Shake! Shake! Shake! You Fall Out of the Tree Yet?
A few months ago I was talking to my Great Uncle who had a seat on the CBOE for awhile. I asked him what he thought of all the volatility in the market. He said this: "Kirk, the markets work the same over and over, they just do things a little different each time. The big guys sell as the market gets high, then when they are sitting on cash, they shake the tree until all the little guys fall out. Once all the little guys are out, the big guys walk around buying things really slow on the cheap. After awhile the little guy tries to climb the tree again because he sees prices going up and he doesn't want to miss his chance. When he gets up there in the branches, the big guys shake the tree again and it happens all over again. That's the way it has always been, that's the way it will always be."
I said, "maybe people will learn someday what's going on."
He said, "it'll never happen."
So, were you climbing the tree a few years ago, then again last year? Are you buying as prices get cheaper and cheaper, or selling? Who are you? What have you learned?