By: musicwhiz Sorry for the recent lack of updates; work has been hectic and I have had a busy schedule. By early June 2008, I should be more free to do regular reviews of the companies I own and to continue my behavioural finance as well as investment sins series. Today I will examine the concept of "doing nothing", which is seemingly innocuous but can be highly profitable ! Warren Buffett advises that if there's nothing to do, then just sit on your butt and wait. This concept is, of course, totally contrary to a trader's mentality where there MUST be action every minute or hour in order to take advantage of price action, usually gleaned from careful studying of charts and indicators. Most investors cannot resist the urge to constantly buy and sell or to just do something; somehow inactivity makes us feel as though we are not doing enough to earn money from the stock market ! Read more...