Once you've taken a bear's path, though, it's hard to backtrack. A year ago I pulled my biggest IRA out of a Nasdaq index fund. At 2350, Nasdaq looked overvalued to me. But once I ejected from Nasdaq, I couldn't, just couldn't, get back in. I don't know if it was pride or what, but something always stopped me.
Bears like to think of themselves as one-eyed rationalists in the kingdom of the blindly insane.
I don't think that. From my own perspective, the longer I sat on the bench, the angrier and less clearheaded I became. I think Nasdaq will post a higher composite than the Dow sometime this decade. I sit paralyzed, pouting about my blown 1650 upside. It's a sunk cost, and I should stop worrying about it.