What ever go up euphorically always crash down because emotional buying alway exaggerate distant future valuation. We see this happen over and over again in history. Market cycles repeat themselves and investors emotion are always behave in the same two extreme ways are what cause the market's boom and bust. Nothing new as far as trading the market is concern. The Dotcom Bubble, Housing Bubble ,Bitcoin Bubble, Cannabis Bubble all happened within the last 20 years. The potential future bubbles in the making now I believe are EV (electrical vehicle) Bubble and Stay At Home Stock Bubble. I am providing the following charts as warnings.
The Dotcom Bubble：
The Dotcom Bubble was caused by excessive speculation in Internet-related companies in the late 1990s, a period of massive growth in the use and adoption of the Internet. Before the March 2000 crash, the tech heavy Nasdaq 100 ($NDX) was up 353% in the course of 17 months from the low of October 1998 to Mach 2000. The NDX dropped by 83% by October 2002.
During the Dotcom Bubble many tech stocks dropped precipitously. They include AMZN and CSCO.
The Sub-prime Housing Bubble:
The Dow Jones Industrial Average dropped 53% during the 2008 Housing Bubble. From October 2002 to October 2008, the Dow was up 97% before the crash. The causes of the housing and financial crisis were predatory private mortgage lending and unregulated markets.
The Bitcoin Bubble:
From February 2015's $62 to 2017 high of 19666, Bitcoin was up 12800%. Over speculation caused the bubble burst, the digital asset came crashing down to lows of $3,150, a 84% drop eventually in December 2018.
The Cannibis Bubble:
When Canada legalised marijuana in 2017, it seemed like anyone who was anyone wanted to break into the market. The cannibis stocks got bid up like crazy. CGC, a leading cannibis stock surged up 1109% from June 2017 to October 2019. However, sales are far from what investors were expected, and CGC crashed. It eventually plunged 85% from 2019 high to the low on March 2nd 2020.
The to be "EV Bubble"
Tesla stock TSLA surged 1320% from June 2019 to September 2020 high! The big rise has been based on hope of Tesla is not just a car company by a scientific company with big growth ahead and the cult like worship of the company CEO Elon Musk. On its latest highly anticipated "Battery Day", it has not shown anything as promising as investors had hope. Last Friday, TSLA is still being bought by followers and they still haven't give up. I think the overhyped stock price defying fundamental and numerous EV competitors not far behind, TSLA will not likely to avoid a crash. Today, even China's Huawei said they can do any thing that Tesla can do. In addition, last week when a little known company SPI energy announced that it's ready to enter the EV business and the stock surged up over 3200% in a single day. And the energy related name such as SUNW rallied in sympathy from 0.77 to 8.50 (+1004%) in matter of two days. This situation is the same as during the dotcom, bitcoin and cannibis bubbles when companies attached with .com, bitcoin and cannibis respectively would surge before the bubbles bursted. These are crazy stuff. If these are not signs of a bubble, I don't know what is. When a stock moves up over 1000% in a little over 1 year, it's likely a bubble.
The to be " Stay In Home Stock Bubble":
Zoom (ZM) has became a household name ever since the Coronavirus Pandemic started as teleconferencing becomes popular. Ever since ZM went public on April 1st, 2019, it has increased 1372% at September 2020 high. No matter how fast it growth in the future, when a stock moved up over 1000% in a little over a year's time, it's likely a bubble and it won't be sustained for too long. Its forward PE is 173 and its earning growth is expected be be only 15%, price is detached from fundamental. This is also a bubble especially when the Coronavirus Pandemic fades.
极度乐观的上涨总是会崩溃的，因为投资人情绪化的购买总是夸大了遥远的未来估值。 我们看到这种情况在历史上一遍又一遍地发生。市场周期不断重复，而投资者的情绪总是以同样的方式两极发泄，从而导致市场的繁荣与衰落。就市场交易而言，是没有什么新鲜的。Dotcom泡沫，房贷泡沫，比特币泡沫，大麻泡沫都发生在最近20年之内。 我相信现在正在形成的潜在未来泡沫是EV（电动汽车）泡沫和居家股票泡沫。我提供以下图表作为警告。
网络泡沫：
在1990年代后期，互联网使用和普及的大规模增长时期导致互联网相关的公司受到过度投机而崩盘。在2000年3月崩盘之前，高科技股指数纳斯达克100（$ NDX）在1998年10月低点至2000年3月的17个月中上涨了353％。自崩盘以来到2002年10月NDX共下跌了83％。
在Dotcom泡沫期间，许多科技股都急剧下跌。它们包括AMZN和CSCO。
次贷房屋泡沫：
在2008年次贷房屋泡沫期间，道琼斯工业平均指数下跌了53％。从2002年10月到2008年10月，道琼斯指数在崩盘前上涨了97％。造成房地产泡沫的原因是掠夺性私人抵押贷款和不受监管的市场。
比特币泡沫：
从2015年2月的62美元到2017年的高点19666美元，比特币上涨了12800％。由于被投机过度而导致泡沫破裂，该数字资产最终在2018年12月跌至3150美元的低点，下跌了84％。
大麻泡沫：
当加拿大在2017年将大麻合法化时，似乎任何人都想打入大麻市场。大麻的股票疯狂上涨。从2017年6月到2019年10月，大麻股票龙头CGC上涨了1109％。最终，它从2019年的高点跌至2020年3月2日的低点，跌幅为85％。
可能的“ EV泡沫”：
从2019年6月到2020年9月，特斯拉股票TSLA飙升1320％！这巨大的升幅是建立在对特斯拉它不仅是一家汽车公司，而且是一家拥有巨大增长的科学公司的 希望之上的，并且也是对公司首席执行官埃隆·马斯克（Elon Musk）的邪教般的崇拜。在最近备受期待的“电池日”上，公司没有显示出投资者所希望的那样有希望的东西。上周四及五，TSLA仍被追随者买入，他们仍然没有放弃。我认为股票价格暴涨无视基本面及众多电动汽车竞争对手紧随其后，TSLA不能避免崩溃。今天，中国的华为表示，他们已经可以做特斯拉可以做的事情。此外，上周，一家鲜为人知的公司SPI 能源宣布已准备好进入电动汽车业务，该股在一天之内竟然飙升了3200％以上。 与能源相关的名称如SUNW在两天内就从0.77上升到8.50（+ 1004％）。这种情况就与网络，比特币和大麻泡沫期间的情况相同，当时与.com，比特币和大麻相关的公司的股票价位都在泡沫破裂之前激增。这是疯狂的东西。如果这不是EV泡沫的迹象，我不知道这是什么。当股价在一年多的时间内上涨超过1000％时，很可能会出现泡沫，价格持续保持时间不会太长。
可能的“居家股票泡沫”：
自从因冠状病毒大流行导致电话会议流行的以来，Zoom（ZM）就已成为家喻户晓的名字。自从ZM在2019年4月1日上市以来，到2020年9月的高点已经增长了1372％。无论未来的增长如何好，当一只股票在一年多的时间内上涨超过1000％时，价格都不会维持太久。ZM的前瞻市盈率为173，预期收益增长却仅为15％，价格严重脱离基本面。这也是一个泡沫，尤其是当冠状病毒大流行消退时。
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