What to do if the Stop Out is nearly occur

Right now, many people may open their portfolios to see the overall situation of their investment portfolios. It is believed that many people are shocked because there are many uncertainties such as wars, epidemics, and disasters. A lot of investors are on HODL in early August 2024 as well.

An obvious example is BTC, or Bitcoin, from the popular crypto market. The price of BTC quickly fluctuates. This is because, in the middle of the year, many people regain trust and hope until early August 2024, this bitcoin has fallen in value, causing the liquidation of many ports that have swept the Leveraged status of hundreds of millions of dollars. The loss was that Bitcoin was wiped out on the first day of August by 280 million dollars.

ACU PAY recommends those to read this information carefully. This article will recommend a preliminary on what you have to do which is always an effective technique with 3 precautions and 2 handling when the Stop Out occurs.

Preliminary handling to prevent the Stop Out

Do not being greedy and find information – Many novices who just enter to make a profit through this channel are greedy for money that fluctuates on the screen. It is recommended that studying the sources of money can help you understand numbers that should be focused first, as it helps you reduce greed and increase your understanding of numbers.
Pull yourself together before you start – Before starting trading, you should stay focused and rest the trade from time to time because many people lose control of themselves and may slip into doing something that will only make the situation worse.
Diversify the risks – The fact that you choose to invest in stocks or even trade stocks only poses a huge risk when the market is red because external factors can also cause price volatility. Choosing to increase the number of shares we choose by sharing money with other stocks is also a way to adjust your portfolio to diversify the risks.

Preliminary handling to cope with the Stop Out

Burning out or running out of money is a situation where you can lose your passion. However, choosing to sell stocks or trade is not a decision based on emotions. It should be a rational decision. So if the port remains normal, keep calm and wait for a while. If it falls vertically, let’s step back and study the next fund or stock for life and property.
After choosing to stay or leave, you should revisit the scenarios that cause the red portfolios in multiple dimensions to highlight and remind yourself of the mistakes you have made and closely monitor the scenarios of the funds you have already invested in.

In conclusion, many capital markets are facing uncertainties such as wars, epidemics, and disasters that seriously affect their investment portfolios. For example, highly volatile Bitcoin (BTC), especially in early August 2024, wiped out $280 million in the crypto market.

To prevent and manage this situation, investors should use fundamental methods such as non-greed and thorough information to understand market movements, reduce greed and increase understanding of numbers, concentrate before trading, and diversify risk to reduce risk from market volatility.

If your investment portfolio suffers a loss, you should rest and not decide on whether to sell losses or not. If the situation does not improve, we may have to take a step back and review errors and closely monitor the investment situation to prepare for future investments.

References from
stock2morrow / settrade / startrader