I'm getting conflicting messages from the Fool !In one spot(for example-in "breaking all the rules"...the new freebie)points are shown where buying at the low graph points was partly instumental in the success of the appreciation of Amazon. Then in a lot of articles and such,it states get in a good company at any price. Soooo,was buying in at the low points of Amazon the result of a lot of hard work and research,or just blind luck?.....I mean no disrespect with that Question,but there has to be SOME validity to looking for a dip before we just jump on board a position...yes?
There's more than one strategy for successful investing. TMF tries to educate and let the investor decide what best fits their style.TMFers are mostly fundamentalists. They believe that stocks with good earnings potential are the ones to own. Growth investors can buy at any time provided the stock is not too far over valued. Value investors prefer to pick out the good companies that are undervalued.I would suspect that both groups can present data showing their philosophy works. But your choice should be guided by what works now, in present circumstances, in the timeframe you have in mind, and for the stocks you are comfortable with.You will not find many value investors buying Amazon as it is a high PE low profit (invest it all in future growth) company. But even growth investors can do well to buy on dips.Sounds like they got you thinking about it, which is exactly what they had in mind.
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