# Understanding Cycles

• Cycles are not just a series of events in progression: they are often a progression of causative events
• Cyclical events are influenced by both endogenous events(cyclical events that precede them) and exogenous developments (occurring in other areas).
• A cycle’s clout is heightened by the inability of investors to remember the past
• Cycles are viewed as less symmetrical than they are: the negatives are usually exaggerated