How the market crash affected me - part 2

Well, the markets did recover today, so this was not the big correction that is still to come.
So what should we do now?

First if you have properly diversified portfolio then you should not do anything, over the long-run history shows that the stock market as an average of 10% annual returns. Most of the jumps up are sone over periods of few months, so it is hopeless to try and time the market, you should just stay in the game, and invest each month a bit more.

However, you should make sure you are not exposed to undesirable risk, if you have stocks in your portfolio that are being traded at prices above your estimation of the company valuation. You should consider lowering your exposure to this risky stocks and move the money to increase other positions on your portfolio.

This one-day fall is also a very good thing for cost averaging your positions. A specially if you put some money into mutual funds on the first or last day of the month. Then the timing of this fall (@ smartmoneylife) was just perfect.