Trading in a bullmarket is easier than trading in a bearmarket. Many traders find they can make money trading in bullishmarkets, but when there is a major correction underway or when themarket is bearish, they literally freeze and are unable to trade successfully or find profits in their trading. First,when amarket has collapsed, it is important to accept the fact that themarket trend has changed from bullish to bearish.
From the former mayor’s office we had a perfect view of themarket and we also had a beautiful vista of the downtown skyscrapers and the famous Flatiron Building to the west, and St. Lawrence Hall to the north. Bruce took us down the stairs in themarket hall itself and shared various tidbits of history with us. The shoreline of Lake Ontario used to be right at Front Street, and after landfill was added, the Esplanade became the waterfront, and today several hundred meters of additional landfill have expanded the city’s territory to a new waterfront.
Investor psychology has been analysed for at least 250 years. Charles MacKay wrote his book, ‘Extraordinary Popular Delusions And The Madness Of Crowds’, in 1841, describing, among other manias, the herd mentality that caused the South Sea Bubble. Since then, many academics have published financial theories based on the concept that individuals act rationally and consider all available information in the decision-making process. But real life frequently demonstrates that the behavior of equitymarkets is irrational and unpredictable. A field known as “behavioural finance” has evolved over the years attempting to explain how emotions influence investors and their decision-making process. Studying...
Really cool to read through and find so much awesomeness added to WordPress 3.6 while I was gone. I should take three weeks off more often.
— Andrew Nacin (@nacin) April 3, 2013
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The stockmarket has been one of the more traditional ways to make a profit from an investment. You often hear how the stockmarket can make a person more money from an investment than just about any othermarket. While you can make double digit profits from the stockmarket, and it usually produces more of a return than CD’s or bonds, it is not always the easiestmarket to participate in. With tens of thousands of companies to choose from when investing, it can be downright daunting. Of course you can stick with mutual funds or index funds and make low double digit...