Mauled By Bears The last post was taken from the model of bear market capitulation point.
In the last days of a bear market we expect to see investors get mauled by the bears. They get so beaten and ripped up they can no longer think straight.
Just when all the prices are at the lowest point, investors should be buying, but they no longer think straight and they become scared. Consequently they do not participate in the next big rally that often gains 30 to 40% in the next year.
These fact are well documented in behavioural finance.
I would argue that the VAST & WZR experience has got many LFD shareholders into the same state of mind, because they do not see the obvious values in LFD; they are not seeing the obvious, even thou it is right under their nose..