Looking back at the history of bull markets, we see a predictable sequence of events that reflect investor psychology and behavior.

1. The Beginning Stage: When a new market starts to show signs of growth, surprise is the dominant emotion. Bold investors, eager to get rich quick, even borrow money to invest in stocks in the hope of making big profits.

2. Stage Two: Widespread excitement, fueled by positive media coverage, makes many people feel that becoming a successful investor is within reach. Potential risks are often overlooked, and optimism prevails.

3. Stage 3 boom: The market attracts a large number of investors, leading to an increase in trading volume. The general sentiment is inclined towards the confidence that they are 'riding the wave' and will quickly make a profit.

4. Mild correction phase: Stocks begin to experience some volatility; however, many investors see this as a buying opportunity, believing that the uptrend will continue.


5. Stage 5 shows signs of instability: The market begins to show signs of cracks, some stocks fall sharply, causing anxiety to start to grow among investors.


6. Stage 6 maintains expectations: A few investors decide to take profits, but the majority still maintain confidence that the market will recover and continue to rise.


7. Stage 7 decline: As pressure from external factors increases, investor confidence declines, and the market becomes more volatile.


8. Stage 8 negative news: A series of bad news appears, leading to widespread panic, sharp declines in stocks and collapse of investor confidence.


9. Stage 9 Crisis: A wave of selling occurs, replacing confidence with anxiety and regret.


10. Stage 10 Deep Correction: The remaining investors are shocked to find that it is too late and face huge losses.


11. Stage 11 polarization of opinion: Experts evaluate and give opposing views, leading to confusion in the investment community.


12. Stage 12 stability: After a long period of adjustment, the market gradually recovered, although many investors experienced significant losses.

13. Phase 13 ends: Finally, the bull market ends with a sigh, leaving valuable lessons for its participants.

The bull market is like an unpredictable journey with highs and lows.Reminding you that staying rational amid the excitement is the key to navigating the stock market with caution and resilience.#Write2Win #MarketDownturn