*Every market crash has made people say "this time is different."* *Yet every cycle follows the same pattern.* _*Here's how market cycles REALLY work - explained so a 12-year-old could understand it:*_ *1.THE SIMPLE TRUTH:* *Markets are like seasons:* *Spring (recovery)* *Summer (boom)* *Fall (decline)* *Winter (bust)* They ALWAYS cycle through these. No exceptions since the starting of stock market. *2.HOW IT STARTS:* *Economy is weak:* 1. Fed cuts rates 2. RBI cuts rates 3. Government spends money 4. Investors get hopeful 5. Assets look cheap 6. Smart money buys It's a bit like planting seeds in spring. *3.THE GROWTH PHASE:* Things improve: Companies make more money. People feel confident Banks lend more. Assets rise in value. Everyone gets optimistic. Summer is here. Growth blooms. *4.THE DANGER SIGNS:* That's when optimism becomes greed: Everyone's getting rich "This time is different" Easy money everywhere Crazy valuations FOMO kicks in Fall approaches. Leaves look pretty. *5.THE TOP:* Euphoria hits: Taxi drivers give stock tips People quit jobs to trade "New era" talk Get-rich-quick schemes Maximum optimism Winter is coming. Few notice. *6.THE TURN:* Reality returns: Smart money sells Bad news appears Prices start dropping People deny the change "Buy the dip" fails Temperature's dropping fast. *7.THE PANIC:* Fear takes over: Forced selling Media turns negative "Never buying again" Maximum pessimism Everything's "cheap" Winter is here. And it feels permanent. *8.THE BOTTOM:* Darkness peaks: Nobody wants assets "New normal" talk Cash is king Depression sets in Smart money buys again ->Spring's around the corner. *9.WHAT DRIVES IT:* Simple human nature. So: Greed & Fear Memory & Forgetting Hope & Despair Crowds & Contrarians We never learn. That's why it repeats. *10.HOW TO PLAY IT:* *Spring (Recovery):* Buy quality assets Use leverage carefully Think long term *Summer (Boom):* Ride the wave Take some profits Stay rational *Fall (Top):* Reduce risk Raise cash Prepare for winter *Winter (Bust):* Stay liquid Buy quality Be brave *11. THE GOLDEN RULES:* *All cycles end.* *It's the emotions that fool us.* *Patience wins* *Cash = options* *Quality survives* *And most importantly:* *Winter creates spring.*