OK. the problem is that investors do not know if the on-going correction is O(25%) or something far more substantial. so they tend to over-react
or, from another point of view, imagine being an investor (wise and learned like LTCM, or even 10x smarter) who is absolutely sure that he is witnessing an O(25%) correction and suddenly finds himself 40% down, then 50%, then 60%. at which point he changes his learned opinion about O(25%)?
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timeasmymeasure
Re: markets will crash
Date: 2021-08-05 09:28 pm (UTC)OK. the problem is that investors do not know if the on-going correction is O(25%) or something far more substantial. so they tend to over-react
or, from another point of view, imagine being an investor (wise and learned like LTCM, or even 10x smarter) who is absolutely sure that he is witnessing an O(25%) correction and suddenly finds himself 40% down, then 50%, then 60%. at which point he changes his learned opinion about O(25%)?
Re: markets will crash
Date: 2021-08-05 09:45 pm (UTC)