Stock Doc: Bullish Thinking Cap

If "Doubtful Dan" or someone like him sought my help, I'd have him sit down in my office, close his eyes and think back to some of his successful days. I'd ask him to recall rebounding after losing a big client by landing a particularly difficult new account. I'd also help him write out evidence-based challenges to the irrational, bearish thoughts that occupied his mind. For example, it is clear that other, external variables contributed to losing his client, and thus, Dan was not the only cause.

I'd encourage Dan to make more adaptive and healthy statements such as, "This is an isolated setback, and I have overcome obstacles in the past. I will get through this and learn more about the fund I recommended. I will find a better investment vehicle for my risk-taking clients." Coming up with positive, solution-focused statements can help someone sidestep a crisis.

Sometimes, the thoughts and perceptions of successful people faced with adversity are their own worst enemies. When they drill down on their bearish thoughts and challenge themselves with rational, bullish perceptions that stem from real-life data, they can manipulate a rut into something positive. They can think of proactive solutions for overcoming a brief setback.

Perception is so important to your overall level of happiness and quality of life. Make it your business to check in with the quality of your thoughts more regularly. Remember that even if you are a bearish investor, you can still think bullish about your life -- even when your expectations don't match up with your reality.

Please write to the Stock Doc with your trading, emotional or investing dilemmas. Dr. Cass always welcomes comments and stories, for which he'll try to offer valuable solutions in later columns.