beware of the beast

Rio has had a great run and have made some encellent profit. Baltic dry index has slowed down. Commods starting to turn red. The chinese stock piles are getting full. May take a month for them to run down again. there is still a chance for it to reach 62. But it has not broken the 2500 mark in the uk. It needs to do this to reach 62/63. Resources will begin sliding down this week. Financials are the div cash cow so that will be the direction of equities. As you all know there is no div for rio. Why hold it. We are in for a correction with resources. This will in turn impact the markets for most of aug. The markets have risen to hard to fast. Its like sprinting for a while. You have to slow down to regain your energy. This is what the market will need to do. Don't get caught in the resource trap. It would be wise to respect the beast as it can bite you quickly with no remorse. Ask some of my friends that have been holding rio for 150 in 2007. There is no doubting that it is the king of the aussie shares. Love it but respect it.