Do you feel the urge to buy stocks every time stock prices fall? Called “Buy the Dips”, sometimes it works but most often it doesn’t, so it’s by no means a failsafe method. After 12 years of an essentially bull market, flooded with excessive liquidity, lots of people got used to buy the dips and feel invincible. But careful! For those of us who have been in the market long enough, know too well the risks of buying the dips. Some people even believe in mean-reversion of stock prices, which is a myth. The best way to navigate the markets is by risk management. After all, stock investing is a risky business. You make a return if you run a risk. But you got to take educated risks and get them under your control if you want to survive and thrive in the market for long run.