We’re witnessing classic behavior of a markup phase in the market.
Risk appetite has surged — capital is now pouring into laggards, speculative plays, and even stocks with shaky fundamentals, simply because everything seems to be rising. In these moments, traders often fool themselves into thinking every stock they own is the next Nvidia.
That’s your cue to step back and reassess.
Yes, this market is generous right now. But there’s a critical difference between stocks climbing due to overall market strength… and those rising because they’re true market leaders.
Leaders give you room to breathe. They provide a cushion, allowing for small mistakes without wiping you out.
Laggards? They’ll collapse the moment momentum fades.
So if you’re chasing quick gains in a weak stock, have a clear exit strategy. It’s fine to trade for a 20–25% bump, just don’t pretend it’s a long-term relationship. Don’t marry a trade you know is short-term.
And most importantly, don’t treat all stocks the same. You must distinguish between:
🔒 Core holdings you’re willing to sit with through pullbacks and consolidations
⚡ Tactical trades designed for quick pops and fast exits
Confuse the two, and you risk holding garbage too long — or bailing on winners too soon.
This market is seductive. It flatters everyone into thinking they’ve cracked the code. Companies with $50M in revenue are trading like they’re unicorns-in-waiting.
But we’ve seen this before.
History says 80% of today’s leaders will drop 80% or more in the next bear cycle. So don’t lose your grip. Stay grounded. Be honest with yourself. Know what stage of the cycle we’re in.
Thinking in cycles protects you from delusion.
Now’s not the time to chase blindly — it’s the time to prepare for what comes after.
@TigerObserver @TigerPM @Tiger_comments @TigerStars @Daily_Discussion @TigerPM
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