Focusing on short term investment results, with their inherent volatility, can cause investors to which might not occur if they focused on more smooth long term results. it's called myopic (near sighted) risk aversion.

Myopic

Explanation:

The participants in the high treatment group were the myopic investors – blindsided by temporary losses, they were unable to look at the longer horizon and unable to figure out the better choice. Similarly in the stock market, equities are inherently more volatile, it would be more beneficial both financially and psychologically to look at them with a longer time horizon. frame investing as a long-term activity where you check your portfolio quarterly or semi-annually instead of daily or weekly, and investing with a time horizon of at least three years. Doing so would help you avoid unnecessary pain or making rash decisions. Additionally, instead of evaluating your stocks individually, look at them as an overall portfolio and diversify your portfolio such that you would be more protected in times of unfavourable and volatile conditions.