There is always a retracement period in the stock market. This is normal; it is something every trader should have accepted.

When the stock market is bullish, everyone is happy.

As soon as the stock market began to adjust, watching the stock price fall back to the cost price,

Only then did retail investors start searching for all kinds of “analytical articles” and doing all kinds of “homework”,

Some are even looking for “chicken soup text”...

Trying to find some comfort~

As long as someone tells him, “The stock price drop is temporary, are you afraid it won't happen?”

He feels OK, he's very comfortable~

He won't think about whether that statement has any basis,

He will also selectively ignore any statement contrary to his wishes.

This is a common bias in the stock market.

Every day I watch the stock price go up and down, and my mood rises and falls,

It's usually because there isn't an effective set of trading strategies.

If you have a trading strategy and it is effective (can make money in the long run),

As long as you follow the strategy and operate repeatedly, treating the stock market as a game of probability,

Earn more, lose less, or earn more, lose less (the technical term means that expectations are positive)

The law of big numbers will eventually make you money.

There is always a period of retracement in the stock market. This is normal.

It's something every trader should have accepted.

Why should I care?

Reduce the obsession with winning or losing individual stocks, and focus on the strategy itself,

Your investment portfolio, body and mind will all be healthier.

Hi everyone, I'm Black Horse who focuses on quantitative trading strategies.

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Off topic:

Every day, I need to spend time researching trading strategies and input knowledge,

I don't have time to post articles every day,

Don't want to miss my post, or

If you want to read my weekly market reviews, please read the comments section of the original post~

Disclaimers:
The content shared above is for educational purposes only and personal opinions, and is not investment or financial advice. To make any investment or financial decisions, please consult a professional financial advisor first.