Partner With Us IF You Can. For those of you that I have helped with the markets & who have made donations, again thanks. |
Visit Our ~ JOURNEYS~HOLIDAYS~FANTASIES~ Brought to you by: divisions of www.cosmad.com & www.stockmarketwiz.com |
STOCK MARKET PSYCHOLOGY: COMPLACENCY & HOPE = BEARISHNESS WALL OF WORRY & FEAR= BULLISHNESS MARKETS BUY/SELL ON RUMORS, AND USUALLY DO THE OPPOSITE ON FACT. HISTORICAL TREND SINCE 1950: BUY IN OCTOBER/NOVEMBER, SELL IN APRIL/MAY. THE PSYCHOLOGY OF THE STOCK MARKETS AFFECT BASIC HUMAN INSTINCTS, AND ARE THE NUMBER 1 ENEMY OF AN INVESTOR/TRADER. YOUR INSTINCTS WILL FOOL YOU EVERY TIME AS THE MARKETS UNDERSTAND YOUR INSTINCTS, AND ARE DESIGNED TO HAVE THEM WORK AGAINST YOU. MARKETS DO NOT TRADE USING LOGIC. REMEMBER, MY ESKIMO STORY FROM 2000. MOST PEOPLE HAVE ORDERLY, LOGICAL MINDS, AND BELIEVE WHAT THEY HEAR AND WHAT THEY SEE. THE MARKETS ARE DESIGNED TO GIVE WRONG SIGNALS TO THE MASSES, AND THAT'S WHY PEOPLE BUY AT MARKET TOPS AND SELL AT MARKET BOTTOMS. THE STOCK MARKET PREYS ON FEAR AND GREED, AND IS NOT DESIGNED TO REWARD THE MASSES. THINK OF THE MARKETS AS CASINO GAMBLING. YES, YOU CAN WIN, BUT THE OVERALL ODDS ARE ALWAYS WITH THE HOUSE. WHEN ARE COMPLACENT ABOUT YOUR STOCKS, THIS IS YOUR SIGNAL TO SELL. WHEN YOUR FEAR LEVEL SCREAMS, THIS IS WHEN YOU SHOULD BUY BECAUSE NO ONE ELSE IS. WHEN THE WORLD WANTS TO OWN STOCKS, LIKE NASDAQ LAST YEAR (2000) THAT SIGNALS MARKET TOPS, AND WHEN THE WORLD DOESN'T WANT ANY STOCKS, AND PEOPLE SWEAR TO NEVER INVEST AGAIN, THAT SIGNALS MARKET BOTTOMS. THIS HAS NOT HAPPENED YET!!! Looking for this 4th qtr 2002, or 1st qtr 2003 TO WIN, YOU MUST CONTROL YOUR EMOTIONS AND LOGIC, WHICH ALSO GOVERNS THE MASSES. BE CONTRARY TO THE MASSES EXPECTATIONS. ONE OF THE FIRST THINGS I LEARNED WAS THAT 85% OF THE MONEY WAS USUALLY MADE BY 15% OF TRADERS, AND WHEN EVERYONE APPEARS TO BE ON ONE SIDE OF THE MARKET, THE MARKET WILL CHANGE. WALL STREET IS PROESSIONAL GAMBLING, & IF EVERYONE WON, ALL THE TIME, THE HOUSE WOULD GO BROKE. FOR THOSE OF YOU WHO ARE IN THE MARKETS FOR THE LONG HAUL, I JUST HOPE THE LONG HAUL DOESN'T RUN OVER YOU, AND YOU DON'T END UP FINALLY SELLING AT OR NEAR MARKET BOTTOMS. (DEFINE LONG HAUL AT LEAST TO YOURSELF, 'CAUSE EVERYONE I TALK WITH HAS A DIFFERENT ANSWER FOR HOW LONG THE LONG HAUL IS.) TO ME, THE MAY, 2002 & THE LATE JULY~ EARLY AUGUST, 2002 RALLYS ARE FAKE OUT BEAR MARKET TRAPS. WHEN THE FEAR LEVEL IS SCREAMING, AND THE HEADLINES READ THAT THE BOTTOM IS NO WHERE IN SIGHT, THIS MOST LIKELY WILL BE THE BOTTOM. AND WHEN THE HEADLINES ARE SAYING THE BOTTOM HAS BEEN SEEN, USUALLY THE MARKET DROPS HARDER DUE TO THE COMPLACENCY AND HOPE. BEAR MARKET RALLIES ARE THE BEST METHODS WALL STREET HAS TO KEEP YOU IN THE GAME, SO THEY CAN TAKE MORE MONEY FROM YOU LATER. THE HEADLINES WILL ASSURE YOU 2002, WILL BE BETTER. THAT'S VERY DANGEROUS, CAUSE USUALLY MARKETS WILL REBOUND SOME, TO ONLY SELL OFF WORSE. THE REASON WHY I SCREAMED "SELL IT ALL" IN 2000 WAS BECAUSE MARKET HIGHS AND MARKETS LOW