Hey guys, it's sasha, the stock market crash is continuing and intensifying, as the stock market is bouncing around around 17 down so far this year, growth stocks continue to be absolutely decimated, and every week it seems we have a new group of growth stocks that get another Beating on top today is the tone of semiconductors after nvidia reported a weaker than unexpected q2 guidance, and everyone rushed to sell nvidia and every other company in the sector before it was social media with facebook, snapchat and pinterest getting hammered, and every week one group after Another loses even more value and, if you've invested in some of these companies, you will be feeling the pain i share that pain. I also have stocks in my portfolio that are 60 or 70 down in a market crash. That is absolutely normal. That happens in every market crash if the whole market is 20 down at the moment.

On average, then, growth stocks that are years away from being profitable years away from being investment grade, et cetera et cetera, are going to suffer disproportionately, and there is one really big problem that i am seeing at the moment. There is one mistake that i am seeing a lot of investors making and this mistake is going to cost a lot of people a lot of money. A lot of you watching are probably going to lose a lot of money because of this relatively simple mistake, because the moment a market drops - and there is a sell-off in stocks with longer time horizons. A few critical things suddenly start to happen.

Listen up because these things may seem trivial and they may seem like they are not important, but they are important very important because collectively they create an incredibly powerful catalyst. That leads to the worst mistake that you can make in investing, and you won't even realize it all the dweebs crawl out from every corner during one of these periods telling you that they are right and you are wrong. A general market crash is, of course, no proof of anyone being right or wrong. It has exactly nothing to do generally with company fundamentals and the reasons why you're investing these companies in the first place.

But those guys will come out, including in the comments on this video and all of my other videos, and they will tell you that you suck they'll tell me that i suck your investments suck because the share price has dropped. That is the infallible logic you suck, because you happen to invest in these companies whose share price has now dropped. Gloating is the way that people make themselves feel better when a circumstantial turn plays in their favor, even if you're, not picking stocks, and not just investing in a total stock market index. This will happen to you as well.

If you just put all your money into the s p 500, these cockroaches will appear out of nowhere and tell you that you should have sold back at the end of december and you suck because you didn't you see they knew they will usually tell you that Maybe they sold at exactly the right moment or just round about, and they maybe even shorted the market at the same time, to make even more money. That is how obvious it was clearly predicting. Market movements is incredibly easy and you can make a huge amount of money from doing it. That is exactly why those guys are now all trillionaires, because they do this over and over and because they're trillionaires they have nothing else to do with their lives other than going and writing youtube comments or reddit comments or wherever else it is that they like to Spend their time, the point here is not that the internet happens to be the internet.

You knew that already. The point is that when we talk about market sentiment, it is very easy to talk about the theory but very very difficult to see it for what it is when it's happening right in front of you. This is just the first leading indicator, the first catalyst, because at the same time, mainstream medias will start portraying the worst possible narrative world war. Three is about to kick off and we're all doomed russia's going to go and invade every other country in the world.

This is absolutely definitely for sure, going to be the worst stock market crash in history because, well you know all the signs are evidently pointing to it. Look: here's some old finance guy. We found at the back of the closet, who just happens to have been predicting the worst ever stock market crash for the last 12 years. At times like these, it doesn't matter that he's a broken record, because the prophecy has now come true, let's celebrate it, i mean the stock market cycle is pretty obvious.

It happens all the time, but panic is great for business in the finance media space. So let's pour more oil on the fire and, if you zoom right out of the current picture here is how the conversation has actually shifted, because back in october and november last year, when stocks were at their peak, when everything was absolutely fantastic. When we were at the tail end of the biggest bull run in stock market history, everything was great. Every financial commentator in the media on youtube everywhere would tell you to go and buy stocks because the line only ever goes up.

You can't possibly lose money investing not in this kind of market and now, seven or eight months later stocks are down. It's not just the early stage. Growth stocks, google, microsoft and apple are all down to 20 to 30 too, and the narrative has suddenly flipped you're told to be careful. You've got to watch yourself now.

You have to be so careful that you have to hold on to your money. Maybe the stocks are going to fall even further, you might lose money if you happen to invest it. Oh the shock and horror. It has just been discovered that there is risk in investing your money.

The value of your investments could go down who knew and, in the meantime, the fundamentals of many of these companies, at least of the good companies that you probably should be investing in are better than ever. One company after another are posting record revenues record pro profits record levels of growth. Businesses are developing, businesses are getting bigger, more mature and yet their valuation is in some cases four times lower than it was when the company was much smaller and had more risk. The power of the change in sentiment is very hard to express accurately because it is so psychological.

