What to do in bear market

What to do when the market is heavily falling down? It is not certainly cell. Of course, you can sell if it is calculated and like you intended. But for the majority of the mobs fall into the mode of panic selling. The reason is quite simple. They are out of their wits. And they are acting like nuts. That won’t solve any problem. It actually makes things worse. What often people don’t realize at this time is that they are actually under the sunk cost fallacy.

Sunk cost fallacy is simple to explain. But the practical solution is often to perform and very much rare to find a person who actually does above the fallacy trap. Sunk cost fallacy can be simply defined as an action inspired by fear and panic. But sadly these are the times we mostly do insane things captivated by decisions taken out of our wits.

To make a better decision, either we have to be mindful or must be prepared. So when we are prepared, we know the decision that is ought to be taken at unanticipated times. Do it now and make the change. When it comes to investments in a heavy bear market, the wisest thing to do is nothing. Just stay there and simply watch. Or you can do the dollar-cost averaging stuff.

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