There are people how booked profits when the markets were at all time high and there are people who have not at all booked profits. So the idea being is Invest Smartly. Why cant we be one among those who booked profits at a higher levels.
It is said that "no one can ever buy at a bottom price and no one can ever sell a highest price , it can only be done by liers."
As I always say don't forget the Newtons law of Motion - Every thing which has gone up has to come down one day.
Here are a few ways to survive a stock market correction -
- Don't Panic - Panic is not the solution to this. Instead invest wisely.
- Don't indulge in frequent buying and selling - Frequent buying and selling wont give any thing accept a huge loss.
- Stock Market recession should be seen as an opportunity. Recession is always termed as an opportunity as things are available at a cheaper rate.
- Don't follow peoples advice where investment is concerned. Try and figure out things on your own.
- Be confident in your decision. Make decisions after a detailed study , don't make any harsh decision.
- Stop following even analyst and also stop following their crazy tips. They give tips of rs 1 stock which will become Rs 20 in a year or so a 2000% return. Fake , stop trusting them.
- Don't look at your portfolio every now and then. This will give you nothing accept tension.
- Being patient is a key to success.
- Diversifying your portfolio. Recession is the best time to diversify your portfolio recession is the best time as things (stocks) you always loved are available at a dirt cheap rate.