BillCust

Shanghai 2007 vs. Nasdaq 2000 -- Deja Vu?

This is more tricky than you say! Let's say you have a time machine back to Dec 1999. The new year's gala's on big time and Nasdaq was at its peak. But the current peak is 7,000, not 5,000.

For some reason history changed and the Chinese went to buy tech stocks instead of bonds, adding to the chaos bubble. What will you do? Sell everything cuz in your "universe" it was supposed to be 5,000 going down to 1,500?

But then you realize this is a parallel universe. The psych limit is 10,000 and you may well get burned if it does go there before turning to say, 1,500, like your original universe?

Real supply and demand is of course, dictated by Real economics, I agree. But kindly take a look at Chinese history back 3,000 years and see if you can find excesses, tragedy, accomplishments, or unusual activities that are NOT universe-boggling when they occured in China.