The urge to call the market's direction is fierce. Trouble is, that is devilishly hard to do. It's best to be wary of those who build their investment strategies around market timing. Also dangerous: people who think they see turning points at which all the old laws about investing are repealed. In the late 1990s a lot of investors were convinced that technology had given rise to a new paradigm in which the market's direction would be ever skyward. The mantra of that era—"It's different this time"—came crashing down when investors realized that profit-free Internet companies weren't such a good idea after all.
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