Six steps and irreversible market laws that every investor and trader must know to be successful
The movement begins with supporters (smart traders) who have an inside knowledge of when it comes to a specific stock or market. This information will move the market up or down based on the inside information. These buyers are very smart and smart and are aware of trading / investing opportunities very early in the margin cycle.
Days, weeks, or sometimes months after the move begins, there is a brief signal in electronic media (radio, cable, TV) or on one of the online chat forums that the market is moving. The audience listens for the first time and begins to pay attention, but does not buy.
Informative advertising appears in the print media. The procedure is also starting to gain more visibility on blogs and online message boards. The audience starts to pay more attention and will buy less.
The fourth step:
The Wall Street and Sall Street brokers are engaging in the hype and selling the market to their customers. The public starts buying in larger quantities.
An entire article appears on the first page about a specific market or stock in a major financial newspaper, magazine, or website. This usually happens six months after the fact and after the market has shown its highest appreciation. There is often a strong public buying, and even a potential craze, as all the media, the middlemen and the so-called “gurus” start promoting the market.
The Sixth Step:
As Step 5 progresses, the smart supporters or traders start exiting the market and taking their profits off the table.
End: The movement ends, the market falls, and the investors lose their money.