#2. Honestly review stocks and mutual funds you are holding. You should only continue to hold stocks that you really believe have long-term potential and only if you don't believe your money could do better elsewhere. You have to check your ego at door and sell those stocks that are bogging you down financially and mentally. So what you made a mistake, don't compound it!

#3. Rebuild your portfolio for future. Thinking optimistically about future of stock market requires some imagination these days, but it's what you need to do if you're managing your money responsibly. Now may be a good time to invest with added determination. We aren't saying add to your current positions or averaging down. Instead understand that fundamentals and potential play an equal role. The key may not be to focus on market at large but individual issues. Half of stocks on NYSE are up this year. It isn't about what stock is hot today, it's about which companies can grow their businesses and create profits for shareholders.

This is not time to retreat and lick your wounds, it is time to lay foundation and rebuild. Depending on how long you have until retirement this may be your golden opportunity to build a dream portfolio.

Be smart in your investment strategy and think positively about where we might be down road. History teaches us days like these are full of promise for future.

Now, it doesn’t seem to matter for those that have successfully dodged massacre by focusing on company’s they know and understand. They are cashing in and putting money on sidelines. Save for residue from Great Crash in 1929, that saw DJIA take 20-years to recover, longest bear market has lasted 2.5 years. That is good news, (I guess). The stock market reclaimed 73% of its value within 9 months of Great Crash (okay, it wasn’t so great, but this is "me" generation and it thinks we do everything better than those that came before us) of 1987. With this in mind, maybe market will move to a 180-degree angle and satisfy two elements of history. Matching timeframe of longest bear market, and at same time yielding average amount of ground that has been typical. Maybe a quickening climax to what has been cruel treatment could be answer. But, hold on to your hat, it means Dow has to fall to 8177 before a floor can be put in. The last three trading sessions of week saw Dow off an average of 150-points, on Wednesday, Thursday and Friday. At that rate, we could see index bottom in 7-trading days. That would mean world’s largest equity market, and pride (we still love it deep down inside) of nation could be ready to rebound after fourth of July.