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Strategies & Market Trends : The Stock Market Bubble -- Ignore unavailable to you. Want to Upgrade?

To: Moominoid who wrote (1709)	9/21/1998 9:53:00 AM
From: bobby beara	Read Replies (2) \| Respond to of 3339

David, capitulation means to me that a large portion of holdouts (bull or bear) who have been mulling over in their minds to buy or sell make up their minds to act all at one time creating a turning point. The run-up to April 20th was a capitulation of holdout bulls who piled into internets and tech stocks driving the shares up vertically. I remember mega bull Joe Battapaglia saying that he had held back on buying Microsoft because of valuation, but changed his mind and finally recommended the stock (@ $119 -g-) The same thing happens in reverse for people who are mulling over in their minds whether they should sell, they hold and hold and hold and when the pain reaches a certain threshold they sell. Since fear is a greater emotion than greed. Selling climaxes are much more violent than buying climaxes. bb