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Is “buy the dips” a good strategy?

Doesn’t it equate to believing that stocks that have r...
dun frozen garrison stock car
  07/11/20
Depends on the dip. When there is a big mkt decline, you can...
dull theatre
  07/11/20
it depends on the time horizon. there's a short-term mean re...
Gaped Nowag
  07/11/20
I will miss your poasts when they shut this place down
Charcoal Juggernaut
  07/11/20
...
histrionic point cumskin
  07/11/20
MTUM has killed it recently, now go 5 years vs SPY IDK wh...
geriatric 180 therapy site
  07/11/20
Nice moniker
dun frozen garrison stock car
  07/11/20
MTUM has returned almost twice as much as SPY over that peri...
Gaped Nowag
  07/11/20
Most people can’t time the market. Probably a better i...
Turquoise pistol
  07/11/20
The problem is, you don't know when the dips were until late...
Irradiated state
  07/11/20
btmfd
Dashing Sick Goal In Life
  07/12/20


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Date: July 11th, 2020 6:22 PM
Author: dun frozen garrison stock car

Doesn’t it equate to believing that stocks that have recently done poorly do better in the near future, on average, than stocks that have recently done well? I don’t know that I’d expect that to be the case.

Seems like believing in buying the dips is falling victim to some kind of cognitive bias.

(http://www.autoadmit.com/thread.php?thread_id=4582442&forum_id=2#40589514)



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Date: July 11th, 2020 6:24 PM
Author: dull theatre

Depends on the dip. When there is a big mkt decline, you can definitely upgrade in stock quality. If it is the company or sector only, it is more dangerous.

(http://www.autoadmit.com/thread.php?thread_id=4582442&forum_id=2#40589523)



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Date: July 11th, 2020 6:28 PM
Author: Gaped Nowag

it depends on the time horizon. there's a short-term mean reversion effect, where the worst monthly or weekly performers get a short-term pop, but the stocks that have done the best over a longer period (3 to 16 months) tend to continue to outperform.

look at MTUM versus VLUE. MTUM has killed it.

(http://www.autoadmit.com/thread.php?thread_id=4582442&forum_id=2#40589549)



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Date: July 11th, 2020 6:32 PM
Author: Charcoal Juggernaut

I will miss your poasts when they shut this place down

(http://www.autoadmit.com/thread.php?thread_id=4582442&forum_id=2#40589569)



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Date: July 11th, 2020 6:34 PM
Author: histrionic point cumskin



(http://www.autoadmit.com/thread.php?thread_id=4582442&forum_id=2#40589575)



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Date: July 11th, 2020 6:36 PM
Author: geriatric 180 therapy site

MTUM has killed it recently, now go 5 years vs SPY

IDK why anyone does anything other than 0 fee S&P ETF or something like VTI.

(http://www.autoadmit.com/thread.php?thread_id=4582442&forum_id=2#40589587)



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Date: July 11th, 2020 6:37 PM
Author: dun frozen garrison stock car

Nice moniker

(http://www.autoadmit.com/thread.php?thread_id=4582442&forum_id=2#40589593)



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Date: July 11th, 2020 7:01 PM
Author: Gaped Nowag

MTUM has returned almost twice as much as SPY over that period

(http://www.autoadmit.com/thread.php?thread_id=4582442&forum_id=2#40589691)



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Date: July 11th, 2020 6:47 PM
Author: Turquoise pistol

Most people can’t time the market. Probably a better idea to just dollar cost average.

(http://www.autoadmit.com/thread.php?thread_id=4582442&forum_id=2#40589638)



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Date: July 11th, 2020 7:09 PM
Author: Irradiated state

The problem is, you don't know when the dips were until later.

(http://www.autoadmit.com/thread.php?thread_id=4582442&forum_id=2#40589713)



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Date: July 12th, 2020 12:05 AM
Author: Dashing Sick Goal In Life

btmfd

(http://www.autoadmit.com/thread.php?thread_id=4582442&forum_id=2#40591009)