I think you and I have already talked about this. And you're right, Linda. I used to get freaked out by a bad day on the stock market, but now I just try to shrug it off. The good days almost always outweigh the bad days if you're patient.
If you're like me and actually keep an excel spreadsheet (all those pretty colors....), look at the last two or three years and you'll feel a lot better! :)
Right you are. If you do a running average for any tan year period since 1900, the rate of return for the DOW is in the 10% to 12% range. The extreme fluctuations during any given day may be +/- 40% or more. It's enough to give anyone the vapors!
The best advise is do not try to time the market 'cuz you will inevitably end up buying high and selling low. Also, do not put all your eggs in one basket, you'll want to diversify. I do not have enough to consider investing in individual stocks, I pick conservatively managed mutual funds and let the managers do the picking. Sticking with no load funds keeps your costs down.
Regards,
GtG