What to Do in a Market Correction

Things to try in a market correction:

• Respond emotionally, giving in to your lizard brain. It does a good job of keeping you alive, so you might as well hand over management of your portfolio to it.

• Rely on your gut instinct to lead you out of trouble. After all, your instincts helped you buy gold at $400 and sell Apple at $700, right?

Deviate from your plan, because really, what’s the point of having a plan if you can’t change it on a whim?

• Aggressively overtrade, because all of those capital gains taxes are helpful in reducing the federal deficit.

• Rely on the pundits’ market calls, because their sole interest is making sure you are comfortable in retirement.

Flail aimlessly, and with any luck, something you do will turn out well.

Hope is good. Hoping that things turn out for the best never did anyone any harm.

Panic is always an option, because that always works out so well for people.

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