But it does mean getting to the edge, and that often means reaching the point where you have more to gain by abandoning what you have left and risking something new, than by continuing to try and protect whatever possessions you have left. Where any further step forward leads to negative returns in your mind.
This equation is very affected by how much you value the possessions you still have. So while you may not be fully at zero, the precipice may absolutely appear like zero to you.
Like in stock trading, the capitulation point only comes when the stock has fallen to a level where you lose hope. And that level can be a long, long way down.
I don't think people do mean "rock bottom"
But it does mean getting to the edge, and that often means reaching the point where you have more to gain by abandoning what you have left and risking something new, than by continuing to try and protect whatever possessions you have left. Where any further step forward leads to negative returns in your mind.
This equation is very affected by how much you value the possessions you still have. So while you may not be fully at zero, the precipice may absolutely appear like zero to you.
Like in stock trading, the capitulation point only comes when the stock has fallen to a level where you lose hope. And that level can be a long, long way down.
Q posted this: https://youtu.be/M58EEaGWBBU?si=6qgaDahYr-L7d-LA