The market continues to head lower... yes, it's a real life market correction. I haven't been sweating it too much, but it does sting and makes you question yourself and the decisions you've made.
Here are a couple articles that might be of interest:
1) Short article from a while back (October 2005)... Market Corrections: Dos and Don'ts. I agree with a good chunk of what's said. And, #11 on the list is precisely why I try my best not to worry too much about the daily losses that all of us investors are suffering.
What I don't agree with completely is his claim in #2: " There has never been a correction that has not proven to be a buying opportunity." During times of flagrantly excessive earnings multiples and truly unrealistic expectations of growth, corrections can lead to crashes, and it can take many, many years to fully recover. Look at the Nikkei... or maybe at a chart of Tulip bulb prices plotted from the days of the Tulip Bulb craze up until now.
2) Here's one that shows some information on historical market corrections of roughly 20% or greater over the last 60 years... Market Corrections: A History Lesson.
It is informational, and puts things into perspective. If we're in for a 20% correction, then we're barely halfway there. Anyway, Shinhan Financial (SHG) is getting closer to my buying range... it took a hit today along with everything else.
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