Dear gq community,
In the last few days we have seen the extent to which individual statements by a single man can make a difference.
Until 3:30 p.m. on Friday afternoon, the opening hours of Wall Street, the day was the same as almost every day in recent weeks.
Prices rose and the bunny's portfolio often grew by up to 2% during the day.
After the initial period of learning and reading on this platform, minor setbacks were no longer punished with panicked fear selling, as the recent price falls were always recovered within the next few days.
Selling and later re-entry were almost always expensive lessons.
So put on a thicker skin, it's going to be winter, was the hare's decision.
But then the wizard came from the other side of the pond and cast a powerful spell.
It was the Fear spell, which made all investors very afraid that a trade dispute with China would finally escalate and the markets would collapse and share prices would start to fall.
5 p.m. - the hare sat out the price decline calmly, the portfolio showed -1.5%.
6 p.m. - the portfolio showed a minus of 2.5% and the hare's fur was slowly warming up. The price alarms (as a substitute for SL at the time) rang every minute.
7 p.m. - 4.5% down, the air is getting hot, the rabbit is sweating... and remains steadfast. No, I'm not selling this time!
With mixed feelings, the bunny goes to play a few balls of table tennis so as not to have sweated in vain. If only the alarms didn't go off on his watch...
9 p.m. - the steep bar shows a whopping 5% minus. The rabbit wonders why he switched off his SL.
11 p.m. - Wall Street is closed. The portfolio has shrunk by 7.3%, the first time the bunny sees a 5-digit amount in the red.
How many carrots 🥕 could he have bought for that? What could you have done with that much money?
The hare is in absolute fear mode.
What if his 🥕 in the portfolio continues to go downhill in the new week?
Is that a crash? Sell everything quickly?
Stop, what happened anyway? Just a few silly words from an old man. No world war, no natural disaster, no ice age.
Rabbit stay calm, everything will be fine. I'm sure it will!
Then at the weekend, calming comments. Nobody wants anything bad for anyone else. It's all just a misunderstanding. We're all friends.
Monday 07:30 - the stock markets open, prices rise.
The hare breathes a sigh of relief. He has learned that the stock market doesn't just go up and that sharp falls are normal. He is glad that he didn't sell in a panic, as he has done in the past. But what comes from the other side of the pond in the afternoon?
3:30 pm - prices continue to rise, the 🥕 are safe. The thicker skin has paid off.
FOMO is everywhere during the course of the day, everyone wants to take the dip, nobody wants to miss out, massive short positions burst and do the rest.
The "loss" of over 7% has long since been recouped, the 5-digit fall has been negated. All is well, the hare can go to bed relaxed.
What's the point of this childish story?
Quite simply, it should be a bit of fun and - say THANK YOU dear gq-community, because without the many reports, information, tips, comments and conversations, the rabbit would almost certainly have sold at a time that was probably too late to enter again later at a higher price.
It is therefore appropriate to say thank you for having people here from whom you can learn and who share their knowledge and their own experiences so that new or less experienced investors make fewer mistakes.
Thanks from your "scaredy-cat" 🐰
