Loading ...NIKK vs SPX 30 year later
The false belief in 2000 was disabused when the Nasdaq 100 Index fell 80% in just 30 months and the majority of the most popular dotcom stocks went to zero.
A “mania,” on the other hand, is defined as excessive enthusiasm. I would take it a step further and suggest that a mania in the financial markets is marked by excessive enthusiasm that leads to belief in the impossible that allows for a bubble to form.
NIKK in 1989
I was a BIG bear back in Oct 2018 till early spring 2019… started changing my opinion as I saw the chances of of a retest of Dec 2018 lows were lowering. I had never seen a V shape recover like that, except at market bottoms, after a crash, much lower, after a recession. Anyways… here was my imagined “analogous” play for the Nasdaq vs Nikkei! https://goldtadise.com/wp-content/uploads/2019/10/ndx_vsjapan.jpg
Yes market still going higher. Valuations are not high enough. NDX has broken out last week. May be next 21 bars (months) still needed.
I just updated my “analogous” analysis for curretn day nasdaq vs 1989-90 Nikkei… Starting to get shivers down my spine! Gonna be a wild ride! https://goldtadise.com/wp-content/uploads/2019/10/NI225-22799.8-0.22-GoldTent-Google-Chrome.jpg