Experiment
Had an idea for a silly experiment that's likely to lead to me learning some lessons the hard way - yet cannot seem to help myself from wanting to at least try out a couple of different things
One of Warren Buffett's tips for investing was to avoid the fish move of trying to time the market in the short-term, because there's so much irrationality. However, as a fish, can't seem to help myself from at least giving trying to time the market a try
Guess if the markets are as irrational as they seem, the wild swings that happen every time an earnings report gets released should tend to even out over the long-term? Which seems to be the case upon closer inspection
Google - up 16% in 2016
Amazon - up 40% in 2016
Facebook - up 35% in 2016
Like maybe the only reason to sell before earnings get released (with the intent of rebuying after the price bottoms out) would be if there was a reason to believe shares might fall?
Guess was only going to hold Google and Facebook in the short-term, since they're both in a period of transition. So guess it should be okay to sell Facebook and buy more ULTA instead. But it seems foolish to worry about Amazon missing earnings - when they're all over the map, all the time?
And they bounce back really fast too ...
Had the idea to maybe try holding onto half of my AMZN stock, and try selling the other half (and rebuying it in a couple of days) if it seems like shares might fall because they've been building more fulfillment centers? And then after a year, can see how my two different lots of AMZN have done, and if it was worth the while to sweat the short-term movements, or whether it would have been better to just not worry about it at all?
Have a feeling will wind up doing better by doing nothing
Such a silly girl!
Oh well, hope everybody's having a really nice weekend!
Last edited by TrustySam; 08-28-2017 at 08:22 PM.