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Market timing is futile from "summary" of A Random Walk Down Wall Street: The Time-Tested Strategy for Successful Investing (Twelfth Edition) by Burton G. Malkiel
The idea that investors can outsmart the market by predicting when to buy and sell stocks is a common fallacy. Many people believe that they can time the market effectively by buying low and selling high. However, financial markets are highly efficient and unpredictable, making it nearly impossible to consistently time the market for profitable gains. Attempting to time the market involves making decisions based on short-term fluctuations in stock prices, which are influenced by a multitude of factors such as economic indicators, geopolitical events, and investor sentiment. Even professional investors and financial experts struggle to accurately predict market movements, as evidenced by the high failure rate of active fund managers who try to beat the market. Moreover, the costs associated with frequent buying and selling of stocks can eat into investment returns, dimin...
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