LEARN LONG-TERM STOCKS INVESTING
Lesson 1: The Great Fear
At first, we are going to talk about, what we call, the “great fear” in long-term investing and potential issues that may be holding you back from making more money in the long run. The next big market crash or the next big financial crisis. Here we will also take a deep dive into your brain, to see how you are wired, and the cognitive bias that most of us have. This great fear is probably what is keeping you away from the longer-term marketplace. And rightfully so because stocks can be hazardous to your financial wealth if attracted to them at the wrong time. For instance,
- On October 19th, 1987 stocks had their worst one-day loss. This was a 22.6% drop in just one day.
- Or if invested into the Nasdaq and tech stocks in around 2000, during the market peak, you would have lost 75% of your wealth over the next 3 years, and you would have had to wait a whopping 16 years, an exceptionally long time to make up for that.
- Or the most recent one, the corona crash, with markets suffering losses of 35% and more in just 3 months, which we are on record for shorting on the way down, timing the top of the corona crash.
So, there is danger on Wall Street. And especially the closer you get to retirement the more you want to be able to sidestep bad years, which we will show you how to do exactly in this course.
Lesson 2: The Long-Term Trend
As a long-term investor, you must be able to identify the long-term trend of the market, individual stocks, and equity indices or ETFs such as the Dow Jones Industrial Average, the Nasdaq or the S&P500. We at our online trading academy do not just buy and hold, blind ourselves and do not worry about the future, quite the opposite. It all boils down to beating the market and the data proves that you will be able to beat the market comfortably and efficiently by applying our computerized set of rules of long-term investing. This will be shown to you specifically in module 4 – beating the market.
Furthermore, we will show you how to be an efficient long-term investor and use mechanical and objective indicators that help you time bottoms and tops, fundamentally, so we have an idea on when to get in and out of the markets. In this lesson, you will also get a glimpse of value investing, what is going to await you in module 4 – beating the market.
Lesson 3: Bear Markets
In this lesson you will learn everything there is about bear markets. We will educate you on what they look like in terms of the big picture, as this is our great fear. And this cognitive bias is what may be holding you back from being fully invested with your wealth. Understanding bear markets, and what they look like can help you to identify them before they happen. How to sidestep them, and when to get back into the game, which is usually during a time when everything around us, in terms of fundamentals, is as bad as it gets.
How to time market bottoms and tops are one of the most important topics. This you will learn in more detail in module 2 – stock market cycles, and module 3 – market timing tools for the long-term Investor.