The four stages of the market - rebirth, excitement, ecstasy and collapse:

**Stage 1: Rebirth**, after the fatigue of the bear market, the market began to recover, but most people have not yet realized the change.

**Stage 2: Excitement**, the market gradually warmed up, and many people were still skeptical about the arrival of the bull market.

**Stage 3: Ecstasy**, prices continued to rise, emotions were high, but speculators had not yet poured in on a large scale.

**Stage 4: Collapse**, the market reached a frenzy, speculators and large companies swarmed in, and bubbles began to form.

These four stages can correspond to the following six investment emotions:

1. **Don't believe it will rise** (stage 1).

2. **Believe it will fall again** (stage 2).

3. **Rise to the point where people can't believe it** (stage 3).

4. **Rise to the point where people begin to believe it** (stage 4).

5. **Sideways make people doubt** (stage 5).

6. **Don't believe it will fall** (stage 6).

In a sentence: The market sprouted in despair, grew in doubt, continued to rise in hesitation, and reached the end in enthusiasm.

Look at your holdings and ask yourself what stage the market is currently in?