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Hey folks,

I've been a Fool for some time now (though I only signed up recently). I have read most of the articles and features about the importance of following the principles of a Fool (live it, learn it, breath it).

I've heard all the advice of a Fool: carefully choosing your companies, doing diligent research, buying the stock, and holding onto them through thick and thin, not worrying about the short-term declines because in the future, the good solid companies based upon hours of your research will still be solid companies and would be companies that will return significant earnings.

It sounded so positive and it got me so motivated to get my hands dirty and do some work. Now, likely because I seriously haven't been subjected to a bear market (a bear market where I actually had a stake in), my "faith" has never been tested.

Oh sure, the market may have gone down 100 points on a particular day a few months back, but it would always rebound and bounce right back up the next day by 150 points; hence, securing my belief in "don't worry about the short-term, because the long-term will reward you." With such consistent next-day rebounds like the above example, I became more and more confident in the teachings of the Fool.

Then, something happened a couple weeks back. The market dropped (alot)... and it didn't rebound by an even higher increase. No, it didn't even rebound at all. The next day it dropped... and the next day, it dropped again. "What was going on," I wondered. "Could the bear have finally woken up from its slumber?"

I questioned it some more and I discovered what the cause of this decrease was -- it wasn't because of the interest rates hikes, it wasn't because of the bad earning reports, it wasn't because of the Microsoft case. You know what it was? The Wise.

Because they were Wise, they freaked out when they heard about the less than stellar earnings of the giants. They Wisely sold out their positions when they heard about the Microsoft ruling. On and on, they reacted to news, worrying about their short-term positions, and selling out.

Then, I came to a conclusion that, as Wise as they are, they are outnumbering us. And, because they do, they will, unfortunately, dictate how the market will go. If 85% of the market is Wise and we the 15% being Fools, the 85% will be always be the one with the louder voice heard... and the market will listen and follow their lead.

Now, I know everyone here at the Fool is trying to change all that. But, until that day comes, it will be the Wise who will lead the way -- if the Wise are happy and confident, the market will be strong; if the Wise are scared and running for cover, the market will mirror them.

I know the importance of being a Fool and the benefits in the long-term... it's just that it's tough to cope with periods like these when the Wise seem so damn right!

Dan
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