The bad news is that the Dow dropped over 1.7 million dollars in value in the span of a few minutes. The good news, however, is that this decline came in December and not early January. And while many have rushed to invest in stocks that are now on the rise, the smart play is to hold onto your stocks until the dips get smaller. Here are five great tips to help you get back on track:
Don’t listen to too much of the media. In many cases, the news will be filled with negative stories about stocks that just don’t make sense. Often, these negative stories are often completely wrong and based on badly-researched facts. While it’s important to give your stock trades some time to cool off, staying in the dark about bad news can actually do your company more harm than good.
Listen to your favorite newspapers and magazines. While many newspapers are going digital, many still depend on their print ads to keep their readers up to speed on local news. If you find a current event happening locally, pay attention to the headlines and take note of any information that seems like it could apply to your stock portfolio. Many times, local papers are very keen on detailing what could affect a certain industry especially in the financial industry!
Follow the news media. Many people are turned off by the news media because they feel it’s too “caged” or controlled. However, with the invention of the Internet, many news outlets have cut down on their reporting to make room for more current material. Look at some of the online journalism that is available and you’ll see why there’s so much interest in reading up on what’s going on around the country and the world.
Explore different news topics. Whether you enjoy business news, sports, immigration, or new product launches, there’s likely something out there that you’re interested in. Browse several newspapers and magazines and consider the types of stories you find most interesting. When you look for stories, keep in mind that some will be more dramatic than others, and this may affect how you react. Some stories that might seem unbelievable may actually be quite common in the news.
Listen to some popular radio shows. While it’s unlikely that any radio show will have a huge impact on your portfolio, some do. Listen to morning radio shows, as well as popular talk shows hosted by celebrities. The difference between these two and other less popular radio programs (like country music or rap) is that the news value of the content tends to be more unusual and may appeal to listeners who want to hear a unique perspective.