Volatility in markets evokes emotional responses that, in the majority of instances, assume the manifest form of impulsive decisions to sell investments during the period when they are under the spell of bears. Behaviour finance argues that knowing specifically what triggers you to fall a victim of your emotions will place you better to avoid bad decisions.

You can also employ strategies such as creating guidelines beforehand during portfolio rebalancing or even make sure you follow long-term investment plans while the short-term market is up and down. more