The fashion's effects on the stock markets?

Résumé du document

In this final assignment of Technical Analysis and Market Psychology II, I would like to give another point of view on what determines the rise or the fall in stock markets. The basic view of stocks is that the stock markets will provide events that will make people happy or optimistic. In the first part I will present the Socionomic Sciences, developed by Robert Prechter. I will then illustrate the theory of Socionomics with the fashion and finally I will link the two subjects of fashion and stock markets to mythology. Socionomics is the study of the social mood, the self-regulating natural law of growth and expansion that guides human social progress. This study continually relates cultural phenomenon to the stock market because it is the one field of mass behavior where detailed and voluminous data exists. It was this data that first revealed the patterned form of social mood, which R.N. Elliott discovered and named the Wave Principle in the 1930s. In the 1980s and 1990s, Robert Prechter proposed a larger socionomic hypothesis, that the Wave Principle ultimately shapes the dynamics underlying the character of all human interaction. Prechter holds that the rise and fall of the social mood is the engine of history itself. When social mood becomes more negative, people sell stocks, behave less productively, vote for challengers, have fewer children, blow off more bombs, and act belligerently toward their neighbors.

Extraits

[...] This seems obvious that when the mood is bad, people do not have the envy to wear multicolour clothes. Bearish market also implies that the typical characteristic of the society are changing. In those period women model are more male and men lose their image of power and of protection. But in bullish market, the fashion for men is more flamboyant. When men are about to wear pink t-shirt, it is foreseen that the market will reach peaks very soon, because this reflect a deep change in the mood toward the happiness. [...]

[...] The fashion's effects on the stock markets? Introduction In this final assignment of Technical Analysis and Market Psychology II, I would like to give an other point of view on what determine the rise or the fall in stock markets. The basic view of stocks is basically that the stock markets will provide events what will make people happy or optimistic. I'll present in the first part the Socionomics Sciences, developed by Robert Prechter. Then I'll illustrate the theory of Socionomics with the fashion and finally I'll link the two subjects of fashion and stock markets to the mythology. [...]

[...] The Wall Street Journal in June published "In fashion for the coming fall, black is back". The social mood was again close to the negative side. Calvin Klein Fall 2005/2006 And stocks felt this transition, as well as the fashion. The French index, the CAC 40, was still rising but decreased in May by 200 points. The year 2005 was also not a good year for the Dow Jones Year 2006 In October 2006, the fall season's runways were a sea of monochromatic, often monastic grey and black dresses, tops and jackets. [...]

[...] The 1960s until the 1990s The end of the Second World War gave the same effects to the population as in the 1920s. Furthermore, the US Marshall Plan brought a lot of positive points to the European continent, which entered into reconstruction during "the Thirty Glorious Ones". The industrial sector was into a period of important growth, the standard of living was increasing and the rate of unemployment was very low: the general mood was seriously improving. As in the 1920s, the fashion felt this change into positive mood with the real apparition of the mini-skirts and also of the bikini: As we can see in the previous pictures, the typical colors for good social mood are bright colors like yellow, orange, red, The length of the skirt has so much reduced that Ernestine Carter (then fashion editor of the Sunday Times) declared that 1963 is the Year of the Leg. [...]

[...] The market are now rising and are definitely in a bullish trend, now we have to wait until the next fashion shows to see what designers are going to present it should be little, colourful and extravagant!!! Some Conclusions We have seen with several examples that show that most of the time when the hemlines of the dress rise, the markets are bullish,. This can be interpreted by the fact that when people are in a good general mood, there are an increase of friskiness and daring among the population. [...]