Tracking the paths created by financial markets is a different form of hunting. Most investors rely on economic data to determine whether it’s a good time to invest or not. They follow economic data as if data were Tea Leaves providing insight into the future. Human nature being what it is most investors project the recent trend into the future. The assumption is that the economy operates in a straight line all the time. They know that’s not true but the process they use relies on it. As such, most investors are driving their car...
