The SPDR S&P 500 ETF Trust briefly dipped into correction territory on Friday, falling 10 percent from its January highs. A 10 percent correction means the S&P 500 is halfway to a bear market, so if the recent market weakness continues in February traders will need to be prepared. Here are four tips for traders to remember to help them navigate a bear market. 1. Diversify It’s extremely difficult to avoid all the carnage that happens in the market during a bear market, but diversifying your portfolio can at least help you avoid the worst of the bearish trading action. In addition, if there are any segments of the market or asset classes that actually avoid the downturn completely, diversification can ensure you have at least a little bit of green in your portfolio when things get ugly in the market. 2. Maintain a Watchlist When the market is crashing …
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