So how do you avoid joining the lemmings? 
How do you stay calm during market drops and restrained during market updrafts?
Here are a few guidelines:
1. Have a plan.
2. Know why you're investing and what you want to accomplish.
3. Pick a strategy and investments that best help you reach your goals.
4. Minimize risks.
5. Don't fall prey to the temptations of greed or fear.
6. Know your investment personality.
7. Pick investment strategies and risks you feel comfortable with.
8. Stick to your investment approach. If you follow a certain type of investing strategy or a particular investment newsletter, stick with it unless there are sound reasons to change.
Different strategies often can end up with similar results over the course of a market cycle.
It's the switching back and forth between strategies that can cause problems because jittery investors often abandon a strategy that's temporarily out of favor -- just before it makes a strong recovery.
9. Sort out the good from the bad. Learn to recognize the difference between a poor investment and a solid investment that is having an off period.
10. Diversify.
11. Invest regularly according to your long-term plan and
12. Don't read the daily stock pages!
It's the daily following of the inevitable ups and downs of the market that send the average investors reaching for the phone! Instead, check every two to three months.
