Be it in blogs, forums, conversations etc, I have always heard people saying that they are waiting for the next market crash (the sooner the better) – so that they can really go in and buy those stocks real dirt cheap, and increased their wealth when the market recovers.
Sounds very simple isn’t it? But it won’t be easy to do that.
I am currently reading a book, “Deemer on Technical Analysis” by Walter Deemer.
He said this, “When the time comes to buy, you won’t want to”.
It’s very easy now for you to say that you will scoop all the stocks when prices hit rock bottom, because you are now in “normal” state.
But when the time really comes for you to take action and click “buy”, most probably the market will be at extreme pessimistic state. The news will be so negative that you will feel like it’s end of the world and the market will never ever recover.
The FEAR, The PANIC will take control of you.
Don’t cheat yourself. Go back to Oct 2011. When STI plunged to 2520, how do you feel?
Do you dare to buy? Everything is so damn negative. Mind you, this is just a “correction” and not a real market crash yet.
When the time really comes, I doubt most people (maybe including me) would have the courage to buy.