The stock market opened today , and everything plunged.
Numbers in my account fluctuated rapidly, with many stocks dropping nearly 10%.
Like many investors, a question suddenly crossed my mind:
Should I cut my losses?
But at that very moment, I had a new thought.
Perhaps what I truly need to consider isn't whether to cut losses, but why I even think about cutting them in the first place.
Cutting losses is the greatest test of human nature.
There are countless methods for stop-loss in investment books.
Some say sell when down 7%, others at 10%, or when below the moving average.
But once you're actually in the market, you realize how incredibly difficult it really is.
No one can accurately predict the next candlestick.
- You might cut your losses today, only to see a rebound tomorrow.
- You might hold on today, only to face further decline later.
If we could truly predict when markets would rise or fall, no one would ever lose money.
Because the future is unpredictable, stop-loss is never just a technical move—it's a repeated test of our emotions.
Fear, frustration, regret, hesitation...
Often, what truly drains us isn’t the loss itself, but the mental exhaustion from constantly trying to predict the future.
I began spending more time before buying.
Instead of focusing on setting stop-loss points, I shifted my mindset—investing more time into understanding why I’m buying.
I started studying industry trends, analyzing business models, searching for companies that are truly outstanding and capable of long-term growth.
If I decide to invest, it means I believe in the trend they’re part of and in their ability to create value over time.
Every time there is a decline, it's not about considering the stop-loss, but rather about whether it's another opportunity for "batch purchasing".
Because I accept one truth:
I cannot predict the market.
And since I can’t predict it, any downturn should already be within my expectations.
Price fluctuations no longer mean I was wrong—they simply reflect shifts in market sentiment.
This change has given me greater composure when facing risk.
I no longer obsessively watch my account every day, guessing the next move. Instead, I focus more on learning and thinking.
I increasingly believe: true confidence comes from research.
When the market dropped today, I suddenly realized:
If I'm eager to cut my losses, does that mean I don’t have enough confidence in my investments?
The confidence I mean isn’t blind optimism or stubborn persistence.
It’s understanding born from thorough research.
- I know why this industry matters;
- I understand why this company creates value;
- I recognize the risks it may face in the future;
- And I know exactly why I chose it.
When these fundamentals remain unchanged, a price drop feels less like a sudden loss of value and more like Mr. Market having a bad mood.
Thus, I’ve come to better grasp this investment principle:
The market exists to serve us, not to guide us.
If a great company’s intrinsic value hasn’t changed, then a price drop may not be danger—but an opportunity.
What if I can’t find the best company?
Of course, not everyone can determine which company will ultimately win.
In industries like semiconductors, AI, or optical modules, each company has its strengths—and uncertainties.
Rather than agonizing over which one will succeed, it’s wiser to acknowledge your own limitations.
If finding a needle in a haystack is too hard, buy the whole haystack instead.
• Don’t know which semiconductor company is best? Buy a semiconductor ETF.
• Uncertain which AI company will prevail? Invest in an AI ETF.
• Not sure who will emerge as the winner? Let the entire industry choose for you.
It allows me to share in the entire industry's growth, rather than betting on the fate of a single company.
This reduces decision-making pressure and minimizes emotional fluctuations.
What I truly established was not a trading system, but an emotional system.
Looking back on my years of investing, I realize my greatest transformation hasn't been in returns, but in mindset.
In the past, I constantly tried to predict the market—checking news daily, judging price movements, afraid of missing opportunities and also fearful of further losses.
Eventually, I realized that such investing was exhausting.
I wanted to build a method I could sustain long-term—one that would reduce anxiety and bring inner peace.
- It might not yield the highest returns, but it would let me sleep soundly.
- It might not always be right in its judgments, but it would allow me to keep learning and growing continuously.
I refine my trading principles not to outperform the market, but to overcome my own restlessness.
Because what truly needs improvement is never the market itself, but how we respond to it.
The stock market is a spiritual practice in my life.
Many people come to the stock market seeking profit.
But I increasingly see it as a school.
Every day, it tests our greed, fear, patience, and discipline.
It teaches us to acknowledge the unknown, accept volatility, and learn to live peacefully with uncertainty.
Perhaps what truly compounds over time isn't just wealth in our accounts, but the evolving understanding within us—and the ability to remain calm amid fluctuations.
The truly great investors aren't those who make money every day.
They are the ones who:
• Can still sleep soundly during sharp market declines;
• Don’t lose their composure when markets surge;
• Continue following their own system even through consecutive losses.
That is the essence of investment as a journey of self-cultivation.
Through repeated practice, doubt, adjustment, and awakening, we grow step by step.
---Extended Reading and Resources
Investing is not about predicting ups and downs; it is about being on the right side of the times.
The Super Laws of How I Turned $46K into $6.8 Million (14,972%) in 28 Months
It guides you step by step on how to select stocks, determine trading points, manage positions, identify hot sectors, utilize the trend of the overall market, learn to be patient when the market is not doing well, and control your emotions in the market.
I hope it will be helpful to you.
[A curated list of tools and books that have genuinely helped me on my journey. If you find them useful, they might help you too.]