How to reduce the chance of making mistakes even if something unexpected happens.

yuannn
2022-10-09

First, recognize the situation of the periphery

Read more news and keep abreast of economic developments and external developments. For example, the US interest rate hike is more than expected, or the foreign exchange market shocks, how big will the impact be? Which company is most affected? Is it lasting or is it a transient reflection of psychological factors? Understand a little more, may not be too alarmed, can calm down to face.


Second, understand the market direction

There may not be a single problem causing the stock market to plunge, except for a single piece of news that precipitated the crisis and made the crash worse. Have a plenty of early harvest, take advantage of the opportunity to leave the market to maintain earnings. However, if the underlying investment factors turn sour and the company's performance is poor, the market may be depressed for a longer period of time, so it is advisable to leave for a while and avoid jumping in too early.


Lastly, know the companies you are investing in

If the companies you invest in are not affected by the economy, they are stable listed companies, and their business is not affected. Even if the market falls sharply, there is no need to panic.

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.

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