2 Tips For The Stock Market And A Katy Perry Song

It may come as somewhat of a surprise to you but, I think Katy Perry wrote a song about the stock market. Yes, the craziness of people’s relationship with the market is summed up by the lyrics in her song, Hot N Cold. Read them and see if you disagree.

 

‘Cause you’re hot then you’re cold

You’re yes then you’re no

You’re in then you’re out

You’re up then you’re down

You’re wrong when it’s right

It’s black and it’s white

We fight, we break up

We kiss, we make up

(You) You don’t really want to stay, no

(You) But you don’t really want to go-o

You’re hot then you’re cold

You’re yes then you’re no

You’re in then you’re out

You’re up then you’re down

 

 

They do, don’t they? You shouldn’t have doubted me. Her words describe the emotional roller coaster of investing. I’ve been wrong about some investments and right about others. I’ve had a fight with a few stocks and broken up with them. I’ve really wanted to sell a stock but then really didn’t want to go. I’ve gotten into an investment and then gotten out. And we all know the market is up and then down. If you let it, it’ll drive you crazy!

 

But don’t worry, there are ways to combat the mental craziness.

 

stock market

 

Stock Market Schedule And Effects

The stock market has business hours—they’re open Monday-Friday, 9:30 am to 4 pm. And are closed on U.S. holidays like Christmas and Memorial Day. Right, when the stock market opens isn’t the best time to buy. That’s amateur hour. People are buying and selling based on emotion. Wait until after mid-morning to buy when things have calmed down. Also at the end of the day people are closing out their positions for the day or week, and this can cause prices to go down. For example, the last Friday of the month isn’t the best time to sell because prices will most likely be low. But if you’re looking to buy, that might be a great time to do it.

 

Also, be aware of the effects of events such as the New Year or Presidential elections. The market usually goes down before the end of the year and when I new president takes office.

 

stock market

 

When To Check Investments

It’s a losing battle to check your stocks all day long. Watching real-time quotes will get you amped up and cause you to make a buy/sell decision based on your emotions. The better way to check in on your investments is to wait until the market’s closed. By waiting until then, you’ll be able to make a calm decision based on research and planning instead of panic.

 

Educating yourself on when the stock market runs and common practices can help you make better investing decisions. Also, know your investing goals to stay on track when the market is “Hot N Cold.”

 

 

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