It is always investor's mindset to "buy low and sell high" to make money in the stock market. Who doesn't want to do that? You can always say you use fundamental analysis to decide a stock's intrinsic value so you know when is low and when is high. But in reality it is never that simple in investing. What does it mean by buy low? Investor usually uses 52 weeks high/low as an indicator to tell a particular stock is trading at which level currently. First of all, they will set their investment time horizon to be 6 to 12 months. If the stock is trading at 52 weeks low, they will think that the price now is low which signal a buy call when that is not the case. Usually, when a stock is trading close or below 52 weeks low, it often show weakness in the stock, people ......