Week 36 Day 4: Bubble Anatomy: The Four Phases Every Bubble Follows

Every financial bubble follows the same pattern: stealth phase (smart money buys), awareness phase (institutional money joins), mania phase (the public piles in, driven by herding), and blow-off phase...

Every financial bubble follows the same pattern: stealth phase (smart money buys), awareness phase (institutional money joins), mania phase (the public piles in, driven by herding), and blow-off phase (panic selling, public exits at the worst prices). By the time you hear about it, you are in phase 3.