03-15-2021, 09:15 AM
(This post was last modified: 03-15-2021, 09:16 AM by ken-do-nim.)
(03-06-2021, 12:17 PM)NilesMike Wrote: Make your list of quality DGI stocks, no limit as to the number of tickers.
Divide your available investment cash pile into 20 lumps.
When a stock on your list drops 10% off a prior high, you buy it with one lump. If it drops another 10% you spend the second lump on it.
Some will fall even lower of course but you have bought at reasonable prices and should be able to withstand some drawdown.
Others will pull back 10% and zoom, leaving you only 1 lump invested-for now.
Just be patient and buy what your analysis shows are quality stocks.
Pull up some charts on the Aristocrats and you will see how well this simple method works, especially if you have time on your side-unlike Fenders and me.
I have to admit I'm not disciplined enough to follow this strategy, and especially with tech stocks on sale right now. I will be diving right in, though I will not buy very much if at all from stocks that are only exhibiting growth because they started spiking in October. I want to see a continued growth trend in the 5 year chart.
Buying plan forthcoming.