&H.

[Aitrus]

The only problem with that method is that, very often, the market will go up by 5 - 6% or more before having that 2-3% pullback. If he buys in at that time, he's purchasing shares that are 3+% higher than when he first started.

[mhayes]

When is it good to buy?

[Timber82]

When is it good to buy?

This is really a broad question, Buy low sell high is obviously the golden rule but who knows when that happens?

If you are a B&H person then you are also taking advantage of "Dollar Cost Averaging". Take a look at it that along with compounding interest is where the magic happens.