If the objective is to buy a stock at a low price and sell it at a high price, when should a savvy investor buy and sell?

Question

Quizplus · Accepted Answer

Buying at the bottom of the recession allows the investor to purchase the stock at a low price. As the economy begins to recover, the stock value will likely increase, allowing the investor to sell at a higher price during the expansion. It is important to sell at the top of the expansion to maximize profit before the economy potentially moves into a recession again. Buying at the top of the expansion and selling at the top of the next expansion may result in overpaying for the stock and missing out on potential gains during the recovery phase.

If the Objective Is to Buy a Stock at a Low