Friday, November 21, 2008

Wake up! Your mind is playing trick on you.

You know your mind is playing trick on you, when your intellect tells the market bottom is near. Why would you fall into your own mind trick and sell the market instead of buying it? When this is the greatest investment opportunity Mr. Market offers you.

Here's when the bottom will be in. If you bring up stock investment at your thanksgiving table, and instead of talking about "when the bottom is" or "what a buying opportunity this is," your semi-clueless uncle/in-law (you know who!, everyone has one) stares at you with dull, distant eyes, remembers, with pain, what happened to his retirement portfolio, and says, "who the hell would invest in stocks? Are you crazy? What is this, the 90's?"

When the average, clueless idiot who knows nothing about markets or financing has given up hope, when the common lore is that investing in stocks is for sophisticated people and nice stable bonds and savings accounts are the best retirement savings, when people start scrutinizing their budgets and purchases, when the rich are frightened and ashamed of conspicuous displays of wealth, when wildfires burn through the vast expanses of empty houses in the inland empire, when you've got to know your neighbor, because neighbors have to help neighbors get by, when grandma moves back in, when it isn't the "other guy" who lost his job, when the American Joe has it so hard, has been hit, lied to, bamboozled, and screwed over so many times that he can't afford to be a useless idiot anymore... that is the bottom. No sooner.