Over the course of my trading life, I very slowly learned to pay attention to emotional extremes. When, for example, I am feeling arrogant, haughty, and indomitable, I had best closer every single position I’ve got, because I am about to get absolutely fried. Whereas when I am feeling hopeless, idiotic, and a fool, it’s probably a good idea to pour every penny I’ve got into my trading ideas.
In a similar fashion, I’ve watched Jim Cramer’s emotions. I remember in the deepest depths of the financial crisis, he was being interviewed, and he sat with slumped shoulders, hands meekly clasped together between his knees, and he explained, “I would ask anyone I loved to be completely out of equities for years to come.” That was, of course, the exact bottom of the market.
Well, he’s doing the exact opposite now. His arrogance and bravado are off the charts.
He also has no compunction about bitch-slapping anyone he wants, even if they aren’t even addressing him.
For this final remark, I could only offer one reaction.