Time in or Timing the market?
Time and Markets Has this ever happened to you? You buy a stock on Day 1. By Day 2, it has rallied over 5%—sometimes even hitting the upper circuit. You sell, feeling like you've cracked the code. A day's profit that outperforms almost every other investment avenue. So you try to repeat the success. This time, however, the stock barely moves. After a couple of days, it's down 2–3%. Frustrated, you exit, convinced there's another "hot" stock waiting to be discovered. Carrot and Stick Sometimes we may feel the market is rewarding or punishing us. But in reality, the market doesnt recognize us. The market doesn't know we exist. We're simply another buy order or sell order. Our investment may mean everything to us, but to the market, it's just another transaction. Illusion of timing Unless you are great at reading technical charts, chances of you making daily gains are loaded against you. If you try to time your entry, you may get it right a couple of...