There is a famous saying that goes: “It is futile to time the market. It is time in the market that matters.” Or perhaps you have heard the saying: “The only thing that matters in long-term investing is the company’s fundamentals.” However, while you might not be able to catch the absolute top and bottom, you can know when it is the time to go aggressive or stay defensive in the market if you can identify the correct stage. In this article, I will share with you the 4 stages of a market cycle, how to identify them, and how to time the market to a certain extent. Why are there Cycles It is generally accepted that the S&P 500 appreciates at an average of 10% a year. However, looking back in history, it is rare that the index goes up by 10% in a year. The market tends to overshoot on both the upside and the downside due to greed and fear....