The cycle of market emotions
Optimism - trading starts with optimism.
Excitement - everything goes well!
Thrill -"wow I feel great about this investment!"
Euphoria-point of maximum financial risk.
Anxiety - what is going on?
Denial - "temporary setback. I'm a long term investor!"
Fear - just don't go against me!
Panic - it's going against me!
Capitulation- "Maybe the markets just aren't for me."
Depression - Between this two is point of maximum opportunity.
Hope - it would come back!?
Relief - it is coming back!
Optimism - trading ends with optimism.
Labels: cycle of market emotions