How to Gain the Courage to Invest in a Downtrend?

Tiger_comments
07-24

In previous articles, we discussed good ways to endure a downturn. Tiger @BenjiFuji mentioned that he/she wouldn't endure but celebrate, as it's finally a buying opportunity.

However, as an ordinary investor, I worry about buying at the beginning of a downtrend.

So how do you gain the courage to bottom fish?

Is it the power of belief we discussed yesterday?

We need to believe not only in ourselves but also in the stock or CEO turning things around. Some say, if you believe $Tesla Motors(TSLA)$ will ultimately solve FSD (Full Self-Driving), then any time is not a selling opportunity.

If you find it hard to believe in people, would you trust technical indicators?

Nowadays, many use AI for trading and build their own models. If a technical indicator or your model shows a buy signal, would you trust its rational judgment?

How do you get the courage to bottom fish?

Leave your comments and also post to win tiger coins~

# How to Gain the Courage to Invest in a Downtrend?

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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  • MasterStonker
    ·07-24
    You need the money first. Courage comes 2nd 🤑🤑🤑🤑🤣🤣🤣
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  • Kunal Singh
    ·07-25
    Believe in your Fundamental and technical indicators. 3-4 technical indicators worth and a stop loss is your back up.
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  • Success88
    ·07-24
    Need to wait for signal then can bottom fish. I can see the lower low of that particular stock for history reference. @Tiger_comments
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  • BenjiFuji
    ·07-24
    You’ll never pick the exact bottom. Key is trust in your own analysis, fundamental, technical, people and environmental. Then position size accordingly. [Grin]
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  • LiverpoolRed
    ·07-25
    TOP
    Only buy share of the company that u have believe in their products and business model that are doing very well. Of course u need also to ensure that the company is having profits after deducting operations cost. Lastly, u will not be able to buy at the very lowest price, but u have to ensure u are buying with extra money that u can hold on the shares for the next 3 years.
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  • 這次BBQliao_鹹煎餅了
    ·07-25
    Keep the faith
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  • Patmos
    ·07-25
    Time to buy into this 10% heathy correction
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  • ECLC
    ·07-25
    Never know where is the bottom or top in trading. Just keep going with some funds for buy lower & sell higher or vice versa cautiously.
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  • Sheepysheep
    ·07-25
    Buy shares from companies that are earning and also changing the world and with good management and always innovative
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  • ikawijaya14
    ·07-25
    Artikel yang bagus, apakah Anda ingin membagikannya?
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  • Alubin
    ·07-25
    Tbh, I feel that timing the bottom is very very difficult. Only way is to set a target price based on your valuation and just go along with it.
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  • Seeky
    ·07-25
    its all about mentality. if you liked nvidia at 130$, you will like it more at 110
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  • RXU
    ·07-25
    Wa lau eh, i not too trusting of AI and trading models. They looks nice on IG reels but if so good, then everyone will 100% win then who take the losses? I think we can use them to give clarity to our analysis and guide us to our own decision in a step by step and logical manner. Blindly believing is as gd as getting a hot tip from a  "friend". same goes for bottom fishing, we gotta be smart about it. Do homework, see if the price is bouncing back, spread your bets, set some limits, and be patient. Say no to giving blind faith in AI or gut feelings alone. Trust in the community of Tiger for collective advice and wisdom, lol
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  • TigerHulk
    ·07-25
    Holding power is the key, but at the price you are comfortable and don’t do micro management on the price. View it on a bird view scale and you will be fine along with your time horizons.
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  • highhand
    ·07-25
    first you study the companies and identify the support levels. second keep dry powder. and finally during pullback like now, close eye and buy once support levels are reached. so simple.
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  • nomadic_m
    ·07-25
    TOP
    My courage soars thanks to Tiger Broker's stock vouchers! With the market in a downturn, I'm thrilled to snag awesome companies at a discount. The vouchers are the icing on the cake, making me a happy investor as I scoop up quality stocks at a bargain!
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  • nomadic_m
    ·07-25
    TOP
    @icycrystal usually you're the first comment I see. are you ok? missed your Chinese translation tags...

    How do you get the courage to bottom fish?

    Leave your comments and also post to win tiger coins~

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    • SPACE ROCKETReplying toicycrystal: 
      Your mom sounds just like mine!! I went to cut my hair recently too because I'm starting to look like Tarzan and I've been pulling loads of hair out cause of all the tangles. HAHAHA!! Now it's much more cooling! 😀😀😀
      07-31
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    • icycrystalReplying tonomadic_m: 
      you too, have a great day ahead [Grin]
      07-31
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    • icycrystalReplying toSPACE ROCKET: 
      lol... I went a step further and had my hair cut... too messy and mom's been bugging me to cut... said I look like a lunatic girl... [Tongue] [Happy]
      07-31
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  • MojoStellar
    ·07-26
    thank you, @Tiger_comments, for this interesting yet thoughts-provoking. Investing during a downtrend can be challenging but can offer opportunities if approached with caution. Here are my takeaways to help gain the courage to invest: Research and Understand the Market: Educate yourself on why the market is down. Understand the underlying causes—whether they are temporary or indicative of deeper issues. This will help you distinguish between short-term volatility and long-term potential. Diversify Your Investments: Spread your investments across different assets to reduce risk. Diversification can help mitigate the impact of a downtrend on your overall portfolio and provide more stability. Focus on Long-Term Goals: Keep your long-term investment goals in mind. Downtrends can be unsettling, but if you have a clear strategy and a long-term perspective, you can stay focused and make informed decisions without being swayed by short-term market fluctuations. @Daily_Discussion @vodkalime
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  • Aqa
    ·07-26
    TOP
    Invest in a downtrend and “Buy low to Sell high" means “Be greedy when others are fearful “. It is the best strategy to make profit. One needs courage and confidence to go against the tide even when dealing with stocks that have good fundamentals. That can be achieved by taking a more objective view to make a more informed decision. Consider other factors such as moving averages, the business cycle, and consumer sentiment. With the objective method of determining whether it is time to buy, one should be able to trade with courage. Good luck! 🚀🚀🚀 Thanks @Tiger_comments
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  • Shyon
    ·07-28
    TOP
    I did tried to catch the bottom fish but it was not always a successful attempt. Nowadays, instead of blindly catch the falling knife, I will set a minimum criterias for my reference:

    1. Only target great companies with stable fundamental. Never do it at those companies without guarantee or proven financial growth for the past few years.

    2. Get some basic technical indicators to help you. For example, the entry can be attempted near recent neckline or EMA support. You may also refer to the RSI for oversold signal. Just get one strategy that suit you the most.

    3. Divide your entry into a few batches. Never buy in at one go especially during a downturn. Split your entries into few times to diversify your risks.

    Come and share your strategies with everyone too!

    @TigerStars @CaptainTiger @MillionaireTiger @Tiger_comments @TigerGPT @Daily_Discussion

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