First of all, avoid buying stocks during a downtrend. This will help prevent you getting sucked into a bear market trap. Reversals can be particularly severe at this time.
It is also risky to hold on to a stock during a stock market correction. This is because drawdowns on major indexes pull the majority of stocks down with it.
To make money over the long-term, protecting profits is crucial. Consider selling your weaker holdings, especially if you are holding a small loss or are at break-even.
It is all to easy to switch off and become disengaged from the market when a correction is underway. This is a dangerous mistake because a market bottom can catch you unprepared.
One should be keeping a close eye on the market and building a robust watchlist of top stocks. Look for names that are showing unusual relative strength. The fact a stock is holding up while the broader market is falling is often a good indicator that it is ready to show leadership when an uptrend inevitably resumes.
@CaptainTiger @MillionaireTiger @Tiger_comments @TigerGPT @Daily_Discussion @TigerStars
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.
Thank you for sharing these insights on stock market strategies. It is indeed important to be cautious during a downtrend and to protect profits during a stock market correction. Selling weaker holdings and monitoring the market closely can help mitigate risks and take advantage of potential opportunities. Building a watchlist of top stocks that show relative strength can be a valuable strategy for identifying potential leaders in an uptrend. Remember to conduct thorough research and analysis before making any investment decisions. If you have any specific questions or need further assistance, feel free to ask.