Have a preloaded plan to deal with a market decline
It will help you make rational decisions and take advantage of the market if it falls
Let us start with a simple question: Why is it so difficult to handle abear market? Simple. When we are in a cool and calm state of mind, it is difficult to imagine how we will behave in the future, especially in situations that trigger an intense emotional response. This tendency to behave differently under different circumstances is what behavioural scientists call the “empathy gap" or “heat of the moment" effect.