Re:Fred Wilson: The Buy and Hold Mindset
by Nursie on Tuesday November 29, 2022 @10:54PM
(#33796849)
> Over the relatively short period of DCA, it will trend upwards.
But this is an assumption!
> If you're saying you know that the rising trend won't begin until a future date, then that's an assumption you're adding
I'm saying I have no idea what's going to happen during the DCA period.
I think at this point its safe to say your view that DCA doesn't work to denoise a signal is predicated on assumptions about what the price trend is doing over the DCA timescale. If the stock is trending up over that period, then you're likely better off buying now regardless of local fluctuation. OK!
But this is an assumption!
> If you're saying you know that the rising trend won't begin until a future date, then that's an assumption you're adding
I'm saying I have no idea what's going to happen during the DCA period.
I think at this point its safe to say your view that DCA doesn't work to denoise a signal is predicated on assumptions about what the price trend is doing over the DCA timescale. If the stock is trending up over that period, then you're likely better off buying now regardless of local fluctuation. OK!