There is a Time to Buy...and a Time to Sell: A bit on "Limit Orders"

One of my daughters was a graduate student for some years, and when I used to ask her about how she could afford to furnish her apartment...she would just smile and say, "I've got it covered." I found out subsequently that on "Move out day" she would just drive down the street and look for the items she might enjoy and then just stop since the price was such an affordable zero. For the "price conscious" buyer, it is unheard of to just impulse buy...One waits till the price is right. When one is buying on Wall Street it is similar...Usually stocks have a high and a low over a period of a year, and it must be assumed that the swing from high to low is at least 20%. On hot growth stocks of course it might be different. But---in a time when the stock market has been booming, and there are signs all over the place that a sharp correction might be coming, and 90% of investors are in bonds....that is time time when it is prudent to use a "limit order" or place an order to buy some shares of stock at a price very much lower than the current selling price. You place the order GTC, which is "Good Till Cancelled". Of course you do have to have money in your account for when it is filled someday. Then during the year, your broker might call you and tell you that "your order for XYZ stock has been filled"---That telephone call tells you that there is a selling mood on Wall Street and you can check what has happened...and you also can celebrate a bit, cause you probably got a bargain basement price. I like to call this the "Limbo Rock Order" or how low can it go?