Wednesday’s Bit of Wall Street Wit & Wisdom

Following the herd

Following the herd can be dangerous.

“Men, it has been well said, think in herds; it will be seen that they go mad in herds, while they only recover their senses slowly, one by one.”
— Charles MacKay, Extraordinary Popular Delusions and the Madness of Crowds

Following the herd can be dangerous…in markets and in life.  But recognizing herd mentality can also benefit you if you keep your head.  As Warren Buffett famously advised, “Be fearful when others are greedy and greedy when others are fearful.”

Use your noodle and think for yourself.

Wishing you good health and good luck in your trading.

Best regards,

Steve

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