I think the best method of investing is to pick a handful of good stocks and keep buying small amounts when they are getting bashed. Sometimes I look at the trades of paniced investors and shake my head. They are being fleeced by the institutions.
The market is 100% designed to take from the poor and give to the rich.
What most of them don't realise is if you pick the right stock (but don't time the bottom) you'll get a nice regular dividend that will eventually compensate you for all of your losses, and will eventually come back to your buy-in level (if you buy the right stock). If we are in a meltdown, I would prefer holding a stock that provides an essential product, as it offers some shelter compared to a discretionary item stock or speculative investment. In reality we are nowhere near a bear market (even though it might feel like it) so my other holdings are cash and physical gold and physical realestate. Trading this market is dangerous, and only the top 3% have the skills to make money on short term movements.
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