The intelligent investor is a realist who sells to optimists and buys from pessimists.
The most important single factor in shaping security markets is public psychology.
What seems too high and risky to the majority generally goes higher and what seems low and cheap generally goes lower.
Benjamin Graham taught us that the market is not always right. What he did not say is that the market is always irrational. It is usually right. But when it is wrong, it is very wrong.
The market will give you your price eventually. The question is whether you can wait long enough without flinching.
The chart tells you what market participants collectively believe. You ignore that at your own risk.
The stock market is inherently misleading. Doing what everybody else is doing can often be wrong.