stock market stupid prices?

[Kirk R.]

Coronavirus seems way worse than 2008.

& yet prices are way above 2008.dow was around 9k.  now it's at 21k.  

very few businesses that I would buy at this point. 

mayb ppeople think vaccine might be found or warmer weather? but even if everyone went back to work today, seems like stocks still overpriced. 

buy long term.  dollar cost average.  don't time the market.  but... this seems like worst business environment I've experienced. 

thoughts? 

[Joe Cassandra]

If you buy on emotion...you'll sell on emotion --- i.e. likely sell for a loss later on. 

We're seeing a bear market rally and so many are feeling the "oh, I missed the bottom, I need to buy now." I know that based on the low volume in the markets on this up days. Low volume = average joe buyers. 

I also get texts from family members and see posts on social about "what stocks to buy right now" from people who've never bought stocks before (or were serious). 

Same thing happened with crypto...tech bubble.

Those folks will get slaughtered (again). 

Think about it...

We spend all this time analyzing real estate deals. We spend 0 time deciding on what to stock to buy. 

But just buying a stock because it "looks" on sale right now is a terrible strategy. 

Airlines and cruise stocks for example...we've heard nothing about the numbers they're experiencing. We don't know when people will start flying/cruising again...

Would you buy a house if you didn't know have full info on its value?

Worst...you don't know which companies could go bankrupt from it all or get bought out at a low price. 

Why? 

Because most companies overleveraged the past 10 years due to low interest rates. (airlines being one) And now the heat is coming. 

"Oh, but I plan to hold for the long-term so it's okay if stocks go down again." 

Doubt it. 

Buy on emotion, you'll sell on emotion. (I write, market and invest in the stock market for my full-time income)