This Is the Biggest Reason Investors Lose Money During a Stock Market Crash -- and How to Avoid It

The article discusses the primary reasons investors incur losses during stock market crashes, emphasizing emotional decision-making and lack of a strategic plan. This behavior typically exacerbates market volatility, leading to increased risk aversion among investors and impacting capital flows into equities. The S&P 500 and broader stock markets are particularly sensitive to these dynamics, as panic selling can trigger further declines and diminish investor confidence. Traders will be attentive to upcoming earnings reports and economic indicators that may influence market sentiment and risk appetite in the near term.

HIGH-impact news is typically a market-moving event with multi-pip or multi-percent intraday reactions. Examples include central bank rate decisions, major CPI/NFP releases, geopolitical shocks, mega-cap earnings beats/misses, and regulatory announcements. Traders typically position-reduce or hedge ahead of scheduled HIGH-impact events, and follow the wire in real time to react to unscheduled ones (war headlines, central-bank emergency statements, surprise corporate actions). The Trading News Terminal squawk box reads every HIGH-impact headline aloud the moment it hits the wire — so active traders don't have to stare at the feed.

Active traders typically follow a three-step workflow when a market-moving headline hits the wire: (1) read the headline on the terminal or hear it on the squawk box; (2) assess whether the news is already priced in (by checking intraday price action in the seconds before) or whether it's genuinely new information; (3) act — either entering a breakout position, fading an overreaction, or tightening stops on existing trades. Trading News Terminal's Pro plan delivers wire-grade headlines within seconds of the source, with automatic audio squawk on every HIGH-impact event, so the read-assess-act cycle never waits on a refresh button.