Many people are pulling money out of their investments at the moment they have already taken a massive hit because of the sell-off, but they don't want the price to go. Even lower, at the same time, people are hoarding cash, because finance youtubers everyone on cnbc is telling them the apocalypse is about to happen. Cash is king and stocks are absolutely definitely going down another 50 from here, so you better not invest at the moment. You better keep cash under your mattress; instead, the same exact people told you to go and buy those same exact stocks when they were worth two times or three times or four times just some point last year, and this is where the mistake can be extremely costly.

This can lose you a decade of investing returns. In fact, it can do a lot worse. This can lose you a lot of money, and this is why the vast majority of retail investors will not beat the market, because we make decisions based on feelings and sentiment. Not based on numbers, data and things like logic, everyone is saying that this is absolutely definitely 100 percent going to be the worst crash in history.

They know and they'll point to factors like printing loads of money during covet, the high inflation that is now turned up. The rates are going up, a bunch of other stuff. Companies are apparently now massively overvalued, except when i look back in time, most of the companies that are grossly overvalued today make actual revenue. In fact, they actually make quite a lot of revenue.

Look back 22 years to the dot-com bubble and many of the popular grow stocks had absolutely insane mind-numbing valuations. They made nothing like pretty much literally nothing. In some cases they made revenue but had absolutely zero commercial model to turn any kind of profit. It is easy to think that now is the worst time ever.

It is the typical deranged way that old people often talk about how things used to be how good everything was back in their day compared to how awful and bad things are right now, and the truth is the insane valuations back in the dot-com bubble were in My opinion orders of magnitude worse than the average of what we're seeing today, sure there are bad apples whenever you invest, but i'm talking averages companies were valued on pure hype and opium and very little else. Printing money and inflation that we're seeing right now are bad sure, i'm not disagreeing, but back in 2008 we had a literal disintegration of entire chunks of the financial system where bank runs and the large banks collapsing right in front of us people walking out with cardboard Boxes companies ceasing to exist governments around the world had to go and nationalize banks in a matter of hours to stop the spiral today, the situation might be bad, but it is a very different kind of bad. However, bad a picture people would like to paint today we have a war in ukraine. That is extremely concerning, especially from a humanitarian point of view, but we've had world wars before we've had other very major conflicts with much greater impact on the us and global economies, and when you invest you just don't know where the market is going to go.

I do not, and none of the idiots who pretend they know actually know either. Unfortunately, that is a fact that i can stay, but over time, when you look back on your investments, you will end up making some of your investments at the bad time. At the peak of the cycle, because you're investing continuously over time, that's typically the good way to do investing and other investments in your history of investing will happen at the bottom or somewhere near the bottom. But here is the big problem psychologically.

We really want to invest when we're at the peak, because everything looks good. Everything smells nice, you know every investment is going to the moon, but we absolutely do not want to buy the stuff at the bottom. The bottom is where we're actually going to make money. We're waiting to get an even better deal because we lose all sense of perspective.

We think that this point here is a bad time to invest because it could drop even lower to maybe a little better price than what we're seeing right now, all the time completely ignoring that, relatively speaking, if you zoom out, this is the time when your investing Returns are made and then the market will go and do a bounce. We won't know that it is bouncing because we'll think it's just one of those days another one of those green days for no reason whatsoever like what happened yesterday, another one of those weeks, another false positive, another dead, kept bounce and naturally, next week. It's definitely going to go back down. The next week is definitely going to go continue falling until the moment when it doesn't until the market is up 10 or 15 or, however much it is, and we realized that we completely missed the best investing opportunity of a decade, and here is the unfortunate truth.

The stock market has historically returned nine to ten percent, on average to investors over long periods of time, but that is an average and it is in fact, extremely rare for a stock market to go and return nine to ten percent on any kind of consistent basis. In fact, usually, you will either make a lot more or lose money one of those two things. If you do not invest during one of the drops or if you invest less than you would otherwise, you will only be investing on average above the line. So the mistakes don't just mean that you won't beat the market.

It is in fact, very possible to end up losing money over five years or 10 years or longer, even though you don't think you're doing anything wrong, you're, just being cautious and risk-averse, because you didn't happen to invest during the time when everybody was panicking because you Looked a gifted horse in the mouth, the very nature of peak fear is that everyone is telling you it's going to get worse. Fear is thinking that things are categorically definitely going to get worse. The housing market is about to crash everyone's telling you about that. Every day inflation is about to spiral, rates are going to 20, maybe even higher, to stop the spiral a recession is coming and if you hold out and wage long enough, eventually, all of those fears will subside and they will cure.

Time has a massively amazing habit of doing exactly that, and then you will have the opportunity to take the cash that you've been hoarding and that was losing money to inflation, all the while and invest in stocks back at the same prices as they were last year. When company valuations go back up because at that point, things will be good, there will be no fear. You won't have to anticipate the market dropping even further, and at that point you will maybe wonder why you didn't go and make any money during one of the biggest opportunities to make money in recent history.