Buy,Sell or Hold: The Right Decision in 5 Minutes
Outperforming the Stock Market
Posted Apr 23, 2012
1. The market reflects all that is known about a security
2. Your investment decisions are free of conflict
3. You don’t have the right stuff to make the right decision
Reality of the Stock Market
1. Market fluctuations reflect a collective expression of individual psychological needs (Mind Clouds)
2. Your investment decisions are obstructed by your Mind Cloud
3. Clearing your Mind Cloud allows you to make the right decisions
You have the ability to make the right decisions and outperform the market. The problem is your Mind Cloud obstructs your executive functioning and you find yourself chasing clouds rather than seeing the light (Graham, B.).
Seeing Your Mind Cloud in Action
Think about a stock that is troubling you because you can’t decide whether to buy, sell, or hold.
2. Next take 1-2 minutes to jot down around the oval whatever pops into your mind about that stock and your attempts to make a decision about it. Work quickly and don’t self-edit.
3. At the bottom of the paper write down the location and type of body tension that you felt while doing this exercise (e.g. shoulders tight, band around head, etc.).
4. Ask yourself: Is your mind cluttered and your body tense? Body tension and mind clutter is telling you that your Mind Cloud is active and preventing you from making a good decision.
Clearing Your Mind Cloud
Follow the instructions and you’ll be amazed at your own resources.
1. Take another piece of paper, write the same stock name in the middle of the page and draw an oval around it.
2. Before you continue writing, “come to your senses”. Seat yourself comfortably, listen to the background sounds, experience the pressure on your seat, feel your feet on the floor, and feel the pen in your hand. If you have thoughts, gently return to the background sounds and your senses. Take your time. Once you feel settled, start writing whatever comes to mind about your stock. Watch the ink go on the paper, continue to feel the pen in your hand and listen to the background sounds. Write for 1-2 minutes.
3. Ask yourself the following questions.
a. Is your mind cluttered or clear?
b. Is your body tense or relaxed?
c. A reduction of body tension and mind clutter indicates that you are “seeing the light” and are free of your Mind Cloud. What you have written allows you to optimize your investment decisions.
Graham, B. 2003. The Intelligent Investor: The Definitive Book on Value Investing. Collins Business.
Block, S. H., and C. B. Block. 2007. Come to Your Senses: Demystifying the Mind-Body Connection. 2nd ed. New York: Atria Books/Beyond Words, Publishing.
Block, S. H., Block, C. B., with A. A. Peters. Forthcoming November, 2012. Mind-Body Workbook for Stress: Effective Tools for Lifelong Stress Reduction and Crisis Management. Oakland: New Harbinger Publications.
Nakamura, Y., D. L. Lipschitz, R. Landward, R. Kuhn, and G. West. 2011. Two sessions of sleep focused mind-body bridging improve self-reported symptoms of sleep and PTSD in veterans: A pilot randomized controlled trial. Journal of Psychosomatic Research.70(4):335-345