Sensex was at 31,000 just the other day. Today it touched 27,000. If you don’t have the nerves for such fluctuations, then you should not be in the market.
A friend of mine retired recently. So he is free and is chilling at home. He did not see the World Cup Cricket semi-final match-India V/S Australia. He says he does not have the nerves.
So is staying away the solution? One might be losing out on opportunities for long term capital gains by staying away from the market.
Personal Wealth, like many other things, is a matter of Science and Psychology. One must understand this and accordingly try to master the art of managing your nerves. Luckily there is a lot of literature available on this subject, if one is interested.
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