iknoknot

What We Don't Know about the Markets

thanks for a good read.

In addition to the rational points you make, I like JasonC's perspective on offers to buy what he won't sell - I liken it to buying a gold coin for 800 and having someone offer me 600 a week later. Even if 600 is 'market', it's only market to me if I need the money near-term. Sure, I hate the perceived loss, but when I bought it, it was worth 800 *to me*, and until my situation changes, I'll only sell it for something near that or more. More like buying a tool than betting on poker.

If I'm speculating, such a price drop would merely prove me wrong in my bet, and I would pragmatically take my lumps, deal me the next hand... But generally I'm not a speculator.

If I'm a value/growth investor, I assume I've somehow assessed some inherent value, rather than trying to predict market whims, and decided that the current value is low and will someday go up. I have to admit, that's not how I've been looking at this nutzo market for the last few months, and maybe that would be a healthy change of perspective, along with your prudent caution and diversification advice.

tnx,

--ikk