\
  The most prestigious law school admissions discussion board in the world.
BackRefresh Options Favorite

Is “buy the dips” a good strategy?

Doesn’t it equate to believing that stocks that have r...
indigo sneaky criminal hall
  07/11/20
Depends on the dip. When there is a big mkt decline, you can...
Sadistic feces
  07/11/20
it depends on the time horizon. there's a short-term mean re...
filthy fragrant gas station codepig
  07/11/20
I will miss your poasts when they shut this place down
Insane step-uncle's house pisswyrm
  07/11/20
...
stimulating shrine
  07/11/20
MTUM has killed it recently, now go 5 years vs SPY IDK wh...
Orange histrionic new version
  07/11/20
Nice moniker
indigo sneaky criminal hall
  07/11/20
MTUM has returned almost twice as much as SPY over that peri...
filthy fragrant gas station codepig
  07/11/20
Most people can’t time the market. Probably a better i...
Razzmatazz doctorate
  07/11/20
The problem is, you don't know when the dips were until late...
poppy bearded state
  07/11/20
btmfd
Ruby church roommate
  07/12/20


Poast new message in this thread



Reply Favorite

Date: July 11th, 2020 6:22 PM
Author: indigo sneaky criminal hall

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)



Reply Favorite

Date: July 11th, 2020 6:24 PM
Author: Sadistic feces

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)



Reply Favorite

Date: July 11th, 2020 6:28 PM
Author: filthy fragrant gas station codepig

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)



Reply Favorite

Date: July 11th, 2020 6:32 PM
Author: Insane step-uncle's house pisswyrm

I will miss your poasts when they shut this place down

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



Reply Favorite

Date: July 11th, 2020 6:34 PM
Author: stimulating shrine



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



Reply Favorite

Date: July 11th, 2020 6:36 PM
Author: Orange histrionic new version

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)



Reply Favorite

Date: July 11th, 2020 6:37 PM
Author: indigo sneaky criminal hall

Nice moniker

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



Reply Favorite

Date: July 11th, 2020 7:01 PM
Author: filthy fragrant gas station codepig

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)



Reply Favorite

Date: July 11th, 2020 6:47 PM
Author: Razzmatazz doctorate

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)



Reply Favorite

Date: July 11th, 2020 7:09 PM
Author: poppy bearded 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)



Reply Favorite

Date: July 12th, 2020 12:05 AM
Author: Ruby church roommate

btmfd

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