Think You Can Time the Market?
The folks at Prudential created a game so you can test your market-timing skills. It's a brilliant concept - start at a random time in NASDAQ history. For about ten years, you click a button to get in or get out. Try to maximize your returns by getting in and out as often (or as rarely) as you like. Think you can outsmart the market? Give it a try.
If you're anything like me, you probably failed miserably by trying to time the market.
Hopefully this game will remind you, as it did me, that timing the market over the long-term is unhelpful and simply not worth the time, effort, or stress.
You just never know what the market will do next. And when it comes to long-term performance, sitting on the sidelines during the most volatile times doesn't just mean missing the drops, but also the pops.
Don't fool yourself - if you're in it for the long-term (as you should if you're invested in stocks), stick to your strategy. Stay invested, follow your plan, and don't worry about short term distractions. It's all part of investing. Normal market behavior involves volatility. Just sit back and enjoy the ride.
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