Five things to avoid in volatile markets

Let us look at the five things that you must avoid when you are in the midst of a volatile market

How do we define volatility in the stock market? Intuitively there are some clear indications of a volatile market. For example, in a volatile market, your stop losses will get triggered both on the short side and the long side. In a volatile market, you find that your investment stocks are losing value more than they deserve. You will also find that volatility makes the VIX ratio shoots up, which is why it is also called the Fear Index. It shows the amount of fear in the market and that results in volatility. What we need to understand here is