If you’ve been with us a while, you have heard us say this before, but right now, today, it is worth repeating;
“When markets are booming, people think they’ll boom forever. And when markets are slumping, people think they’ll slump forever.”
Neither is true of course as history proves over and over.
Right now, we are in the euphoria stage. What we are seeing every day in the market is more than a ‘boom’…It’s mania out there. There are multitude reasons for this as we know, but one constant we keep hearing:
“’This time it’s different.”
Those words…Prevalent in any boom, are some of the most dangerous words an investor can ever mutter, or believe.
These words are rationalisation. And rationalisation is one of the signs of denial.
Denial of what? The inevitable outcome of all of this, which is that one day, sooner or later, the music WILL stop.
The difference between us, and many commentators out...