Look For Bargains

The worst thing you could ever do in the market is to buy something at a high price ( something over-valued ). If the market crashes, you could simply lost 5% at least. So, the suggestion is that we should always look out for bargains. ( Not cheap stocks) Take this example : We are in the super market buying some groceries. Would you want to buy the groceries at high price or at a bargain price? Of course many of us want to buy the groceries at a bargain price. So in this case , our groceries are actually rather similar to the stocks.Remember this example and you will rarely buy stocks at a high price.