13-06-2013, 09:33 PM
Stock market is a funny place... after peaking during the week ending 22 May 13, the mkt just went into a tail spin.
IMO, the fears of tapering and rising of interest rates in some parts of the world simply take the wind of the chasers.
From the low towards 2011, technically many markets have corrected between 1/3 to 1/2 of the gains chalked up during the period. From the chartist view point, the bull is certainly intact. However, if we look at the rate of reversal, it will send the chills down the spine of many investors.
I continued to maintain the 10 year cycle view - 3 sharp bears and 7 grinding bulls. As such based on historical trends - the penultimate bull will peak out in 2016/17 and this overdue mid term correction is certainly necessary to weed out weak momentum chasers and provide a much needed opportunities for those who have missed out to re-enter.
Of course I am green turning purple but it is good to remain optimistic as leaving $ in the bank around the world is certainly doomed for destruction as inflation will easily erode the value of $ by the day...
GPG
IMO, the fears of tapering and rising of interest rates in some parts of the world simply take the wind of the chasers.
From the low towards 2011, technically many markets have corrected between 1/3 to 1/2 of the gains chalked up during the period. From the chartist view point, the bull is certainly intact. However, if we look at the rate of reversal, it will send the chills down the spine of many investors.
I continued to maintain the 10 year cycle view - 3 sharp bears and 7 grinding bulls. As such based on historical trends - the penultimate bull will peak out in 2016/17 and this overdue mid term correction is certainly necessary to weed out weak momentum chasers and provide a much needed opportunities for those who have missed out to re-enter.
Of course I am green turning purple but it is good to remain optimistic as leaving $ in the bank around the world is certainly doomed for destruction as inflation will easily erode the value of $ by the day...
GPG