The Sky is Falling!

It doesn't matter what newspaper I read these days, it seems there's always one person who says it's time to sell all your stocks, we are headed for a depression...again. Just because one person reads analytical data a certain way doesn't necessarily mean what they interpret is going to happen. I might as well have Madam Zula look into her crystal ball, or read tea leaves to tell me what to do with my stocks. Just imagine if  large amounts of people actually listened to every hair brained speculator out there, I'm sure the stock market would crash on a weekly basis. If the stock market were to crash to the magnitude that some experts? predict, it wouldn't matter how much money you lost because it would all be worthless. The entire world economy would collapse and chaos would ensue. If that were to happen, I will be heading to the hills with my wife, a compound bow and a 48 roll pack of Charmin.

  I agree we are in some trying times with the European Union meltdown; China starting to flex it's economic muscle and to top it all off, the destruction of our planet thanks to BP and whoever else is controlling them from behind the invisible curtain. You must act with a cool head and not let speculation get the best of you. I admit my first reaction in the past was always, "SELL SELL SELL" and try to reduce the losses to my pile of money. If I were to sell all my stocks, it would cost close to $500 to get all my money out only to spend another $500 to invest it the next week after the market has recovered. It's hard seeing the value of your portfolio slowly drop, but you have to think long term and save your dividends to invest when the markets stabilize. It's almost human nature to sell when you see prices drop and buy when you see prices rise. You have to reprogram your mind to fight the urge and tough it out. I've come to enjoy the dips of market correction and see them as a "Yield Sale" to better my investments.

What's your take on the market mayhem? Are you cashing out and heading to the hills till things blow over? Or are you battening down the hatches and riding out the storm?