The Reason Behind the Red

Answers, clarity, just something to make sense of it. People are always seeking for the reason behind an event. Understanding grants a sense of control when dealing with the vicissitudes of life. The search for meaning is often followed by one big feedback loop, dropping you off where you started with more questions than before. The realization that ignoring the reason and simply bypassing it with it happened, is a powerful mental space to occupy. 

Bond yields, economic data, fiscal policy, funds liquidating, Reddit, foreign and domestic conflicts, job numbers, earnings, greed, fear, technicals, pandemics, algorithms, tweets, inflation, deflation, hacks, competition, resignations. These are the reasons your stocks are down. Know, take your pick. Seriously, just choose one. Because regardless of which one you choose guess what?

Your stocks are still down. 

A million things can kill you, but a dead man, is dead. 

So, when faced with a multitude of reports, red markets, and your choice of the above options, just remember, the reason for a stocks decline, will not change its decline. 

I’m talking about the general market here, there are reasons to be concerned if something dramatic happens within a specific holding. 

Have a plan, stick to the plan, and don’t obsess over the events unfolding in the world. You will be right back where you started. With your portfolio having a red day. 

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