It’s common for investors to be concerned about short-term fluctuations in the stock markets. The only guarantee, is that it is impossible to predict the market.
However, history has taught us that the largest drops and gains are often concentrated into short periods of time. If you try to time the market to avoid the falls, you’re highly likely to miss the gains.
The chart below shows how damaging missing a small number of the best days would have been if you’d invested in the UK stock market over the last 20 years. When it comes to investing, doing nothing and staying focused on the long term strategy is often best.