Softechie, I saw it the first 2 times you posted it. I don't need books to tell me about manias, crashes and bear markets. I understand the risks involved. To me, Chancellor's book is precisely the same as the hundreds of Y2K books that were so popular during 1999. Fear sells books. But it is an emotion that we need to keep in check in trading stocks. . . .as is exuberance.
If you wish to bask in market crash fear, try Charles Kindleberger's "Manias, Panics and Crashes". . .that will get your juices going. Or perhaps "Debt and Delusion" by Peter Warburton or "Psychology and the Stock Market" by David Dremen. They all essentially say the same things.
We on the HOME thread, studied the subject of mania and potential crashes over a year ago when the markets were near the top. We discussed China's devaluation, the FED intervention, the Euro, the internet bubble, etc., etc. . . Revisiting this subject after the markets have made such a long decline seems anti-climatic.
The big money has long since been made on the down side. When a stock has dropped 90%, do you really think that there is sufficient downside potential to squeeze out another 9%. . .with 9900% upside risk should the stock return to its old high? Or does short-selling become an obsession. . . where you feel impervious to loss?
Frankly, I'd rather go to Vegas than play with those odds.
I notice much talk of stocks going to $1 or to zero. Is that not EXACTLY the same as talk of stocks going to the sky? And is there not a "correction" ahead that will sober those dazed by short-sell gains?
Investor / Traders here at HOME are extremely intelligent and cannot be easily swayed to make silly moves. Nor can they be scared into making silly moves. And if you have questions about virtually any facet of the markets, just ask them. . . .the collective wisdom represented here is far more impressive than any book I've read.
Rande Is |
