> A better rule, however, is: do not try to time the market. Just invest when you can.
I'm not sure if I understood this one correctly. Is it like, instead of trying to find the best time to invest, like waiting for something huge to happen, just invest every now and then when you are able to do it. Is that it?
Most people get paid biweekly or twice per month, so it would make sense to just invest when you get paid.
This is what dollar cost averaging usually means... assuming prior money was already invested.
But when you have a lump sum, instead of putting it all in on that exact day you can DCA over a short period of time, like 2-5 days or 3 weeks. This is basically averaging over that period which is better than the chance of just happening to pick the wrong day to buy.