“When the crowd is euphoric,” Vervoort wrote, “the smart money is distributing.”
One evening, watching the S&P 500 hover at an all-time high, Martin’s new system triggered a on SPY. The stochastic had diverged bearishly for three weeks. Volume was drying up. “When the crowd is euphoric,” Vervoort wrote, “the
Martin almost laughed. He’d read Technical Analysis of the Financial Markets . He knew what a head-and-shoulders pattern looked like. But knowing and doing were different planets. “When the crowd is euphoric
He had learned, at last, to trap it.
He had stopped trying to predict the market. ” Vervoort wrote