- Investors: Don’t Fret About What That Sold Stock Is Doing Today
A few minutes ago, I caught myself falling into one of the thousand mental traps that can ensnare investors.This one pertains to the nasty habit of selling a stock, watching it rise afterwards, and then thinking about others who simply bought-and-held it, which is the conventional investment wisdom any rookie financial planner will suggest.“Gee, if I simply held on, I would have made thousands more,” you might chide yourself.Of course, that statement is true and false and none of the above, says Dr. Gary S. Goodman, top speaker, Fortune 1000 consultant, best-selling author, and frequent expert guest on radio and TV. - Is The Market Ready To Be Steady or To Drop?
Recently, The Dow flirted with record setting levels, signaling either that there is continuing life in a bull market that began years ago, or we’re experiencing a sucker's rally that is a precursor to a rough patch to come.So, which is it?There is nothing fundamental that seems to be supporting higher price levels. After ratcheting up interest rates again and again, the Fed has stopped, at least temporarily, lending some predictability to capital markets and stability to stock prices.Core inflation isn't much of a problem, consumer sentiment is fairly strong, oil prices have retreated, and the alleged tanking real estate market seems to be keeping its head above water better than was expected.But these trends would argue for a sideways market, not an upward surge, says Dr. Gary S. Goodman, top speaker, best-selling author, and Fortune 1000 consultant. - Creative Investors Judge the "Personality" of a Stock
It's always dangerous to impute human motivations to inanimate objects and to statistical artifacts.Things aren't people.For instance there are vital differences between a rock and The Rock, the wrestler turned actor. (Okay, maybe not THAT many differences!)But we know that a stock is not a person.Still, it can pay off for investors to view it from the perspective that it is alive, that it is dynamic, moody, wishful, and alternatively optimistic, and pessimistic, just as we are.It can be robust and healthy, or concern you because it catches frequent colds and misses too much work.Sometimes, like a teenager or a femme fatale, a stock will misbehave for the heck of it, simply because it is getting bored by being too steady, too predictable.Look at Altria this way, and you can learn a lot, suggests Dr. Gary S. Goodman, top speaker, best-selling author, and Fortune 1000 consultant.
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