December 12, 2024. The bubble continues to blow.
Last night, the US CPI report met expectations, and interest rates will continue to be lowered in December.
The Nasdaq surged into the 20,000-point era, embarking on a new journey, while Bitcoin also surged past $100,000 again.
After multiple rate cuts next year, how big will the bubble blow?
US Nasdaq at 23,000 points? 25,000 points?
Bitcoin at $140,000? $180,000?
It is hard to imagine how the distributed rate-cutting cycle will continually prop up assets until the end of the rate cuts, when it can no longer hold and crashes.
Let us enjoy the dividends of currency depreciation and asset appreciation together!
There is no so-called better or worse timing, only relatively good or relatively bad timing; pursuing perfection often yields nothing.
Observe the medium to long-term odds (cost-performance ratio) and stay clear-headed.
When the cost-performance ratio is high, invest more positions. When the cost-performance ratio is low, reduce positions or hold safer assets.
Invest in reverse, doing the exact opposite of the crowd.
If your reaction is just like the majority, then your actions will also be no different from ordinary investors.
Reverse investing is difficult to achieve, but you should strive to try.
The most important thing in investing is to reduce positions at relatively high levels or increase positions at relatively low levels, rather than pursuing the highest and lowest points.
No one can accurately determine when the market is at its highest or lowest.