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Current market outlook
With the current market outlook where recession is predicted to come soon (some might even say it is here) would you change your method of DCA?
I'm thinking of reducing my DCA when the S&P 500 is trending up and increasing the amount allocated when it down to the level which I think is good for me. Though this might look like timing the market, I do feel that it can help in maximising my returns in the long run. Any comments on this?
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You are thinking of value average which is an alternative to dollar cost averaging. There are some online articles on the comparison but I think as long as one stay invested in the market, it is good as we can never be able to time the market.
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Hmm, it does make sense to pump in more into DCA when the market is down, and some people called this Enhanced DCA or eDCA.
But for eDCA to work, you must really be diligent in checking the market conditions everyday.
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One thing surely, this wouldn't be a DCA anymore. And thus beating the whole intent of DCA
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Have stopped adding positions (DCA) for close to a year. Personally believe we're not at the worst p...
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Yes better to dca more when it is lower