Chasing is never a good idea
I've learned a lot of lessons the hard way in my investing life. One of those lessons is that it is never a good idea to chase a bull run. It is very tempting to jump back in the market on days like today. Most "average joe" investors tend to let the "what if-itis" creep in.. "What if it just keeps going up? I don't want to miss it!"
To that, I say, "patience, grasshopper." We have a long time to make money, and you only have to get rich once (in most cases.) The market will present a better entry opportunity, or at least one that is less likely to immediately reverse course and make you want to throw in the towel on equity investments.
The RumWave chart continued defiantly higher today, creating a little breathing room between its current state and a "red light" signal. However, a particularly nasty setup is in the process of forming. This particular setup, if it continues, will mirror RumWave chart warnings prior to all the major market sell offs since 2008 (yes, I'm talking about the big ones.) The sky isn't falling yet, but it is definitely worth watching. A recession as a result of failed fiscal cliff negotiations would seem to line up with the timing on the RumWave chart. I will obviously keep everyone informed on what I'm seeing.
TSP Gameplan: G fund
401k Gameplan: Safety.
Questions or comments? Email me: firstname.lastname@example.org