DCA vs. Timing: Still a Debate Worth Having?
Honestly, the whole DCA versus timing the market debate feels like it's been settled, but I keep seeing new investors treat DCA as some kind of sacred cow that guarantees success, especially in volatile assets. For instance, when you're looking at something like $CAD at 95.879, or even $EURCAD bouncing around 1.6042, there are clear structural levels and economic indicators that suggest moments of relative value or overextension. Mindlessly dollar-cost averaging into a downtrend just extends your pain and locks in lower returns for longer, whereas a well-researched, patient entry can deliver superior results. I'm not saying it's easy, but pure DCA feels like giving up on any form of analysis. Change my mind.
It's not that DCA is a sacred cow, but rather a behavioral guardrail for many. The average investor usually lacks the discipline or time to consistently time structural levels effectively, especially in the context of their personal financial goals.