How should traders face the market after a sharp decline?

After a crash in the US stock market, the two most common mistakes traders make are: first, emotional panic selling; second, rushing to buy the dip. In fact, both options are not ideal at this stage.
A more reasonable response strategy is:
* Reduce positions and observe changes in market structure
* Wait for confirmation signals after volatility subsides
* Distinguish between “valuation correction” and “trend reversal”
A sharp decline itself is not scary; what’s frightening is making definitive judgments during the period of greatest uncertainty. The market doesn’t provide conclusions, only questions. Whether you can survive this volatility determines if you can participate in the next trend.
#美股收盘三大股指暴跌