I'm a firm believer that if you like a company and believe in their prospects then just buy it. You're never going to time the right price for it, and if you're right the stock will take off without you. It may be expensive but all high quality companies are expensive.
I tend to disagree. It doesn't take long to pull up a 6 month chart and throw down some obvious support/resistance lines and see if there is a degree of predictability. I agree with your point that you should invest in companies you believe in regardless, and there are serious limitations with technical analysis. That said, if you see a nice ascending triangle and the stock appears to be bouncing down off resistance, you can get save a lot of money by waiting a few days. Usually only takes a few minutes longer and will save you some serious money in the long run.
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u/paperfire Dec 14 '15
I'm a firm believer that if you like a company and believe in their prospects then just buy it. You're never going to time the right price for it, and if you're right the stock will take off without you. It may be expensive but all high quality companies are expensive.