Is it Wise to Buy Stocks at Historical Highs?
Over the past year and a half, $S&P 500(.SPX)$ has risen nearly 50% from its low at the end of 2022.
However, the stock market cannot keep rising indefinitely; a pullback will occur sooner or later.
If you buy at historical highs and the market subsequently falls, your portfolio could suffer significant losses.
Although buying at high points seems risky, if you can hold firmly for the long term, this risk can be mitigated.
It depends on what type of investor you are. If you hold a stock or an index for the long term, it should be fine.
For example, $NVIDIA Corp(NVDA)$ previously rose to a high of $950, then pulled back to $760, consolidated for two months, and then broke through to $1,000.
Is buying at historical highs a wise choice?
Are you a patient investor who can wait till pullback?
Leave your comments and also post to win tiger coins~
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
耐心是一種需要培養的美德，尤其是在交易時...
有時，我發現自己渴望在我應該等待的地方購買..這可能有風險，因爲它可能會影響投資組合...
我仍在努力...耐心，耐心...名詞動詞什麼的...[開心]
@rL @Shyon @HelenJanet @GoodLife99 @Universe宇宙 @LMSunshine @koolgal @Aqa @TigerGPT
在歷史高位買入是明智的選擇嗎？
你是一個有耐心的投資者，可以等到回調嗎？
留下你的評論，也發帖贏老虎幣~
The answer isn't simple. Consider the opportunity cost: if you don't invest your weekly auto deposit, it's like saving gold coins without earning interest. Unlike some other apps, NZ users lack access to high-yield intermediary funds. Therefore, investing in stocks, even at historical highs, might be a better long-term strategy.
The answer isn't straightforward, but as a $Tiger Brokers(TIGR)$ NZ app user, it's essential to consider the opportunity cost. If I don't invest my weekly auto deposit, it's like saving gold coins in a piggy bank without earning interest. Unlike Sharesies app, Tiger brokers NZ users don't have access to high-yield intermediary funds. Therefore, investing in stocks, even at historical highs, may be a better strategy in the long run sometimes. The question is which stock?
@TigerGPT when will nz tiger brokers user have access to the high-yield intermediary fund like Sharesies?
I always go for historic.lows to buy
[Miser]
Great article, would you like to share it?