The legendary investor Jesse Livermore said:
"The successful investor is not invested in the market all the time. There are many times when you should be completely in cash. If you are unsure of the direction of the market, wait."
In the aftermath of the extreme volatility of late, I am inclined to be a bit more patient and let the dust settle before rushing back into the market. I will look to add to positions incrementally as the market begins to stabilize. If we miss some bargains, so be it. I prefer to invest with the wind at my back. Right now, it’s swirling. To jump back in to make pennies when there are dollars to be made in better environments makes little sense to me. I prefer to follow trends and not chase returns.
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