Why Not All Dips Are A Buying Opportunity

Buying the dip means purchasing more shares (or cryptocurrencies, commodities or basically whatever you are invested in) when they have dropped in price, on the assumption that they will continue to rise in value. This is in line with one of the basic investment principle of buying low and selling high. But what most people forget when buying the dip is that the market falls fast but rises slow.

While the basic investment principle of buying low and selling high stands true, timing the market on such “dips” may be hard as you may face risks of prices…