Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: The_Commodore who wrote (66794)	3/4/2021 11:22:40 AM
From: petal	Read Replies (3) \| Respond to of 78958

Absolutely. It's a fine line. I've always considered myself crazy, which I feel is a healthy and sane approach :-) "It's an art, not a science", but when market overreacts to good news, I refrain; when they underreact to good news, I act (generally speaking). Same goes for bad news. On a general level, I think a falling knives approach works. I think it has been demonstrated relatively convincingly that buying what did worst last year will ("on average") do better than most everything next year, to use a somewhat cliché example. Of course, you may want to stay away from Wirecard and the like (although there may be a time when even such a company have fallen low enough to warrant interest) – that would probably enhance performance. My main stance is that contrarianism is a good overall mindset – when you receive new information, you internally wonder "what makes that person say/think that way?", and then diplomatically express that question – and then you should also ask that question to yourself and your own beliefs regarding that (and any other) matter. It weeds out stupidity in an effective way, IMO.