one of my friends recently had a relationship turn sour on her, and with the markets tumbling all around, i was thinking that the two are really quite similar; investing in the stock market and being in a relationship - the love type.
in both cases people speculate. both are led my sentiments and both dont make much sense.
you invest some, and the market climbs, it s all excitement, just like in a relationship, those wonderful initial months of mutual discovery, days when time just flies. both displaying the best of each to the other. so when the market soars it is plain good, just keep investing more of your chips hoping and in reality just speculating that it s going to be up all the way. just like in the stock market where technical analyst will tell you what tommorow is going to be like, what the underlying fundementals tell ya; comments of how 'compatible' you and him/her is.. how god has made one for the other, neither god or the technical analyst can tell you a minute before a soaring relationship goes sour. seasonality. analyse any market data and you see a definite seasonality, ups and downs. even the rationalist who thinks only with the head and not with d heart cant tell you why there is a dip. but they say a dip is good. a correction. this is nothing but the "give it some time"..or "why dont you take a break" thing. and when things sour a bit, there are those who take their chips and run, there are those who stay invested, and there are those who put more of themselves, those who put everything they have.
when the market hits rock bottom, there is one who is still holding on.. holding on to a script that is not worth anything, that does not have the magic power to make him/her happy or rich as the case may be.
and
like in the stock market where they advice you to never put all your eggs into one basket.. advice critical in the relationship market :P. diversification is the key word.
but
sound advice is always to play for the long innings, to be the trenched player..
but then i dont have all the answers.. bankrupted as i am in the stock market.. i shouldnt be the one to be giving advices. :)

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