The Stock Market, Your Life, and Your Future

Money can’t buy happiness, but it sure is important to our daily lives and long-term futures. You need to be able to pay your bills now, and it takes money to do that; if you want to retire, you’ll need money for that, too.

Your life and your future rely on having enough money, which is why you need to think about how you’re going to save and increase your wealth over the years. When it comes to building wealth, there’s no more powerful tool available to the average person than stock investments. Here’s what you need to know about investing for now and for good.

Investing for the near and long term

Money goals are all about understanding the near term and the long term. Right now, you have rent or a mortgage to pay. Someday, you may own a house free and clear. Right now, you have a job. Someday, you’ll be retired.

The strategies that we use when we invest are key to making sure that we have enough money now and later. Generally speaking, smart investing means balancing riskier short-term moves with safer long-term ones, and reducing our risk as we get closer to retirement age.

The logic here is pretty simple. The stock market generally goes up over time, but it can also plunge over shorter periods of time. If you’re 20 and have a good 50 years or more left to make money on the stock market, you don’t have to worry too much about the downturns — you’ll still be here when things perk back up. If you’re 65, it’s time to move to safer stuff.

The ultimate near-term investment move is day trading. Using advanced strategies such as an Ichimoku Kinko Hyo trading strategy, you could make big bucks quickly — but you could also lose money in the short term, so be careful. For those who focus full time, do their research, and are careful about moving a portion of their profits into safer long-term investments, day trading can be good way to make money.

Balancing your priorities (and taking some breaks)

 

When you’re using your money in intelligent ways, your hard work is going to pay off. You can put in long hours trading (or working at a salaried job), invest aggressively now and put away long-term savings in a safe spot, and just keep doing that to grow your wealth day after day, month after month, and year after year. You can make your wealth-building operation into a lean and efficient machine, using every cent that you have to make even more money.

And that will drive you nuts.

Look, we’re not saying that you shouldn’t focus on your financial future. But remember that, while you should do your best to save a lot for retirement and other long-term goals, it’s OK to spend a little money now. Take a vacation, or buy something that you really want to enjoy while you’re young.

In fact, paying attention to your immediate wants and needs can help you make more money in the long run. Vacations make us more productive, and depressed people can’t focus well enough to make the sorts of accurate and speedy decisions you’ll need to make on the market. So grab those flights to Florida, rest up on the beach, and go paddleboarding in West Palm Beach. Enjoy the sun (it’ll help you metabolize vitamin D and improve your mood and mental health), get some exercise, and return home invigorated. Sometimes, a little spending is the best thing that you can do.

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