The Dow dropped late last night and so I expect the FTSE to do the same this morning. But looking at the charts, it looks like nobody is really sure. The charts are more or less level with small peaks and dips. The analysts are useless. Again all giving contradictory statements - some say the market will continue to fall, others say it will rise. Nobody knows anything. Many stocks have dropped significantly and so, if this is a temporary glitch, then there's money to be made on the rally. I can feel investors at their screens, just itching for sign of a break out. Last night - I don't know if I was taking advantage of an opportunity or simply being greedy - I set a lower price on my Limit Orders. If they kick in, I think I'll be getting a bargain. See, you can make money on a falling market without hedging or shorting. A lot of talk about inflation rising. I don't know about you, but I live in London and inflation has been a lot higher than the official figures. I think they must use bread and milk as the measure. But inflation is misleading: the real driving force is house price increases and people borrowing and spending based on their capital appreciation; Govs want to increase interest rates to control inflation, which will mean more incentive to save / mortages go up > consumers won't spend > demand will decrease. Personally, I think there will be a small rally until everyone gets spooked again by the Fed / interest rates next month. Click to read daily comments and keep updated: http://www.wanttosaysomething.com/ ********************************** You are free to reproduce this article as long as no changes are made, the author's name is retained and the link to our site URL remains active. |
