3 Things NOT to Do in a Market Downturn

In this week’s episode of The Bull & The Bear, Matt, Adam and Charles take a look at three stocks within the communications services sector. It’s a mixed bag of recommendations. [Turn Your Images On]( Editor’s Note: When the stock market opened down today, we asked our trusted Research Analyst Matt Clark for advice. And we didn’t want you to wait to get this message with your regular Money & Markets issue tomorrow morning. We realized the sooner we could get Matt’s message to you, the better! — Chad Stone, Assistant Managing Editor 3 Things NOT to Do in a Market Downturn [By: Matt Clark, Research Analyst]( [Turn Your Images On] When the market turns south, it’s easy to panic. You’re worried about your retirement nest egg or your supplemental income being flushed down the drain. I understand how you feel. We’re all worried about money nowadays. - Unemployment is up. - Prices of goods and services are on the rise. - And Congress remains stuck on what to do about another round of coronavirus stimulus. Since April, the stock market has performed like nothing was going on … until now. On September 2, 2020, the S&P 500 hit a high of 3,580.85. In the 19 days since, it has dropped 9.2%. S&P 500 Falls For context: - Coronavirus infections are ticking up globally. - We’re in a presidential election year. - And the U.S. trade war with China continues to simmer in the background. My advice? Don’t throw your hands up. Here are three things you shouldn’t do when the market turns south: - Don’t Sell in a Panic This is the easiest thing for investors to do when the market starts to turn south. You want to stop the bleeding in your portfolio. All that red has you just as nervous as when you got your high school English term paper back from your teacher. Remember, these short-term price movements aren’t indicative of a company. If you trade on emotion rather than looking at the bigger picture, you are guaranteed one thing: losses. - Stop Looking at Your Portfolio Refreshing your portfolio every five minutes on your computer, tablet or smartphone only adds to the panic you are already feeling. Stop. Step away from your computer. Take a walk or a drive. Pet your dog. Play a game. Call a friend. There’s no point in continuing to check your portfolio during trading hours, unless you are a glutton for anxiety. There is nothing you can do about what’s happening. Be smart, and stick to your strategy. - Let Us Do the Heavy Lifting We have a team of people — including Chief Investment Strategist Adam O’Dell, myself and Charles Sizemore — who spend our days looking out for you. Adam has a tried and true system — [Green Zone Ratings]( — that takes the emotion out of investing and uses a sound strategy to produce gains. And it works. Even though the market is down now, Adam’s Green Zone Fortunes subscribers are sitting on average gains of 20.6% — including a 65% winner and a 32% winner. (And Adam picks stocks that are set to beat the market by 3X in 12 months — so a couple of down days just mean buying opportunities! [Click here]( to learn more about one…) Subscribers to his premium Cycle 9 Alert options service have seen average gains of 42.3% — three options positions are up more than 26% even in the market downturn. (And that’s the beauty of options: You can play up and down moves! Find out the details about Cycle 9 Alert [right here]( The bottom line here is that you don’t need to refresh your portfolio screen or sell in a panic. Take a deep breath, and trust that we have your back. We’ll let you know when there is action you need to take. We understand that stock market downturns aren’t easy to deal with, but if you keep calm, don’t make any rash decisions and trust that we are there for you, we will get through it together. Note: Charles and I are going to talk more about emotional investing on Wednesday’s episode of The Bull & The Bear podcast. Make sure you check out our [YouTube channel]( or your favorite podcast syndicator (Apple Podcasts, Google Podcasts, iHeartRadio or Spotify) to listen. Until next time… Safe trading, [Matt Clark signature] Matt Clark Research Analyst, Money & Markets Privacy Policy The Money & Markets, P.O. Box 8378, Delray Beach, FL 33482. To ensure that you receive future issues of Money & Markets, please add info@mb.moneyandmarkets.com to your address book or [whitelist]( within your spam settings. For customer service questions or issues, please contact us for assistance. The mailbox associated with this email address is not monitored, so please do not reply. 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