Lol at IDIOTS who think we will see another huge rally....
I have scientific evidence that EVERY TIME I enter an investment it is TOO LATE... out of everything I've put money in... I have lost money 100% of the time. I am deeply invested in BTC right now (~$20K) and I can guarantee you that we will not have another rally. I ALWAYS manage to catch a falling knife, or enter the game a little too late.... I never make money, this is 100% always the case. Sorry guys.
interesting observation. however, if true, you should just reverse your actions.
For example, you decided that one stock is good, you invest a small amount of money. Once it is done, automatically buy long term at the money puts if they are reasonably priced.
However, I think that what you describe is quite common to all of us and the reasons are purely psychological: we hate losing money more than enjoy gaining money.
It also underlies why many lose money on investments: when the stock dip initially, they hold, but ONLY until they are breakeven, then they sell, gaining nothing. When the stock goes up initially, they sell early, limiting the gains, and, of course, they hold losing stock until it zeroes out (if it happens).
