“The market has spoken” | Seth’s Blog

Why would somebody purchase a share of inventory for $945?

One purpose may be that they assume they will promote it tomorrow for $950.

A extra frequent purpose is that somebody purchased it an hour in the past for $940.

In fact, this is applicable to greater than equities. Why purchase a Birkin bag for greater than $25,000? As a result of another person did.

The one factor worse than dropping an public sale by a couple of {dollars} is profitable one by lots.

All of this is smart till it doesn’t. The “market” could be very good about any given second in time, however not all the time notably good concerning the future.

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