Stock market corrections can feel frustrating to wait for but they will come around. Focus on your plan when it does.

There are readers that regularly tells me they are waiting for the next correction to buy stocks they find its good but missed out on.

So what should be their action plan?

Some assumptions

Before we get going let’s  set some things straight here.

1. We are talking about prospective stocks that  you would want to hold 1 year and out not fast trades
2. You probably won’t have an idea this is a correction or a full blown bear. You could have guessed but perhaps you won’t have a 90% answer
3. We are not talking about non-systematic risks here or risks events that affect a particular segment or individual stock

Step 1: Understand the stocks’ valuation

If you are buying for value then the most important thing is to gauge ...