Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Waiting for the big Kahuna -- Ignore unavailable to you. Want to Upgrade?

To: Investor2 who wrote (9577)	11/12/1997 7:11:00 PM
From: Lazarus_Long	Read Replies (1) \| Respond to of 94695

<< Does anyone believe investor sentiment is a contrary indicator? >> Yes and no. Anywhere from 1/3 to 2/3 of the way down in a bear market, a majority of people become pessimistic and expect further decline. So they sell. So they get the decline they expect. So the fact that a large percentage of people are pessimistic does not mean a bear market is over. Commonly, at the bottom of a bear market there is a spike of pessimism. People can't stand the words "stock market". They can't believe stocks will ever go up again. So they do. If you can spot that spike of pessimism, you can get in near the bottom of the decline.