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Enjoy the rally while it lasts...

Discussion in 'Shares' started by Tropo, 11th May, 2009.

  1. Tropo

    Tropo Well-Known Member

    Joined:
    17th Aug, 2005
    Posts:
    3,394
    Location:
    NSW
    Enjoy the rally while it lasts - but expect to take a sucker punch

    Bear market rallies can be explosive.
    Japan had four violent spikes during its Lost Decade (33pc, 55pc, 44pc, and 79pc). Wall Street had seven during the Great Depression, lasting 40 days on average. The spring of 1931 was a corker.
    James Montier at Société Générale said that even hard-bitten bears are starting to throw in the towel, suspecting that we really are on the cusp of new boom. That is a tell-tale sign.
    more... <b>Enjoy the rally while it lasts - but expect to take a sucker punch</b> - Telegraph
     
  2. shasta

    shasta Member

    Joined:
    23rd Aug, 2007
    Posts:
    23
    Location:
    Melbourne, Vic
    Tropo - a juicy article. I must say i have made no purchases in any market (equities, com/resi property, debt etc) since my IP purchase last June. The missus and i have ofcused on debt reduction and are waiting for the right time to start investing again.

    I am currently a bear and believe that the all ords will return to 3000 and that a number of the issues raised in the article will eventuate - Euro problems etc. I am also impatient and want to put my equity to work somewhere now!

    I'm interested in other's thoughts on what they would invest in now if they, like me, didnt believe in equities or propoerty in th current environment.

    Do all roads lead to Gold? Or should we just short the all ords (or buy puts?)? What else?

    Shasta

    mike
     
  3. Tropo

    Tropo Well-Known Member

    Joined:
    17th Aug, 2005
    Posts:
    3,394
    Location:
    NSW
    Shasta,

    “It never was my thinking that made big money for me.
    It was always my sitting. Got that? .... My sitting tight!”
    Jesse Livermore