Of course. That always happens toward the end of bull markets, but particularly when they’re bubbles. Investors do it too.
They think, “Man, I made X last year in stocks. I’m being too conservative. Imagine if I’d used margin, I’d have been up twice that much”.
So, they get sucked into margin trading.
If one were ever going to apply margin (which I don’t suggest), it would be toward the beginning of a bull market (like the bottom of wave 3 or early on in wave 3). Instead, when do they do it the most? Wave 5 (end of the bull market) or wave B (the first bear market bounce in a bear market, which they believe to still be a bull market).
Yep, there will be a lot of people that blow up their accounts.
1 Timothy 6:10, the part of the verse that many don’t read (which I know you know)…
Some people, eager for money, have wandered from the faith and pierced themselves with many griefs.
Unfortunately for them, they’ll see this part of the scripture come true for them in their lives because of their greed.