Hi Adam, There are so many different approaches to finding the right entry point and none of them seem to work all that well all the time, depending on the position, the volatility of the market, and external, unpredictable forces.
Did 9/11 help trigger the 2001-3 slide that stared in December, 2001 and hit bottom in September of 2002 and then was rocky for more than a year more? Who knows. The same goes for 2007-9. Did an external force trigger this crash? Then there is oil and the current rocky market. Are they connected?
If we ever to figure this out it would be a miracle, it seems to me, so we just do the best we can.
As to buying in smaller amounts spread over time, that works, at least somewhat. I s@#$%ed up my Ford position, buying only half of what I had intended. I wasn't sure what to do if I were to buy at a higher price that was not called by AIM, so I put a GTC at the same price as before. Sure enough, after a wait of a couple of weeks, it came back to the same price and executed. The killer was that it went 12 cents lower. Damn. Almost 1% lower than I had bought at. Just shows to go ya, ya can't win.
Best,
Allen