Stock Market Crashes »

Posted on 8 Apr 2011 | 7,530 views
Dollars Purchasing Power After the 1929 Crash

The purchasing power of the US Dollar after the Great Depression, forwarded most notably by economists Milton Friedman and Anna Schwartz, involves the quantity theory of money. According to this theory, most of the depression’s severity was caused by poor decision-making at the Federal Reserve.

Predicting Crashes »

Posted on 8 Apr 2011 | 7,910 views
Hindenburg Omen Signal Predicts Market Crash

The Hindenburg Omen is a technical indicator named after the airship that crashed so spectacularly in 1937. According to some, the Hindenburg Omen is the technical pattern that is the most feared by bullish chartists — it’s a technical signal that often predicts an upcoming stock market crash. It is, however, not a guarantee of a crash.

Bear Markets »

Posted on 7 Apr 2011 | 9,252 views
Bear Markets Comparison Chart

A Bear Market is a prolonged period in which investment prices fall, accompanied by widespread pessimism. As investors anticipate losses in a bear market and selling continues, pessimism only grows. Bear Markets usually occur when the economy is in a recession and unemployment is high, or when inflation is rising quickly.

Predicting Crashes »

Posted on 7 Apr 2011 | 5,554 views
The Black Monday Stock Market Crash Prediction

While working as a stock analyst at Shearson Lehman, Elaine Garzarelli became known for “predicting” Black Monday, the stock market crash of 1987. More accurately, her financial analysis indicated that the market was overvalued, leading her to sell about 50% of the stocks in her fund while making other hedges against a crash. Black Monday came about a week later which led to Elaine being dubbed as someone who had “predicted” the crash.

Crash of 1987 »

Posted on 6 Apr 2011 | 6,307 views
Government Bought Stocks After 1987 Crash on Greenspans Advice

Alan Greenspan assumed his most important public position on August 11, 1987, replacing Paul A. Volcker as chairman of the Board of Governors of the Federal Reserve System. Less than two months after assuming office, Greenspan was faced with such a financial market crisis — the 1987 Stock Market Crash.