How to combat market 'froth'

One thing all great stock market bull runs have in common: they make people giddy. Yet investors must be able to spot when the market's a bit too 'frothy' - and get out.

There's one common denominator that shows up in most great stock market bull runs: They make everyone giddy.

When the market is roaring along - as it is now - the talking heads on television have an excited tone to their voice. Brokerage firms run more ads because people want to put more money into the market when assets are rising. And average investors finally stop procrastinating and pull the trigger so they don't miss out on 'the rest of the big move.'

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