10 Rules for Surviving This Bear Market

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Don't Give In to Fear … or Greed

Fear is a learned response to a particular event or probability. In the case of trading, when a trade goes bad, the regret and frustration can carry over into the next trade. Or, worse, the fear is so consuming that you don't even enter your next trade.

Greed creates the opposite problem. As much as we all love having consecutive winning trades, it can result in the ego growing, and that feeling of invincibility can overcome our logic.

This can lead into trades that you normally would not have entered, whether as impulse buys or by putting more money into a trade than you typically would, in hopes that you can "double up to catch up".