Strategy in the stock market
Have you ever heard of “cash is king”? I totally agree with that.
I have learned the value of liquidity from my experience in stock investment.
I made big mistakes and poor investing decisions due to my obsession with the returns.
It was an expensive lesson that caused massive losses but I am satisfied with just one piece of empirical knowledge.
In essence, my understanding of the best strategy in stock investing is focusing on cash flow rather than the rate of profits.
In other words, I recommend you need to see your portfolio as an organization with the big picture by checking whether that cash is flowing properly, not obsessed with partial losses and gains.
Then, you may know enough cash gives you more options rather than holding a stock until the selling time is ripe in the money game.