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Re: caedward post# 11415

Wednesday, 11/14/2012 5:10:06 PM

Wednesday, November 14, 2012 5:10:06 PM

Post# of 41311
capitulation...The significance of capitulation lies in its implications. Many market professionals consider it to be a sign of a bottom in prices and consequently a good time to buy stocks. This is because basic economic factors dictate that large sell volumes will drive prices down, while large buy volumes will drive prices up. Since almost everyone who wanted (or felt forced) to sell stock has already done so, only buyers are left - and they are expected to drive the prices up.