bernardtayet
2022-09-23

The five stages of grief is a simplistic psychological framework to describe investors'sentiments in general.

Not everyone goes through each stage as described. Some could be angry if they buy a certain shares due to hearsay, others could be frustrated if they continue to DCA and share price keep droppings. People could also resigned to the fate that they accepted the losses made in a bear market. They felt that nothing could be done in the meantime. 

Making losses and reaping profits is part and parcel of investing or trading in a stock market. If one has used spare cash to enter the market, and have been through many past market cycles, then one is probably riding the ups and downs steadily, knowing that the pot of gold is waiting when the rainbow appears. 

The five stages is a theoretical model. One needs not go through it stage by stage. It all depends on individual situation. 

I see bear market as opportunity to make more money. Nothing to grief, or angry nothing to be frustrated or depressed. 

I accept it as part of economic cyclical movement, waiting for the right movement to go bottom fishing, emotionally controlling fear and resisting greed, staying calm and cool, reminding myself why am I in the market. 

If one has invested carefully, the stock that you buy will eventually rise above your purchase price even if it is down and down now. 

Not easy to remove emotions but at least control it unless you use money that you cannot spare. That will be challenging and you would likely in one of the stages mentioned in this article. 

Just sharing my opinion only based on invitations from Tiger's chat and fellow tigers. 

Not everyone may agree or share similar opinion. Similarly the model of 5 stages is not applicable to all.


Best wishes. 


Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

  • HelenJanet
    2022-09-24
    HelenJanet
    Thanks for sharing the 5 stages of grief.
  • Gcwj
    2022-09-23
    Gcwj
    Interesting. What stage are we at now?
  • Julianw
    2022-09-25
    Julianw
    I fully agree with what you have mentioned.  Should always use spare cash and never use money that you cannot spare.  What goes down must come up again.  Just fhat you can never predict how long to wait.
  • Kiyosumi
    2022-09-23
    Kiyosumi
    I am at acceptance stage. All my shares are in red. I accepted my fate. Tutorial fees paid. All I can do is wait. Wait for upturn in one or two years time. I will not sell despite losses
  • jennyvu
    2022-09-23
    jennyvu
    😊
  • XguiX
    2022-09-23
    XguiX
    [Smile]
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