Principles of Investment Strategy

 Navigating Market Waves

      In this article, I want to talk about the crucial aspects to consider when planning and managing our investments. These principles can help us make wiser decisions in the market and navigate through volatility and market fluctuations more efficiently.

• Fundamental Rules of Price Changes

      One key principle to always keep in mind is that prices never stay at the same level in the long run. Whether it's stocks, ETFs, cryptocurrencies, or other types of investments, market waves are always present.

     

In this context, it's worth noting that a price will never be so high that it can't rise further. With this in mind, it's essential to consider your strategy and accept the fact that your investments are likely to grow in the long term, even if they show a red mark in the short term.

      Similarly, it's crucial to recognize that a price will never be so low that it can't fall. The market is always changing, and we should build a strategy that can adapt to these changes.

• Experiences Across Seasons

      Experiences show that short-term planning, especially investments in December and January, often result in significant losses. This is partly due to end-of-year liquidity issues and other factors. It's important to understand that this doesn't necessarily mean our investments are performing poorly in the long run.

Investment markets always hold surprises, and our predictions will never be perfect. Securities such as stocks, ETFs, and cryptocurrencies tend to be volatile, and we must adjust our portfolios accordingly.

• The Reality in 2022

      Unfortunately, in recent months, we've witnessed many investments in the red. Stocks that haven't been purchased since 2022 might show a considerable decrease in value. In such times, it's crucial to stay calm and avoid panic.

Here are a few examples of market changes: DIS, VOW, VOD, TROW, PSEC, MPW, KR, IVZ, IMPUY, AG, DX. While these stocks might be more familiar, the examples illustrate that the market is ever-changing, and investors need to adapt to these fluctuations.

• Conclusion

      Investing always comes with challenges, but the right strategy and long-term planning can help us successfully ride the market waves. Remember that prices are always changing, and the value of our investments changes with them. Be patient and keep long-term goals in mind alongside short-term fluctuations.

      I hope this article has been helpful and has helped summarize some thoughts on forming an investment strategy. Market changes are always a challenge, but with the right approach and tactics, we can navigate through them successfully. Wishing everyone successful investments!