When should we be frightened and when greedy?

When should we be frightened and when greedy?
We always ask ourselves or are asked whether we can make a fortune in the stock market. Those confident people's answer is yes. Those prudential ones’answer is no. My answer is not yes nor no. It depends on the investor's philosophy on the stock market. When the index is up and up you really feel greedy or frightened, vice versa. You'll make a windfall inside the marketplace in the event you feel greedy when the marketplace is down and down. Sadly, most individual investors have the opposite feeling. Why is this so? The reason is that the stock investment can be a type of zero-sum game. Which is to say, in the game several winners' income equals the loss of most losers. Most individual investors sell their holdings when they feel frightened and only at the moment when the index plummets might they really feel frightened. The scenario is ironic. The mainstream of the marketplace is usually monetary institutions. They acquire shares when the index declines. On the contrast, individual investors sell shares when the index plunges. When the market zooms the above two sides do the opposite trade. The institutions sell but individual investors get.

Commonly speaking financial institutions win but individual investors shed. Those wise investors win but stupid ones shed. People who hold proper shares and keep the shares from the bottom to the leading win but people who purchase right now and sell tomorrow lose. Those that know ways to invest in the marketplace win but those that just listen to stock commentators shed.