Your experience, thoughts and observations on money, finance, investing, stocks and the likes are welcome.
The guiding principle is UTILITY. That is, anything you write must be useful to the reader. It should spur them to do something. Either to act, change their mind,
start doing something, stop some others and the likes.
”As their acceptance increases, their reliability tends to diminish”
This is one of the greatest ironies of the stock market and it permeates all spheres of life.
When theories are about to be formed we resort to data from the past. Upon examining this data, we tend to draw our explanation of the past.
Once this explanation of the past is generalized enough to form a theory that can guide the future and becomes generally accepted,
its reliability starts to decline.
I found this mystery in the stock market.
Here's why it happens that way:
Price is a conveyor of information, many times you don't need to know what has happened to an asset all you need to do is see what the price is saying.