ARE USUALLY CLOSE IN TIME, & I WANTED EVERYONE TO PRESERVE THEIR CAPITAL, (NOT WORRY ABOUT THE LOW RATES OF INTEREST THEY WERE EARNING), IN ORDER TO STILL HAVE THEIR CAPITAL LEFT WHEN THE MARKET BOTTOM COMES LATE 2002, OR EARLY 2003. YOU SHOULD BUY WHEN EVERYONE IS SELLING. SO MANY ASK ME ABOUT NEW TECHNOLOGY. PLEASE BE CAREFUL, RESEARCH & KEEP ON TOP OF THESE, AS TECHNOLOGY KEEPS CHANGING FASTER THAN EVER, & WHAT'S HOT NOW, CAN END OF BEING A DINOSAUR QUICKLY. HISTORICALLY, BEAR MARKETS ARE SEVERE, LONG IN TIME, LASTING YEARS AND YEARS, DECADE(s), CAUGHT UP IN A TRADING RANGE, BACK & FORTH. WHEN THE 1929 BEAR MARKET ENTERED, THAT YEAR WAS NOT THE MARKET LOWS, & IT TOOK TIL THE EARLY 1950's TO RECOVER. ALSO, THE DOW TRADED SLIGHTLY OVER 1,000 IN 1966, RETESTED THIS IN 1972-1973, THEN LOST 45% BY THE END OF 1974. IN 1982 THE MARKET WAS SLIGHTLY ABOVE THE 1974 LOW . I WILL TRY AND GET BACK WITH YOU AS SOON AS I CAN. I DO FUTURES TRADING ON THE S&P 500 & WORK WITH RESCUED PETS, AND SOMETIMES, CAN'T ANSWER RIGHT AWAY. FOR 2002, I AM IN BEARISH HEAVEN 'CAUSE MARKETS FALL FASTER THAN THEY RISE. PLEASE READ MARKET RULES DAILY IMPORTANT TIMES I WATCH & REACT ON: OPENING BELL AT 9:30 A.M. JUST BEFORE AND AFTER 10:30 A.M. (USUALLY A MARKET HIGH OR LOW) 12:00 TO 1:00 P.M. CHANGE IN DIRECTION, CAN BE A MARKET LOW 3:00 P.M. TO 3:30 P.M. WATCH TREND AS THEY CAN REVERSE IT FROM 3:30 P.M. TO 4:00 P.M. THANKS FOR VISITING, COSMAD HAVE ANY QUESTIONS ~ E-MAIL COSMAD |
STOCK MARKET PSYCHOLOGY: COMPLACENCY & HOPE = BEARISHNESS WALL OF WORRY & FEAR= BULLISHNESS MARKETS BUY/SELL ON RUMORS, AND USUALLY DO THE OPPOSITE ON FACT. HISTORICAL TREND SINCE 1950: BUY IN OCTOBER/NOVEMBER, SELL IN APRIL/MAY. THE PSYCHOLOGY OF THE STOCK MARKETS AFFECT BASIC HUMAN INSTINCTS, AND ARE THE NUMBER 1 ENEMY OF AN INVESTOR/TRADER. YOUR INSTINCTS WILL FOOL YOU EVERY TIME AS THE MARKETS UNDERSTAND YOUR INSTINCTS, AND ARE DESIGNED TO HAVE THEM WORK AGAINST YOU. MARKETS DO NOT TRADE USING LOGIC. REMEMBER, MY ESKIMO STORY FROM 2000. MOST PEOPLE HAVE ORDERLY, LOGICAL MINDS, AND BELIEVE WHAT THEY HEAR AND WHAT THEY SEE. THE MARKETS ARE DESIGNED TO GIVE WRONG SIGNALS TO THE MASSES, AND THAT'S WHY PEOPLE BUY AT MARKET TOPS AND SELL AT MARKET BOTTOMS. THE STOCK MARKET PREYS ON FEAR AND GREED, AND IS NOT DESIGNED TO REWARD THE MASSES. THINK OF THE MARKETS AS CASINO GAMBLING. YES, YOU CAN WIN, BUT THE OVERALL ODDS ARE ALWAYS WITH THE HOUSE. WHEN ARE COMPLACENT ABOUT YOUR STOCKS, THIS IS YOUR SIGNAL TO SELL. WHEN YOUR FEAR LEVEL SCREAMS, THIS IS WHEN YOU SHOULD BUY BECAUSE NO ONE ELSE IS. WHEN THE WORLD WANTS TO OWN STOCKS, LIKE NASDAQ LAST YEAR (2000) THAT SIGNALS MARKET TOPS, AND WHEN THE WORLD DOESN'T WANT ANY STOCKS, AND PEOPLE SWEAR TO NEVER INVEST AGAIN, THAT SIGNALS MARKET BOTTOMS. THIS HAS NOT HAPPENED YET!!! Looking for this 4th qtr 2002, or 1st qtr 2003 TO WIN, YOU MUST CONTROL YOUR EMOTIONS AND LOGIC, WHICH ALSO GOVERNS THE MASSES. BE CONTRARY TO THE MASSES EXPECTATIONS. ONE OF THE FIRST THINGS I LEARNED WAS THAT 