Re: Outperform the market

Discussion in 'Trading' started by QdzResurrection, Jan 28, 2004.

  1. Outperforming a market is impossible. But outperform a bull market or a bear market is not only possible but in fact relatively easy. Here is what I mean. Use a bull market as an example. A market is bought at 0, sold at 1, bot at 0.5, sold at 1.5. How much does this market gain? it is 1-0 + 1.5-0.5 = 2. How do you outperform 2? No way. Now thinking in terms of bull market, the gain is 1.5 - 0 = 1.5 which can be beaten.

    Let's come back to the real world how do you outperform the current bull market? The only way is to buy dips. The smarter dips you buy, the better chance you outperform the bull market.

    So follow me read, BUY DIPS, and keep it in mind. Good luck.
     
  2. JohnK

    JohnK

    Qdz,

    Here's a story about outperforming the market:

    Two friends were hiking when they spotted in the distance a gigantic grizzly bear barrelling down on them. The first guy started screaming while the second guy immediately bent down to tighten his shoe laces. The first guy now had something concrete to focus on in his terror:

    "What the hell are you doing this for? You cannot outrun a grizzly bear!"

    "I'm not planning to outrun a grizzly bear," the man shot back, "I'm planning to outrun you!"

    The message here being that no-one needs to outperform the market (even if that were possible) just to outperform most of his/her competitors, and that would be plenty :)