Expert Explains Why You Shouldn’t Dump Your Stocks After a Bad Week

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What a difference a weekend makes, Friday, everybody’s happy, joy. go to the various different business sites and all of that stock photography of all these happy Wall Street types and traders and wow, market closed up after a tough beginning of August and yay. I laughed because I thought you have this conversation.

late Friday afternoon, I said, yeah, wait till Monday. So Monday, people are be, it’s going to be risk off all of a sudden and people are going to start selling. And it was spot on. Did I trade it? No, because guess what? I’m giving an educated guess, but it was just that. A guess. I’m not a guesser. I’m not a gambler. We’re investors at Markowski Investments. What a difference a week makes. a week, week, weekend makes. What happened?

between Friday and Tuesday.

people hung over maybe because of Labor Day, people coming back to work. Nothing really. The conventional wisdom which is being pushed is that, it’s just the manufacturing numbers that look a little bit weaker. And that sent the markets down.

Maybe they might have started pushing some algorithms in certain directions. Maybe certain hedge funds are gotten a little bit over their skis when it comes to leverage. That’s a part of it as well. But has truly anything fundamentally changed since Friday to Monday, Tuesday, excuse me, to today, Wednesday? God, I’m time stamping this. I’m doing this podcast before the market opens.

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futures are down this morning. But what I’m trying to get at is this. All of this is static. It’s just all of this is just noise. It’s just static. And if you follow this stuff and you try to make heads or tails out of things that quite frankly, you cannot make heads or tails out of, it’s absolutely impossible. You’re gonna lose, especially if you go out and you start

trading on this type of information. It’s like I call it conventional wisdom is poison. And again, this weekend, I’m going to spend some time this weekend on the radio show, we’re to be working on the fundamentals again, when it comes to proper investing rules of the road, our process at Markowski Investments. We do like to go over it from time to time on the program. It’s important. You need to tune all of this out.

numbers are going to be used. I’ll be talking about wellness. What’s in video? How many billions of dollars the market capitalization was wiped out?

cares. Honestly, does it really matter in the grand scheme of things? Look at where this company has come. Look at what its future prospects are. Do you think it’s fairly valued? Do you not think it’s fairly valued? How should it play a part in your portfolio based upon your situation where you’re at in life? All of these things matter.

What happened from Friday to Tuesday? No, not so much. Again, we try to explain to people, don’t think of stocks as blips on a screen, a video game. When you’re buying a company, you’re doing just that. You’re becoming part owner of a business. Do you like the business? How is it valued?

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You like the management. Where do you feel this company is going to be? Five, 10, 15, 20 years down the road. All of these things need to be considered. Is it nice to get in at the exact bottom? Is it nice to get out at the exact top? Sure. But I’ve been doing this for three plus decades. I’ve never been able to do that. I don’t know anybody ever that’s been able to do that because nobody has. Yet, isn’t it interesting that

That’s what they’re trying to tell you they’re capable of doing? That’s what they’re telling you that they’re gonna do? yeah, we’re searching for alpha here. Yeah, we’re able to do all these things. No, you’re not.

No, you’re not. Again, I’m using a Donald Luskin line from the 1990s, part of the conspiracy to keep you poor and stupid. There’s a right way to invest, there’s a right way to put money away, and there is a wrong way. And I admit, again, I’ve been doing this for a long time and I’ve gotten pretty good, pretty good at, you know.

seeing what direction the markets are gonna go over the short term based upon just, let me just say intuition, gut feeling, said Friday, I knew Tuesday was gonna be a massive sell off, knew it. Okay, but what if I was wrong?

What if I was wrong? So again, I don’t trade those events. I don’t do that. It doesn’t make any sense. If you have a system, if you have a process that works every single time it’s tried, you stick with that. Watchdog on wallstreet .com.