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> He was able to make a profit during the decline in market prices which began at the end of 1929, having been bearish at the time.

Well, yes, that might have informed his lessons from trading. There's another saying in the opposite direction, "never try to catch a falling knife". https://www.ecb.europa.eu/pub/pdf/scpwps/ecbwp1545.pdf

But it's not an unreasonable approach. Declines are often driven by panic. If you can determine that it's an irrational panic and the fundamentals of the business remain strong, then you can invest while it's undervalued. It's certainly better than buying just after something has gone _up_.



i find "never try to catch a falling knife" a weak metaphor because, never try to catch a knife on the way up either.




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