Richard’s Wisdom - “Richard’s Thoughts on Great Bull Markets”
So far, it's been a great and huge bull market. All great bull markets come in three psychological phases. The first phase is the accumulation phase, during which sophisticated and value-oriented investors pick up what is generally being ignored.
The second phase is the phase where the seasoned professionals and a few more sophisticated funds take their positions. It is in the second phase where we see the most painful secondary corrections, which are almost always mistakenly taken to be primary bear markets. The second phase often ends with a severe secondary reaction that turns most people bearish on the item. And it is in the second phase where the public first notices the persistent rise in prices.