Results From Dollar Cost Averaging From the $60,000 Peak
The two previous peaks were followed by a 1-year decline. The first peak took one year to return to black. The second peak took six months to return to black.
Note: I started this new dollar-cost-averaging study below on the October 2021 peak.
However, this peak had a double top so I also did this study from the April 2021 peak. We have declined 18 months losing nearly 50% by dollar-cost-averaging.
Now let us compare this data with the previous two peaks.
Note: The dollar-cost-averaging study below was started on December 2017 peak to reflect the very worst timing for Dollar-Cost-Averaging. The market declined for one-year losing over 50% and it took another six months for DCA to be in the black.
Note: The dollar-cost-averaging study below was started at the January 2014 peak to reflect the very worst timing for Dollar-Cost-Averaging. The market declined for 1 year losing over 50% in equity. It then took another…