After the first big surge in the early 1980's, I remember seeing "Beware of height nervousness". Probably not an appropriate comparison but something to bear in mind.

After the first big surge in the early 1980's, I remember seeing "Beware of height nervousness". Probably not an appropriate comparison but something to bear in mind.

 

David Fuller's view

You remember your market history very clearly, so thanks for sharing this recollection.  I am assuming that you are referring to the very important low in August 1982, which finally launched Wall Street's huge secular bull market which lasted until the end of the century. There was an earlier low in April 1980, followed by a persistent move to new all-time highs in November of that year.  You can see this more clearly in the centre of this segment which I took from the monthly semi-log chart above. 

That short, sharp rally was almost entirely retraced in what I often referred to as a post-breakout consolidation, leading to the first step above the base. What you modestly point out may indeed prove to be a very appropriate comparison