Where the herd is

Magazine Covers.

As traders we know how often they mark the ends of trends. Growth companies that reach the front page of Forbes and Fortune usually hit a peak. Everyone that’s going to buy has bought. And the path of least resistance becomes down.

Of course these indicators aren’t as exact as mechanical watches, but they can tell a lot about where the herd is.

Big question is: When will all the selling be put in?


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