September: In like a lamb, out like a lion?

September is well known for market downswings. The beginning of September fooled most analysts and markets were higher then expected. Fears of a double dip recession in the states were looming over everyone but the markets pulled through. Now in the later half of September, markets are in a downswing and unlike most investors who are selling, I am looking for a good buying opportunity.

The dividends I've collected over the last few months are starting to burn a whole in my pocket. I've been saving them for the perfect time to either to add to my position in stocks I already own, or to invest in another company and expand my portfolio. The golden rule is to buy low, sell high; but it seems like the majority of people investing cannot fight the natural human reaction to sell in sliding markets to minimize their losses. Investing in dividend stocks allows you to easily overcome that human reaction and see downturns as a perfect time to buy. When everyone panics and starts to sell off, I'll be there with my big pile of dividends waiting to pounce on a good buy.