When the markets take a turn, there are three types of individuals:
· Those that don’t worry about market downturns and know that things will eventually pass. This group goes along with their lives like normal and isn’t worried about market movements.
· Those that are opportunistic and see the dip in the market as an opportunity to buy. When the market is down, they take advantage of the downturn and “buy the dip” to take advantage of tumultuous times.
· Those that get nervous during market swings and see their accounts drop and think the worst. This group has the potential to let their fear influence their behavior, and they could potentially make poor investment decisions based upon what the market is doing.