As market psychology looks now to be boosted from the averages hitting benchmarks, the breaking downward below 10,000 may itself have marked a negative milestone.
Investment managers are hoping investors learned a lesson about being ruled by artificial market levels.
"One of the problems that we had last year was there were too many investors who had too heavy a weighting in equities given their risk tolerance," says Beth Larson, principal of Evermay Wealth Management in Washington, D.C. "Many of those individual investors probably swung the other way in the fourth quarter and the first part of the first quarter in 2009.
"Neither of those are the right thing to do. You need to set a long-term objective of what you're comfortable with having in equities and really try to ride through the ups and downs of the market."
But some still do worry that investors, particularly those who have missed the six-month rally, will look for an entry point in a market that already has surged beyond what many analysts imagined possible in such a short period of time.Page 3 of 5 | Prev Page | Next Page