Barry Ritholtz on Tops, Bottoms and Housing

Here it is a great 40 min broadcast, where Barry Ritholtz discusses investors’ psychology during tops and bottoms and the current state of the housing market.

During bear markets, prices drop lightning fast because bids disappear. When major buyers decide to show up, sellers become more cautious and start to withdraw. Bottom is formed.

On the top, there are no sellers and prices go crazy.