Investor tips for the next bear market

Fear caused many small investors to miss the recent stock market rally. While understandable, emotional investment decisions can be very short-sighted.

Kiplinger.com offers the following tips to consider the next time we’re in the middle of a bear market:

  • The stock market turns up when pessimism is rampant.
  • A bear market associated with a recession almost always ends in the middle of the economic downturn.
  • Don’t underestimate the power of government intervention in the economy.
  • The worst are often first — at least at the outset. Stocks of companies that are small and weak, which often have had the stuffing beaten out of them during the down period, typically lead the way at the start of the bull market.
  • Once you decide to get in, don’t wait for a correction — there’s no telling when it will come.

4 comments Add your comment

Shananeeeeeee Fananeeeeeeeee

October 15th, 2009
8:41 pm

Obama is a disgrace.

Fred

October 16th, 2009
9:09 am

@Shanaeeeee Fanny. Some people.

ATLshirt.com

October 16th, 2009
10:31 am

Get your Shorts Ready.. sell off coming soon.. 4th leg of the current bear market will begin toward the end of the year.. the high of the DJIA will be around 10,3000… ;)

#1 Foxy Lady

October 18th, 2009
8:06 pm

Confidence in President Barak H. Obama brought the stock market up and he will keep it up. The economy loves Obama’s economic policies.

So, SUCK IT, Shananee!!!