Good Morning. I have been following the history of this fund and doing my research. It is at an all-time high and has gone up by $16 a share since this spring. It has been a great-performer since I first began purchasing shares in this mutual fund. I have been studying the history of this fund and it consistently peaks at lower levels than it has grown this year, then takes a big plunge for a period. I noticed that buyers begin buying it back when it drops between $4-5 per share. It peaked at $41 and has declined after dividends were paid out and is now at $37. I believe the market is going to drop after such a long stretch of being on the incline. I am very watchful this week and plan on selling SOME of my shares (20-30% of the fund value) and buying shares when they drop to a level that I feel comfortable with…probably applying that $4-5 history of buying that I mentioned and buying at $33-ish.Geologist answered your question.
I am a bit concerned with your plan to time the market. How do you know this mutual fund will be priced lower down the line? How will you know when its price is at or approaching the low, and you should buy back in?
A trite but probably true Boglehead aphorism is "time in the market beats market timing".
Another applicable aphorism is "a portfolio is like a bar of soap: the more you handle it, the smaller it gets".
Timing the market with selling and buying is NEW to me. I have not tried it before and decided to do my research then dive in. I’ve been playing it safe the entire time I have been buying mutual fund shares for my ROTH and am willing to try this but want to be sure that I am knowledgable.
Statistics: Posted by InquiringMind — Sun Dec 15, 2024 11:24 am