3 ms·
That's the premise yeah, but it makes sense to buy more on red days
by michaelscott 2y ago
That's the premise yeah, but it makes sense to buy more on red days
- mjburgess 2y agoBut that can't possibly be the case -- since such a simple strategy is already priced into the red. Anything accessible to any person without days/weeks of research or insider knowledge is already priced-in. All the people rationally "buying the dip" are doing so as the price dips. Any time you buy, you are betting on a future price against everyone else making bets. Most of those other people, who can move markets, are spending their entire lives in R&D to eek out a slightly better bet. You're a mark if you think you can price better than them -- and they are the ones presently setting the price.