Bull market stages

FROM http://sentiment-trader.blogspot.com 6 STAGES OF A BULL MARKET Bull markets are born on pessimism, grown on skepticism, mature on optimism, and die on euphoria Shock and Fear Bear markets can end with either a bang or a whimper. bottom is here. The no more panic Termed "guarded optimism" gave way to "enthusiasm," or Stage 3. 3 Eeconomic recovery Economy first signs of growth, which leads to greater enthusiasm. It drives the stock market ever higher creating more enthusiasm. Earnings increase. 4 Exuberance Transition between Stage 3 and Stage 4 is mainly about changing attitudes. As confidence builds, investors are engulfed by a feeling that nothing can go wrong. 5 URKEY The Surrealistic Phase Euphoria advanced phase of exu- berance. New stock offerings are of questionable value, Everyone is bullish the feeling of financial immortality. DR Disillusionment This is where the Surrealistic Surre- alistic Phase ends with the bursting of the stock market bubble. Sell offs occur, and emotions run high and but investors desperately cling to their losses when they should be jettisoned. FROM http://sentiment-trader.blogspot.com 6 STAGES OF A BULL MARKET Bull markets are born on pessimism, grown on skepticism, mature on optimism, and die on euphoria Shock and Fear Bear markets can end with either a bang or a whimper. bottom is here. The no more panic Termed "guarded optimism" gave way to "enthusiasm," or Stage 3. 3 Eeconomic recovery Economy first signs of growth, which leads to greater enthusiasm. It drives the stock market ever higher creating more enthusiasm. Earnings increase. 4 Exuberance Transition between Stage 3 and Stage 4 is mainly about changing attitudes. As confidence builds, investors are engulfed by a feeling that nothing can go wrong. 5 URKEY The Surrealistic Phase Euphoria advanced phase of exu- berance. New stock offerings are of questionable value, Everyone is bullish the feeling of financial immortality. DR Disillusionment This is where the Surrealistic Surre- alistic Phase ends with the bursting of the stock market bubble. Sell offs occur, and emotions run high and but investors desperately cling to their losses when they should be jettisoned.