Saturday, July 12, 2008

When to invest. The cycle of market emotions

When to invest?
Here is a useful tool that works in pretty much any market.

Investing involves a lot of group behaviour, especially when the asset class is real estate or dot-com equitites. Think of the NASDAQ in 1999, and US/global real estate from 2001-2006.

By reviewing the market emotions by talking to investors or listening to the media you can get a sense of where on the roller coaster we are. Enjoy!




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