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Be One's Own CFO for Personal Finances

Here's a simple strategy of managing personal finances:  50/30/20 rule.   50% for necessities such as housing, utilities, groceries.   3...

Wednesday, February 04, 2026

Did Better Buying the Dip Today

I continued to buy the dip today and did much better.  I bought and sold HUBS for a profit.  I bought TEAM and NOW, and closed up on those positions for the day.  My bad pick was TSLA.  I bought a few shares at $415 and $407 and it continued to decline to below $400, but recovered to close at $406.  I did buy 1 share under $400.

The market is very volatile right now.   Most of my purchases are just a guess of whether the stock has bottomed yet.   Thus, I am very attuned to the stock movement after my purchase.  I worry if it goes down since I purchased too early. I worry if it goes up and I don't sell before it goes down again.  Too much time worrying.😠

I realize now why I'm not a good stock picker.  I'm too nervous about not taking profits when I own individual stocks.  I worry that I don't sell, the stock will become a loss, which has happened to me many time.  The result is my big winners don't give me big gains, which causes me to worry again since I left a lot of money on the table.

I'm definitely much better off investing most of our funds in the market index and using a very small percentage of our funds to buy individual stocks.  That way, I can enjoy the thrill of picking a winner, instead of worrying whether I should sell or hold.

For more on The Practice of Personal Finance, check back every  Wednesday for a new segment.

This is not financial nor investing advice. Please consult a professional advisor.

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