Learn from your failures so you can win

The market continues to stay red as traders and investors are watching the Federal Reserve's inflation forecast. Just last week, the stock market fell due to sentiment about the booming job market, a sign that inflation is likely to continue after reaching a high of 8.6%. As the latest price data shows that inflation is still soaring, everyone doubts that monetary policy will relax.

At these times, the market is concerned, and the obvious answer seems to be to sell stocks, especially when a recession is imminent.

What can you do?

There are many schools of thought. Some believe that the recession has arrived and now is a golden opportunity to pick winning stocks. It also means looking at the long term because the stock market is already at its lowest level, so it looks very attractive.

More people believe that the worst is yet to come and that cash is king. All bets have been taken off, and people have moved away from the stock market.

What do you believe?

Many people are looking for often-quoted... citations. Be greedy when others are afraid or cash is king. No matter what you believe, now is the time to test your faith.

CHOOSE MY PATH

Now in my first 6 months in the stock market, I chose to invest for the long term. I hold my bank shares $DBS Group Holdings(D05.SG)$ Slowly accumulate in growth stocks, such as $Grab Holdings(GRAB.US)$ ... Although diversification is recommended to avoid concentrated investments, I tend to focus on a few rather than water bags with too many holes.

Many people suggest...

Many people have offered wise advice, and now is the time to sell, but sigh, I can't time the market, I chose to stick to this belief. I'll let you know the results in a year because I didn't know I didn't think the stock market was as straightforward as it is now. Am I worried? Of course I am. But I chose not to worry too much. I think the financial loss is something I can leave behind. What can't I stand? Did not learn any value from the investment. If I lose, then I've learned what not to do. It's an expensive lesson. What if I win? Then I'd better continue on my way.

I learned this from Jesse Livingston, one of the greatest traders to learn from losses. Although... his life story isn't ideal, I think I can study selectively.