Investors shouldn't try to time the market, focus on long-term and be patient.

From The Smart Investor: 2024-07-22 06:00:00

In the investing world, media paints the picture of investors making big bets on stocks and exiting just before a fall. However, Warren Buffett reminds us that timing the market is impossible. Even he can’t do it, as shown when he invested during the 2008 financial crisis.

Investors often wonder if it’s the right time to invest. Buffett’s move to invest in 2008 seemed mistimed at first, but he held on, knowing short-term fluctuations don’t matter for long-term investors. His call turned from “bad” to “good” as the NASDAQ surged over 10 times by last Friday.

With the US stock market hitting all-time highs, worries about buying at the top resurface. Trying to time the market won’t work, but preparing for a potential market correction by identifying stocks to buy on a dip is a smarter strategy. Markets favor long-term, patient investors over short-term speculators.



Read more at The Smart Investor: Get Smart: Investing at All-Time Highs