Cut your losses
A money management process that effectively cuts out the big losses and leverages stock trends
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A money management process that effectively cuts out the big losses and leverages stock trends
Explosive trends have mesmerised and taunted investors for years……
Normal human behaviour easily attains the emotion that anything is possible and that the sky is the limit, and this is very much propelled by the crowd behaviour phenomenon.
Trends occur all the time and being able to identify and ‘ride’ them profitably is a very attractive challenge for us all.
How cognitive biases can shape our reality
No matter what your analytical style of investing it’s the wise commentators who reinforce the perspective, wisdom and necessity of ‘not losing money’ as the primary focus during times of market volatility.
It comes down to this. If we intend to use the stock market as an investment vehicle we have to do it properly and systematically. It’s the choices we make along the way that ensure success.