Do You Know What To Do When Stock Markets Are Crashing?

Do You Know What To Do When Stock Markets Are Crashing?

do you know what to do when markets are crashing

Do you know what to do when stock markets are crashing? This is what you need to know as stocks fall like crazy and Wall Street bros gear up to head into the “worst week” in three months as “stocks face a “reality check.”

Do You Know What To Do When Markets Are Crashing? Video Overview

I’m Kiana, the Invest Diva, former engineer, I grew my portfolio from $500 to over $15 million in the past decade, here to help you beat the Wall Street bros at their own game. 

And to these types of click baits, I say “oh boohoo” and “please stop with the doom and gloom.”

This is what the markets are all about. Observing the emotions of grown-ass men as they get excited about “rumors” and then throw a tantrum once the news comes out.

At Invest Diva We Do Things Differently

And if you want to see the results our members see over a long period of time, without getting panic attacks every time the markets fall and without being stuck to your screen all day, I suggest you do, too.

We sell when Wall Street bros are wearing their happy pants and clicking the buy button all day, like I did all of the past couple of months, as I shared here publicly and in my newsletter.

We buy when Wall Street bros throw a tantrum. But we don’t buy them all at once. Investing obviously involves risk of loss and you can Never ever ever TIME the market. You can, however, PRICE the market. 

That means studying the history of Wall Street bro psychology on the chart and seeing the prices at which they stop being overly emotional and start taking a chill pill. 

Those are the prices at which you can start dipping your toe back in… and it ALL depends on YOUR risk tolerance. 

96% Of Trader LOSE Money In The Markets

Traders often lose money in the markets because they haven’t precisely measured not just their willingness to take a risk but also their ability to take a risk AND their confidence in the asset they are planning to invest in, in the specific time frame they’re planning to hold on to that asset to.

For example, if you’re a long-term value investor, these tiny ups and downs are nothing when you zoom out and look at the big picture. 

But if you’re a medium-term swing trader, or if you take advantage of options, you need to be damn sure you have not just the willingness to risk the markets dropping lower but that your portfolio can take it without getting a margin call

What’s beautiful about studying the charts is that just like history, Wall Street bro’s emotions rhyme and sometimes even repeat itself year after year after year.

This is how I was able to identify the top of the S&P 500 here.

what to do when stock markets are crashing

And now, using the Fibonacci retracement levels, you can see that the next key psychological levels the SPX can drop to, shown here in orange (5,613, 5,333, 5,104). The top is currently sitting at 6,078.

The purple levels have a lower probability of reaching. So, at each level, before you decide you’re gonna buy at that price, you need to ask yourself what I call my Confidence Compass questions that I’m gonna share with you in 10 seconds. 

But understand that this is a decision only YOU can make, and you can ONLY make it after you have measured your ability to take a risk. 

You can measure your risk tolerance by grabbing my free risk management toolkit, which comes with my free Triple Compounding Training here, that’s gonna help you secure your financial future and accelerate your freedom.

Here Are The Confidence Compass Questions To Ask Yourself Before Buying At Each Level:

  1. If I buy at this price and the price drops by another 50%, how would I feel? Would I panic, or would I buy more to dollar-cost average at lower prices? (hint: this question also reveals your CONFIDENCE in the asset you’re planning to invest in).
  2. If I don’t buy at this price and the stock suddenly turns around and starts going up again, will I beat myself up for not having bought at this level?

Of course, both scenarios will suck. Your job, as an Invest Diva or Invest Divo who is in charge of your own emotions and money, is to get really raw and vulnerable with yourself and honestly decide which scenario would suck more. 

And then, make a decision not to do the scenario that sucks more, and then stick with it.

No victimizing, no panicking when things go in the opposite direction.

Just a steady and in-control Triple Compounder who sees the Wall Street bros’ tantrum and takes advantage of it.

And I’m here to help you along the way, so hit that follow button, and don’t forget, Triple Compounding is the way.

Remember to register for your FREE Triple Compounding™ Training HERE AND get the Triple Compounding™ workbook and personal risk management toolkit for FREE.

And if you wanna follow my latest strategies and understand how I manage my portfolio every month, grab your special offer immediate access to my Newsletter HERE.

If you liked this blog post about ‘Do You Know What To Do When Stock Markets Are Crashing?’ then you will love my latest blog post about ‘Will “Trump Trade” Continue To Boost Stocks And Bitcoin In 2025?

Disclosure: I am not a financial advisor and this is not financial advice. This information is for educational purposes only.  This post ‘Do You Know What To Do When Stock Markets Are Crashing?’ may contain affiliate links, meaning I get a commission if you decide to make a purchase through my links, at no cost to you. Please see terms of service page for more information.