I've Been Waiting For The Market To Drop For Years!

You hear it all the time: the stock market will correct at some point. There will be a significant downturn. Stocks can't keep going up forever. Corrections are good and they will happen. When everyone else is panicking and selling, that is the time when you should think about buying.

And like a fool (it seems), I have been waiting for this to happen for years now. Waiting for the market to take some sort of a significant drop so that I can buy in and get a lower (maybe better?) price for the stocks I want to buy. But no.....the market seems to just keep going up.

The end result is that I have lost a lot of money. Not money I have actually lost but lost in the sense that I could have made it and didn't.

Its easy to look at any historical stock chart and point to the places where a person should have bought a stock. But in real life we don't have that hindsight. We don't know when the market is going to go up, down, keep going up, or turn around. We can only guess.

With this bull market going on 8+ years now, I have been guessing wrong for a long time and feel a bit like an idiot. There are so many stocks I could have bought and wanted to buy but held off on hoping for a better price. Hoping to get them when the market took its inevitable correction that has never come.

I have lots of cash to invest but the question for years now has been: should I buy here near or at the market's top or wait for that pullback? That pullback that never seems to come but I know is out there somewhere.

Robinhood: Free Is Not The Best Choice

The Internet has created a mentality that everything should be free. People don't want to pay for anything anymore it seems, and that is especially true of millennials.

In the world of stock trading, investors have never had it so good. I guess the vast majority don't remember the time (before the Internet) when you had to physically go into a broker, talk to someone, and hand them a check to open an account. Making a trade meant you had to pick up the phone and again actually talk to a real person who would place the trade. The cost? At least $30 with the cheapest brokers and higher for others.

Full service brokers (which are still around) charge A LOT more than that per trade because you get to talk to your personal financial expert at any time plus you get access to the companies proprietary research. But I assume full service brokers are a dying industry which just caters to old, rich folk.

Online Discount Brokers Made It Very Cheap

Now in 2017 we have had online discount brokers for a good 15 years or longer and the trading fees for those keep going down. Most charge between $4.95 and $9.99 per trade which is dirt cheap compared to prices of yesteryear. Thats significantly cheaper than it used to cost and you can do it all online by yourself and make the trades almost instantly.

But even cheap isn't good enough anymore so Robinhood had to give free trading a go. Free is always better with the younger crowd and so the service is doing well I hear in getting customers. But is Robinhood a real stock broker where you would want to put serious savings and retirement money?

Robinhood Is NOT For Serious Investors!

I hate to break it to you but Robinhood is not a place you should put any real savings that you wish to preserve and grow. Its a site for beginners who want to put a few dollars into the market and who probably have zero stock market experience and want to avoid all fees. Its for people who want to play around in the stock market and buy a few shares here and there. I mean, if you only have $100 dollars to invest I guess avoiding the fees makes sense. 

Anyone serious about investing should stay clear of Robinhood and go with any one of the more traditional online discount brokers (E*Trade, TD Ameritrade, Scottrade, etc). You'll get more services, access to more training, better analytics, more comfort at night knowing your money is really safe, access to more stocks to trade, and better prices with any of the mainstream brokers. 

It can be looked at this way: Robinhood is for kids and the main discount brokers are for adults.