Investors many times take unnecessary risk. They tend to buy stocks pricey due to fear of losing opportunity and being left out of the rally. But why should at all investors rely on rally? This is wrong approach. You buy first and then let the markets justify it for you. If you have invested right it will eventually come up. Remember: Value investing always beat everything.
Always wait if you are not finding any value picks. Remain on cash. Remember your investment would only reap returns if you follow your value-investing strategy. And otherwise not. So then why invest when you are not sure, and it is like taking unnecessary risk?
If some stocks are going up today and you don’t own many of them or most of them, so what? They were the very stocks that were not going up in past while others were. So you thing to shift to the rising stocks or some others stocks because your stocks are not in the rising or 52-week high list is not rational thinking. They will be some day. You can not predict it. Also see by how much volume this whole lot of mid-cap and small-cap stock are rising. How much is the market float. Many stocks rise with thin volume and in a way to benefit a very few who are on the inside rather than the general investors community like you and me or our friends. Just ask yourself that looking at the given volume or sudden erratic rises how many could have been able to earn out of it? How many could have taken position before not many day? This kind of rational thinking will help you overcome your fear of losing opportunity and being left-out of the market or that your strategy is not right or thoughts that your picks are wrong and so on.
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