This research examines the influence of regulatory focus on preference formation for sequentially presented choice alternatives. Across three experiments, we demonstrate the "holding-out" effect exhibited by prevention-focused individuals who tend to undervalue earlier options in a sequence, examine more options, and select an option encountered later in a sequence compared to promotion-focused individuals. We suggest and provide initial evidence that the mechanism underlying the holding-out effect is an inability to externally generate a comparison point in the beginning of a sequence, which negatively affects evaluations made by prevention-focused individuals.