Hey folk
The market is swinging very wildly today in the US indices futures.
Please trade with cautious.
The good thing about now than what happen in 2008 is that: Gold price is still moving up. That means to say, investor are finding a safe haven to place their money. Unlike in 2008, when the equity market sell down, Gold sell down too. In fact everything sell down.
Having said that, one of these days, I think is soon, gold will be so overvalue compare to equity market. Investor would channel their cash to equity market and sell gold.
Now we are facing a confidence problem unlike back then which is liquid issue. Unless there are further deteriorating of fundamental situation, we will see bottom around in Sep.
If you are holding stocks at high price, i am a person that never advise on average down or hold till end of the year. Cut lost!!!
Equity Index and mutual funds can recover if the rally comes in, but for individual stocks it would be more tricky.
The projection that i see now is that the equity market will generally head south thru 2012 into 2014 and then a massive rally again. That massive rally will sure bring all stocks up. If you wish to hold until that date, then hold on.
