NASDAQ dropped by about 8% over the past fortnight. While such declines are not uncommon in the stock market’s history, they can still be unsettling, especially when my US portfolio experienced a larger 12% drop over the same period.
A voice in my head prompted, “Let’s not waste this opportunity!” With some spare cash from the selling CrowdStrike (NASDAD: CRWD) last Monday, I started to contemplate what I should spend it on.
Should I average down on LuluLemon Athletica (NYSE: LULU), now 15% below my recent purchase price? Or perhaps average up on Alphabet (NASDAQ: GOOG) after its recent price drop despite announcing a good set of results? Maybe a bit more Nvidia (NASDAQ: NVDA)?
“Wait!” another voice cautioned. “Are you sure about those choices? What about other options?”
You are right.
After further consideration, I decided against buying any of the above and instead added The Trade Desk (NASDAQ: TDD) and Veeva Systems (NYSE: VEEV), companies I’m more familiar with.
It might sound hilarious to think so much for such small investment. But noticing such thoughts provide the practices for the brain, such that it will be ready to handle larger decision in the future.
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