Quote from: GrossBit on November 29, 2016, 03:45:11 PM

Quote from: TaaviK on November 29, 2016, 02:10:42 PM

This is for crazyivan and everyone else who is perplexed at wtf is going on with the markets???. Maybe my view of things resonates with some of you.

This is how I view the markets:
It is incorrect to say that price follows news. I think it is more correct to actually say news follow price but that is also not the entire truth. Price has a tendency to actually "unlock" news. Good times (price trending up) produce good news, bad news get ignored. Bad times (price trending down) produce bad news, good news get ignored, shrugged off.

The market can be viewed as waves in an ocean. Not that market price action is like water but more like water is a good medium that visually shows the movement of energy as it passes through it. For example in this simple animation - https://www.youtube.com/watch?v=7yPTa8qi5X8
The water does not really move, it is just energy that passes through it because if water moved it would carry the red ball with it. You can make that experiment yourself in the sea or ocean.

So price movements show a wave-like pattern to it. Look at any price chart, at any time frame. This means that as with water it is energy passing through that creates the waves not actual physical water moving (water movement in oceans is brought about by currents but leave that aside for now). The driving force of markets is human passion, it is the energy of human emotion and the ups and downs that come with it. The market is made up of 1000s of individuals who compose this super average being (or "Mr.Market" - B.Graham). The price chart is the emotional state of this creature in time. Every market has its own collective characteristics that make up this "being" - this gets influenced by the personalities of people who actively trade in that market. The gold market has a distinct "being" or characteristic, the oli market has one, the apple stock has one etc.

So since I simplified the market down to a single human (being) level, I can now try to draw parallels from my own life to spot patterns to understand this creature better. Know thyself and you will start to understand markets.

As a human I find that when I have negative periods in my life (and these do come in cycles) there is not that much that I can really do to "get better". Often the best things is to just ride it out. The strong tendency in those periods is to view the world in negative colours. Much easier to see bad things than good. So good things happening to me might only have a diminished impact on my mood. On the other hand, when I am happy, ectatic, I see only positive things. Even small good things might get me excited. Also I might even start to view bad things happening to me as not really that important, I shrug it off.

Both, the negative mind and the positive mind have the ignorance of not seeing the other side of the coin. This is also why the "balanced" mindset is the most profitable one for the trader since from a balanced (emotionally) point of view all the positive and negative aspects can be grasped and evaluated more truly.

To analyse the current situation in the cryptomarket:
There is currently a big Bitcoin wave. The capital in the crypto space is very limited, not enough to go around. When Bitcoin starts to rise it will suck up a lot of capital, since altcoin space is a very easy place to get it from. Bitcoin is ruthless in that matter. This makes altcoins shit the bed.
BUT this will also change. Soon Bitcoin will breath out that capital again and that will have a good chance to ignite a nice altcoin bubble rally. When that will be? I do not know. If I had to guess it will depend on whether bitcoin breaks the ~$775-780 area or not. What I do know is that right now there is a huge sale of altcoins going on that will probably produce nice profits

sooner than later.

glad to see at last someone who gets it here !!!

If people dont share your vision doesnt mean they are wrong, i remember your prediction it will go down blah blah blah. I bought and made like 30% all the way up to 400k Wink

! Im happy you get it hope you shorted.