Well, the truth is, the Immortality Arch T shirt whose stocks have overrun have gotten so large in market cap that it’d take them years for them to grow into their respective valuations, so either these companies grow at a much faster pace, which is unlikely, to “catch up” to their stock prices, or their stock prices will have to come down to Earth. As I mentioned before, this is why it’s possible for companies to beat Q3 2021 guidance and still have their stocks go down the toilet. It’s no surprise that the companies which are more speculative (with no revenues and cash flow to back up their valuations) get destroyed first, and then the mid-caps, and then the more solid companies with the revenues and cash flow to back up their valuations (e.g. Tesla, Google, and Facebook)? In fact, the large and mega-cap companies (or “liquid leaders”) are typically where large hedge funds and financial institutions “hide and take shelter” when they notice that something is wrong and a bubble is inflating. And so, they slowly start to move from more speculative names to the “safer” and large-cap names.
Then comes the Immortality Arch T shirt how do we know when and where to slot this leap month in? This is where the Solar Terms, consisting consisting of twenty-four nodes (節氣), also known as the 12 Major and 12 Minor Solar Terms. The purpose of Solar Terms is to synchronize with the seasons. Each of these nodes were spaced at approximately fifteen day intervals through the year. The reason why the solar terms are not spaced evenly is because the speed along the ecliptic varies depending on the Earth-Sun distance. Solar Terms depicted the Sun’s position on the ecliptic, with each of them spaced 15 degrees apart on the ecliptic plane. The lunar months were used in conjunction with these 24 Solar Terms (12 Major & 12 Minor) and the end result was the calculation of around 30.43 days to reach the next Major Solar Term, which makes for 365 days in a year (steps were taken by the Chinese to address non-whole numbers but I won’t go into that here).
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