85% OF THE MONEY WAS USUALLY MADE BY 15% OF TRADERS, AND WHEN EVERYONE APPEARS TO BE ON ONE SIDE OF THE MARKET, THE MARKET WILL CHANGE. WALL STREET IS PROESSIONAL GAMBLING, & IF EVERYONE WON, ALL THE TIME, THE HOUSE WOULD GO BROKE. FOR THOSE OF YOU WHO ARE IN THE MARKETS FOR THE LONG HAUL, I JUST HOPE THE LONG HAUL DOESN'T RUN OVER YOU, AND YOU DON'T END UP FINALLY SELLING AT OR NEAR MARKET BOTTOMS. (DEFINE LONG HAUL AT LEAST TO YOURSELF, 'CAUSE EVERYONE I TALK WITH HAS A DIFFERENT ANSWER FOR HOW LONG THE LONG HAUL IS.) TO ME, THE MAY, 2002 & THE LATE JULY~ EARLY AUGUST, 2002 RALLYS ARE FAKE OUT BEAR MARKET TRAPS. WHEN THE FEAR LEVEL IS SCREAMING, AND THE HEADLINES READ THAT THE BOTTOM IS NO WHERE IN SIGHT, THIS MOST LIKELY WILL BE THE BOTTOM. AND WHEN THE HEADLINES ARE SAYING THE BOTTOM HAS BEEN SEEN, USUALLY THE MARKET DROPS HARDER DUE TO THE COMPLACENCY AND HOPE. BEAR MARKET RALLIES ARE THE BEST METHODS WALL STREET HAS TO KEEP YOU IN THE GAME, SO THEY CAN TAKE MORE MONEY FROM YOU LATER. THE HEADLINES WILL ASSURE YOU 2002, WILL BE BETTER. THAT'S VERY DANGEROUS, CAUSE USUALLY MARKETS WILL REBOUND SOME, TO ONLY SELL OFF WORSE. THE REASON WHY I SCREAMED "SELL IT ALL" IN 2000 WAS BECAUSE MARKET HIGHS AND MARKETS LOW ARE USUALLY CLOSE IN TIME, & I WANTED EVERYONE TO PRESERVE THEIR CAPITAL, (NOT WORRY ABOUT THE LOW RATES OF INTEREST THEY WERE EARNING), IN ORDER TO STILL HAVE THEIR CAPITAL LEFT WHEN THE MARKET BOTTOM COMES LATE 2002, OR EARLY 2003. YOU SHOULD BUY WHEN EVERYONE IS SELLING. SO MANY ASK ME ABOUT NEW TECHNOLOGY. PLEASE BE CAREFUL, RESEARCH & KEEP ON TOP OF THESE, AS TECHNOLOGY KEEPS CHANGING FASTER THAN EVER, & WHAT'S HOT NOW, CAN END OF BEING A DINOSAUR QUICKLY. HISTORICALLY, BEAR MARKETS ARE SEVERE, LONG IN TIME, LASTING YEARS AND YEARS, DECADE(s), CAUGHT UP IN A TRADING RANGE, BACK & FORTH. WHEN THE 1929 BEAR MARKET ENTERED, THAT YEAR WAS NOT THE MARKET LOWS, & IT TOOK TIL THE EARLY 1950's TO RECOVER. ALSO, THE DOW TRADED SLIGHTLY OVER 1,000 IN 1966, RETESTED THIS IN 1972-1973, THEN LOST 45% BY THE END OF 1974. IN 1982 THE MARKET WAS SLIGHTLY ABOVE THE 1974 LOW . I WILL TRY AND GET BACK WITH YOU AS SOON AS I CAN. I DO FUTURES TRADING ON THE S&P 500 & WORK WITH RESCUED PETS, AND SOMETIMES, CAN'T ANSWER RIGHT AWAY. FOR 2002, I AM IN BEARISH HEAVEN 'CAUSE MARKETS FALL FASTER THAN THEY RISE. PLEASE READ MARKET RULES DAILY IMPORTANT TIMES I WATCH & REACT ON: OPENING BELL AT 9:30 A.M. JUST BEFORE AND AFTER 10:30 A.M. (USUALLY A MARKET HIGH OR LOW) 12:00 TO 1:00 P.M. CHANGE IN DIRECTION, CAN BE A MARKET LOW 3:00 P.M. TO 3:30 P.M. WATCH TREND AS THEY CAN REVERSE IT FROM 3:30 P.M. TO 4:00 P.M. THANKS FOR VISITING, COSMAD HAVE ANY QUESTIONS ~ E-MAIL COSMAD |
STOCK MARKET PSYCHOLOGY |
Visit Our ~ JOURNEYS~HOLIDAYS~FANTASIES~ Brought to you by: divisions of www.cosmad.com & www.stockmarketwiz.com |
Partner With Us IF You Can. For those of you that I have helped with the markets & who have made donations, again thanks. |
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