How to Actually Start Investing As Market Crash In 2026?!
In a Nutshell
Start investing in market dips using a calculated approach: put 50-75% of capital into diversified ETFs like QQQ or SPY for built-in risk management, and limit individual stocks to 1-3 names with only 20% of your intended position size initially. Avoid adding to losing positions without reversal confirmation and never go all-in immediately. Markets are volatile with unknown correction duration, so position sizing and emotional tolerance matter more than timing the bottom.
These notes were generated by AI and may contain inaccuracies.
The NASDAQ market is less than 1% away from correction territory, defined as a 10% drop from recent all-time highs. Markets are currently down more than 9% from recent all-time highs. On Friday, the NASDAQ's QQQ ETF technically entered correction territory for a short period.
Weeble is the trading application used in this video. It is commission-free with no problems experienced regarding deposits, fund safety, or profit withdrawals. New users are currently offered 12 free shares just for signing up. A playlist with step-by-step instructions for signing up, buying and selling stocks, and watching live trading sessions is available in the video comments.
QQQ is the NASDAQ 100 ETF with greater focus on tech stocks, offering potentially greater returns but also more volatility. SPY is the S&P 500 ETF, described as a little bit safer with less volatility and less exposure to tech.
From recent all-time highs, SPY is currently down 3%. If it recovers, it offers approximately 3.5% return. QQQ offers about 10% return from current lows if it recovers, but with greater volatility due to tech concentration.
Intel dropped 28% in one day, representing one-third of its value. MSTR dropped 7.8% on the day mentioned. SanDisk dropped 13.4% on the same day.
Coreweave experienced a 60% drawdown from recent all-time highs over the past 5-6 months, but offers 227% potential return if it recovers to previous highs.
The benefit of investing in ETFs like QQQ or SPY is that they are baskets of companies, providing diversification without needing to pick individual stocks. Instead of nitpicking individual companies, investing in SPY or QQQ provides built-in diversification.
Additional ETFs mentioned include Bitcoin ETFs (non-leveraged), gold ETFs, semiconductor ETFs, airline/aviation ETFs, VU, and VO.
For a $10,000 investment example, allocate 50-75% into ETFs like QQQ and SPY, with the remaining 25-50% allocated to 1-3 individual companies. The recommendation is to pick fewer companies rather than spreading too thin.
Intel is viewed as a meme stock that has been a failed company for years, with fundamentals not aligning with current valuation despite recent price performance due to a 10% US stake and partnerships.
Google has seen a drawdown from highs of 408 to current lows of 279. Position sizing was described as tasteful buying and adding to investment accounts including children's accounts.
Amazon experienced a substantial drop after reporting earnings, viewed as a strong player with long-term bullish outlook.
Apple is viewed as consistent rather than boring, with the largest market cap among MAG 7 companies. Apple tends to be either break-even or very slightly in the red during market downturns, acting as a safe haven compared to other MAG 7 companies heavily impacted by AI spending concerns.
October trading results showed an 86.36% win rate across 22 different names with 3 losers and 19 winners. This performance was attributed to position size management.
The biggest mistake beginners make is going all-in immediately with 100% of their capital. Instead, the recommended approach is entering positions early with only 20% of the intended investment amount.
If the overall pattern on larger timeframes is still actively selling off or descending, limit initial exposure to no more than 20%. This allows the ability to add more later if the position moves favorably, rather than being stuck with a full position during continued decline.
The principle "it's easier to be late to a rally than early to a sell-off" applies because bottoms cannot be predicted.
When buying early without confirmation, beginners should not add more if the position continues selling off. Wait for reversal confirmation before adding to positions. Small initial positions make it easier to cut losses and move on, preserving capital for confirmed reversals.
Risk-to-reward ratios should ensure potential profit significantly exceeds potential loss. If reaching the threshold of losing either percentage-wise or dollar-wise what was expected to make, closing the position is acceptable even with only 20% exposure.
The last thing that you want to do is add more to a losing trade that's already stressing you out. If it's not stressing you out and you feel comfortable, then this advice is not directed at you. This guidance is specifically for people who are experiencing a very distasteful experience and not stomaching the volatility well.
Stop buying individual companies and instead buy safer plays. Invest long term by buying the dip with a dollar amount you can tolerate. Focus less on trading and focus more on investing in diversified ETFs, including SPY, QQQ, or VOO. Trading is not for everyone, and the stock market is also not for everyone.
It's so much easier to relive experiences after you've experienced them than it is to actually go through them. Looking back, people often say they should have always been invested, but during drawdowns, these moments feel like an eternity. The pressure, the stress, and the mind games make it much easier said than done.
Market direction has been favorable long-term, but the extent of current corrections remains unknown. Corrections could be short-lived or extend over a 12-month stretch of selling pressure with markets making lower lows and lower highs throughout the year, similar to 2022.
Begin by choosing what platform to use. Webull is the first link in the description. The comment section contains a playlist showing step-by-step instructions for opening an account, buying and selling, plus live trading sessions.
With a dollar amount that feels comfortable, decide whether to invest in a basket of companies for a more conservative and safer approach with less volatility, or invest in individual stocks, or take a hybrid approach with both options.
The importance of position size management is critical instead of going all in at once. Making an aggressive experience by expecting market recovery immediately can be problematic. Being able to tolerate whatever volatility presents itself makes the real difference and puts you in a position to succeed.
Markets are much more complicated than simple drawdowns or recoveries. Days feel like weeks and weeks feel like months during these periods. Market sentiment has a lot to do with these experiences.
Right now there's a lot of fear, with weeks where it feels like nothing can draw down the market, and other times when it feels like nothing can stop the market from free falling. Market sentiment shifts so quickly, and it has never shifted so quickly under the Trump administration. A tweet, attack, update, economic report, or earnings report can cause big shifts. The current market is volatile.
Position size management is such an important thing in volatile markets. All links are provided in the description below.
The Learn Plan Profit team provides access to watch live trading every morning right at market open. It's a one-time payment with lifetime access. An October sale ends tonight, breaking down to less than a dollar at 30 cents a day, which is less than the cost of a cup of coffee. There's a recent live session on the homepage to watch before deciding to join and sign up. The October sale ends tonight at midnight, so taking advantage of the discount before the price increases tomorrow is recommended. The second link in the description provides this one-time payment lifetime access option.
This video encourages starting investing but doing it in a calculated way that makes sense for each individual. The goal is for viewers to win not because of luck, but because they took action, planned it out, and positioned themselves to tolerate volatility. Regardless of whether markets go lower or begin to recover, the experience will be enjoyable because of proper positioning to handle market movements. The hope is to end the year on a green note.
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