Tuesday, October 14, 2008
Buy! Buy! Buy!
I got up early at 6:00 today thinking I would beat other investors to the punch on the TSX exchange to buy Canadian Imperial Bank of Commerce stock at $48. After all, the dividend yields roughly 7.5% at that price! Way to slow! By the time the order reached the desk it was over $56 per share and peaked at 58 so far. My suspicion was correct - every smart investor is up making orders and we Canadians really suck at planning holidays (yesterday was thanksgiving for us). I tried to get onto the NASDAQ server to find some bargains and got the shot above.
This is when it seems like a good time to remind myself of the herd mentality and not fall into the trap. Golden rules for the stock market:
1. Don't follow the herd
2. Don't buy or sell on emotion
3. Buy when others are selling, and
4. Sell when others are buying.
Have to run now and get in line to put in another HTTPRequest() object to the NASDAQ server.