ABSTRACT
The same old patterns To the newcomer, the market appears lled with wonders and mysteries as the landscape of Mars will appear to the rst space travelers to land there. There are strange rumblings, apparently unexplainable upheavals, weird growths. An unknown stock will suddenly emerge from a morass of debt and decit, and proceed to soar to great heights. An old and trusted issue will paradoxically sag and droop, although apparently rooted in the soil of economic stability. All will seem peaceful and secure; and, suddenly, the ground opens up and swallows values in a sensational market break. (For illustrations in this chapter, see Figures 37.1 through 37.54.)
Such a newcomer, perhaps not realizing what appears unusual and alarming is only the normal uctuation and adjustment that goes on continually in the market according to the changing evaluations of millions of investors, will feel frightened, insecure, and indecisive. He may scurry from boardroom to boardroom, personally or on the telephone, scan the nancial pages, talk with friends, accumulate a mass of conicting information, and end up shutting his eyes and making a blind stab in the hope that he may come up with the right answer.
