It's practically impossible to predict short-term fluctuations in the stock market. In fact, after the 33% plunge in the Nasdaq-100 technology index in 2022, few professional Wall Street analysts believed it would then go on to surge a whopping 40% in the first six months of this year.

That's why taking a long-term approach is the best way to generate strong returns. It smooths out short-term volatility, and history proves the more time you spend invested in the market, the higher the probability you'll make money. The Nasdaq-100, for example, has delivered a positive annual return 80% of the time since 1986.

Investors can track that performance by purchasing an index fund, which is a conservative -- or "passive" -- way to gain exposure to the market. On the other hand, investors with a higher appetite for risk might choose to pick individual stocks due to the potential for much higher returns (but also greater risk). 

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Source Fool.com