Friday, August 5, 2011

The Stock Market "Crash"

After the horrendous day yesterday with stocks how can one possibly recover?

EDIT: At the time this blog entry was posted I had a Youtube video here. That has been removed but I want the rest of my content to be remain. Nothing hidden no past mistakes ignored. All out in the open.

So to me this "crash" is a whole lot of nothing but there is a self analyzing opportunity for us here to learn from.
What is your mindset? Did you or are you panicking and hitting the refresh button on your broker screen every few seconds? You probably have too much money at risk and you probably haven't been through these moves before. Not to say the later is bad, its a process that every new investor goes through that no book or video can teach. I go through it too.

Why I bring this up is you can tell when you are becoming an "expert" or a "professional" when you are able control your emotions or better yet, when they don't come up at all. This allows you to move more quickly to your mental checklist to go through for major events. This would include things like...
Does this change or impact my portfolio?
Does this change or impact my overall strategy?
Do I need to make any defensive changes?
Do I need to make any profit making changes?

Notice the first three I list are defensive? I always focus on that before going after profits.


Disclaimer: The investments and trades in my videos and blog entries are not recommendations for others.
I am not a financial planner, financial advisor, accountant, or tax advisor. The financial actions I talk about are for my own portfolio and money and only suited for my own risk tolerance, strategy, and ideas. Copying another person's financial moves can lead to large losses. Each person needs to do their due diligence in researching and planning their own actions in the financial markets

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