I've been following the stock charts for several years – to be exact, with data going back to the when the DJIA opened. There are two patterns: the 'normal' market, and the 'crisis' market. It takes a different strategy to play the former market than it does to play the latter market, which most investment consultants won't tell you.
The normal market is where the guidelines that the investment consultants play well in: pick on stability. Pick something that has just started to go up, sit back on your laurel chair, and relax. Limit your losses in case you made a bad choice.
The crisis market is different: pick on volatility. Pick something highly volatile, and trade often. The big, stable stocks fluctuate by up to around 10% on a regular basis, so limiting losses to 8% isn't a smart idea. The smaller stocks fluctuate even more – up to around 30% within a short-term cycle.
So why is the crisis market so markedly different, and where does it come from? The differenve originates in people's nervousness – during times of economic uncertainty, the crisis feeling sets in and changes the market dynamic. Look at what happened during the great depression in the USA: data shows another period where 'crisis market' mentality ruled the day and charts became equally erratic. It will eventually recover, but it's going to take time – more time than a single quarter and more than a single year. Until then, the successful trader's profits lie in short-term trading, and you'll have to get used to the new rules.
Note: I've purposely picked unusual terms, to avoid confusion with standard economic and investment theory.