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Dow Theory - Coggle Diagram

- - - - Public participation (or big move) phase: Retail and average investors begin to notice the upward trend and join in—generally, this is the longest phase.
      - Excess phase: The market reaches a point where experienced investors and traders begin exiting their positions while the larger average investing population continues to add to their positions.
      - Accumulation phase: Prices rise alongside an increase in volume.
    - - Public participation phase: Opposes that of a bull market participation phase—average and retail investors are selling stocks and exiting positions to reduce losses. Again, this is generally the longest phase.
      - Panic (or despair) phase: Investors have lost all hopes of a correction or full reversal and continue selling at scale.
      - Distribution phase, where news of a decline begins to be distributed throughout the investing community via various channels.