Sorry for not blogging. But this week had been a rough ride for me.
Holy fracking cow. The markets really taking a pounding today.
Its just a powerful downward trend. There's no telling when it will end. Maybe this is the bottom - but its hard to say at the moment.
The Index is practically down 5%. Thats about 15% from the high set about three weeks ago. August is going to be remembered as the Black Month.
I've include this chart of the Sti with the 3 moving averages. If the red line is below the other two lines in a straight vertical ascent - that's good. You can buy in because the market is positive.
The mirror opposite means differently - if the red line is above the two other lines - stay away.
The trend if your friend. Its extremely hard to time the market- maybe even foolish. So stay with the trend - keep your losses small - I think that's the best plan.
It reallys hard to say for certain whats going to happen next. The selling pressure is very strong. And panic has set in.