¿Are the Roaring 20's Repeting?
Updated
I am a 12 year old kid with a dream to suceed in the Stock Market please give me some advice or inspiring quotes in the comments
Between 1918 and 1919 there was the "forgotten market crash" in which the stock market declined by over -50% and corporate earnings declined by OVER -90%. This year can be compared to 2020 since there was a pandemic in those years.
In the years between half of 1918 to 1919, there was a bull market in which the bull market returned more than 100%, and the (
SPY) passed from $60 to $120 in over a year, but just at that moment, a "mini-depression" came.
The depression of the 21 was a brief period of 1 and a half years where the stock market lost 1/3 of its value and almost all the gains made from the bull market. The cause for this "mini depression" is similar to today's 2022 Market Crash because the FED raised interest from 4.75 to 7% (the highest level in U.S. history except in the 1980s, let's remember that this was the highest level at that time). People that invested in technology stocks, sold their pieces in that companies meanwhile intelligent investors bought them at a discount. I also meant to say to buy stocks at the bottom because asset prices at that time were at a 6-year low, as well as the lowest price in the entire decade, the Moving Average also presented a buying opportunity. This is happening right now as we are seeing a lot of growth stocks losing value as well as some technological stocks, even the S&P lost -20%, but there are gonna be periods in which 1 week of the stock market produces +5% returns, but the next week it declines by (-7.5%)
From then on, many assets like real estate and stocks have rapidly increased their value, but as the (SPY) almost achieved prices of 1921 levels, a not-so-important stock market crash occurred in 1923 in which the stock market tanked by -18%, and it when into effect for 1 year. This is again a buying opportunity, and you don't have to sell your stocks.
Between the period of 1924 to 1929, there is a period of prosperity where hundreds of movies are created, and other music styles take over like Jazz, and this trend is also happening right now so be careful with what you hear because it can be the music you will like for the rest of your life. Also, many technological inventions are going to get invented, and the best thing is that the creators of these inventions are gonna sell the stock of the company. Instead of the United States being the king of the stock market, China is going to be the king since most of these inventions are going to be created by Chinese inventors, and instead of black jazz musicians, we are going to have Latino musicians singing and bringing new dancing moves.
The stock market had a -10% loss in 1926, but it doesn't matter since the world economy is strong, and many people invest their savings into stocks. Back to reality, this decade is so SIMILAR to ours, but since the Great Depression also helped the rise of Nazi Germany we also have to see the consequences.
On October 24, 1929, the stock market crashed, leaving hundreds of millions of persons unemployed worldwide, ending the Roaring 20's, and 15 terrible years ahead made up of war, hunger and death. The stock market crashed by -89%, the biggest crash in history closing thousands of banks, and many suicides. Unfortunately, this could happen in the "Everything Crash of 2031", because of this decade of prosperity right now let's enjoy it because we will never have something like that.
DJI
Dear Tradingview viewers I hope you follow me I am a 12-year-old trader that loves the history of the stock market we are so fortunate we live in the most powerful country in the world so please, I think we have an opportunity when we are young so please give me this opportunity to give me advice in the comments, and bring this article in the Editors Pick and well as to have a lot of likes because I had to put a lot of effort into creating this Tradingview Post.
Sincerely, A 12-Year-Old Young investor
Between 1918 and 1919 there was the "forgotten market crash" in which the stock market declined by over -50% and corporate earnings declined by OVER -90%. This year can be compared to 2020 since there was a pandemic in those years.
In the years between half of 1918 to 1919, there was a bull market in which the bull market returned more than 100%, and the (
SPY) passed from $60 to $120 in over a year, but just at that moment, a "mini-depression" came. The depression of the 21 was a brief period of 1 and a half years where the stock market lost 1/3 of its value and almost all the gains made from the bull market. The cause for this "mini depression" is similar to today's 2022 Market Crash because the FED raised interest from 4.75 to 7% (the highest level in U.S. history except in the 1980s, let's remember that this was the highest level at that time). People that invested in technology stocks, sold their pieces in that companies meanwhile intelligent investors bought them at a discount. I also meant to say to buy stocks at the bottom because asset prices at that time were at a 6-year low, as well as the lowest price in the entire decade, the Moving Average also presented a buying opportunity. This is happening right now as we are seeing a lot of growth stocks losing value as well as some technological stocks, even the S&P lost -20%, but there are gonna be periods in which 1 week of the stock market produces +5% returns, but the next week it declines by (-7.5%)
From then on, many assets like real estate and stocks have rapidly increased their value, but as the (
SPY) almost achieved prices of 1921 levels, a not-so-important stock market crash occurred in 1923 in which the stock market tanked by -18%, and it when into effect for 1 year. This is again a buying opportunity, and you don't have to sell your stocks.Between the period of 1924 to 1929, there is a period of prosperity where hundreds of movies are created, and other music styles take over like Jazz, and this trend is also happening right now so be careful with what you hear because it can be the music you will like for the rest of your life. Also, many technological inventions are going to get invented, and the best thing is that the creators of these inventions are gonna sell the stock of the company. Instead of the United States being the king of the stock market, China is going to be the king since most of these inventions are going to be created by Chinese inventors, and instead of black jazz musicians, we are going to have Latino musicians singing and bringing new dancing moves.
The stock market had a -10% loss in 1926, but it doesn't matter since the world economy is strong, and many people invest their savings into stocks. Back to reality, this decade is so SIMILAR to ours, but since the Great Depression also helped the rise of Nazi Germany we also have to see the consequences.
On October 24, 1929, the stock market crashed, leaving hundreds of millions of persons unemployed worldwide, ending the Roaring 20's, and 15 terrible years ahead made up of war, hunger and death. The stock market crashed by -89%, the biggest crash in history closing thousands of banks, and many suicides. Unfortunately, this could happen in the "Everything Crash of 2031", because of this decade of prosperity right now let's enjoy it because we will never have something like that.
DJIDear Tradingview viewers I hope you follow me I am a 12-year-old trader that loves the history of the stock market we are so fortunate we live in the most powerful country in the world so please, I think we have an opportunity when we are young so please give me this opportunity to give me advice in the comments, and bring this article in the Editors Pick and well as to have a lot of likes because I had to put a lot of effort into creating this Tradingview Post.
Sincerely, A 12-Year-Old Young investor
Note
The metaverse is the new Tv's stocks because they are pretty similar, and they are a new form of communication between people. Thanks for all the comments because I will give more quality content
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