…don’t be afraid to buy when the news is bad. Indeed, scary news known to the investing public is most often already reflected in stock prices. In fact, based on history, chances are that most bad news is overly reflected in stock prices. Put differently, if you want to buy low and sell high, the first thing you have to do is buy low—and low prices are often produced by bad news. We can’t overemphasize that investors who wait to buy until the news turns positive almost invariably end up buying much higher, perhaps to the point of buying overvalued investments.