Yeah, never put needed savings into the market. Savings is savings and investable funds are investable funds but the two don’t mix. Always seem them as separate, with separate purposes.
Yep, never assume you can pick a top in a market. No one is that good.
Rallies within established downtrends are one thing. “Top catching” is another. I’ve always said, tops and bottoms are seen in hind sight. And at tops and bottoms, there’s nothing rational about them. They’re illogical periods in time. Greed pushes markets up higher than they should be and fear pushes markets down further than they should be.
It’s our job as investors to let the market’s fears push stocks until unrealistic periods of undervaluation that we take advantage of BUT also to not get caught up in the periods of greed whether to join an unrealistic momentum trade, or to trade against it by “top calling”. Markets can always go further than you’d ever think is possible.
Remember those charts of the NASDAQ I showed in 1999/2000, etc. That’s where we’re at in stock market history once again.