Back to top

Image: Bigstock

How to Control Your Emotions During the Stock Market Madness

Read MoreHide Full Article

  • (0:30) - Stock Market Volatility: How To Handle Your Emotions 
  • (8:00) - Surviving Volatility With A Diversified Portfolio 
  • (12:30) - How Will The FANG Survive The Sell Off?
  • (17:00) - Social Media Stocks: Data Leak Concerns
  • (21:20) - Are The FANG Still A Sure Thing?
  • (26:45) - Episode Roundup: BABA, FB, TWTR, MU, NVDA

Welcome to Episode #125 of the Zacks Market Edge Podcast.

Every week, host and Zacks stock strategist, Tracey Ryniec, will be joined by guests to discuss the hottest investing topics in stocks, bonds and ETFs and how it impacts your life.

In this episode, Tracey is joined by Kevin Cook, editor of the TAZR and Healthcare Innovators newsletters and the host of the Mind Over Money Podcast, to discuss how investors can control their emotions during stock market volatility.

How do you avoid doing something stupid with your stocks or portfolio?

Kevin has a strategy that he deploys to keep his emotions in check.

3 Steps for Controlling Your Emotions

1.      Have a plan.

2.      Know your time frame.

3.      Review the plan.

It sounds simple, right?

A lot of investors get caught up in emotions because they feel out of control during stock market volatility.

But having a plan can go a long way towards alleviating that loss of control.

The key, however, is to have one before you need it.

And then stick to it when things get rough.

What do you do about FANG?

A lot of investors have also been caught in this correction with big positions in the FANG and the FANG-lite stocks such a Alibaba (BABA - Free Report) , Facebook (FB - Free Report) , Twitter (TWTR - Free Report) , Micron (MU - Free Report) and Nvidia (NVDA - Free Report) .

These stocks had big runs in 2017 but have pulled back in 2018.

Tracey likes to call them “sure things” because investors were piling into them as defensive plays, but in 2018, they’ve been anything but.

Should investors cut back in these names or is now the time to add more?

Find out the answer to this and more on this week’s podcast.

[In full disclosure, the author of this article owns shares of FB in her personal portfolio and MU in Zacks Value Investor portfolio.]

Don’t Even Think About Buying Bitcoin Until You Read This

The most popular cryptocurrency skyrocketed last year, giving some investors the chance to bank 20X returns or even more. Those gains, however, came with serious volatility and risk. Bitcoin sank 25% or more 3 times in 2017.

Zacks’ has just released a new Special Report to help readers capitalize on the explosive profit potential of Bitcoin and the other cryptocurrencies with significantly less volatility than buying them directly.

See 4 crypto-related stocks now >>