Phill I like you want the sp to head South in a big way but unfortunately many of the experts are saying the negative psychology caused by uncertainty in the world economy and weakness in outside markets have led to wild price swings in all of the markets. The prospect for that situation to change any time in the near future is poor at best.
The trouble is that genuine share buyers are very much in a minority, whether it be in the US, Europe or Australia. What we have is a gigantic casino-style trading operation. The traders act in herds to drive the market down by shorting, hoping to force out weak holders like those who have bought stocks on margin.
Then they go in the opposite direction and drive the market back up again, hoping to drag in investors or more margin speculators. When they have finished that process they go back to shorting it down.
This is an absolute nightmare for long-term investors because they are seeing huge fluctuations which can be very disturbing.
The majority of the worlds economies firstly has to stabilise and then begin to flourish again, only then will we see some lasting prosperity again. (Unfortunately easier said than done)
Cheers
CNX Price at posting:
9.2¢ Sentiment: LT Buy Disclosure: Held
