Talk with almost anyone who has been invested in the stock market, and you will hear stories about losing money.  There are several reasons why investors are faced with the possibility of losses in the market.  Examining the root causes of these reasons is essential to overcoming them and becoming a more successful investor.

The emotions of fear and greed dominate the stock market.  These emotions lead to instances where the price of a stock will depart, often significantly, from the true value of the company itself.

If fear becomes rampant in the stock market, many investors will sell their stocks. Many investors lose money simply because they get caught up in the irrational fear of the stock market. The let the market dictate what values should be worth instead of doing independent analysis on what they own.

So as an investor, what is the best way to …