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> I'm sure there's a great saying or time-tested analogy about concerning yourself with what a stock should be doing, as opposed what it is doing, but I'm at a
by jpdoctor 14y ago
> I'm sure there's a great saying or time-tested analogy about concerning yourself with what a stock should be doing, as opposed what it is doing, but I'm at a loss.
"Markets can remain irrational longer than you can remain solvent."
-- John Maynard Keynes
- gfodor 14y agoThis oft-quoted point is only true if you are trading on margin. A better way to phrase it to me is "Markets can remain irrational longer than you can remain alive." or, more succinctly also from Keynes, "In the long run, we are all dead."
- jpdoctor 14y ago> This oft-quoted point is only true if you are trading on margin. No. Insolvency can happen with any kind of debt, not just margin.
- gfodor 14y agoThe point is if you go long AMZN right now you don't have to worry about becoming insolvent as much as becoming dead before the profits come rolling in.