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STI - Seeing 2000 soon
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novena_33
Veteran |
07-Oct-2008 05:48
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is going to be a tough day for the mkt ...... | ||||
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cyjjerry85
Elite |
07-Oct-2008 02:39
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the MOST difficult market to trade ever......how the intense fear it is currently in the market..where emotions just break those supports in the instant...heartaches
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bola_no1
Senior |
06-Oct-2008 21:26
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It is very difficult to trade now. Unless hold for 6 months and more. Everyday drops now. Where is the btm?
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hotstock
Veteran |
06-Oct-2008 18:21
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Provides some numbers of AIG latest bailout: "AIG, which by September 30 had drawn down $61 billion of the $85 billion credit facility provided by the U.S. Federal Reserve two weeks earlier, is seeking to strengthen itself by selling off some of its subsidiaries. The company intends to make itself look good enough to avoid a flight by corporate insurance buyers from its core U.S. property-casualty insurance businesses, which it plans to retain." Very desparate to stay afloat..... USD24 billion more to draw down......... What if it isnt enough? |
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hotstock
Veteran |
06-Oct-2008 17:27
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Hi All, The way the stock market turns out is unfortunate. 2000 points seem inevitable for the following reasons: 1. CDS positions shall be regulated and reported from 2009. CDS market is counted in trillions 2. Further credit rating downgrade would fuel more credit crunch and liquidity for banks with CDS as they would be obliged to top up their cash reserve and this leads to more bankrupty. 3. Longer recession and very slow recovery due to the poor financial system shape and regulation would slower the pace of lending. 4. Short term liquidity gets thinner and no body trust each other. 5. Short term rate are volatile and this causes lending and borrowing very difficult. 6. The bailout is just not enough. Strategy: very short term trading or no trading. Trade those counters that you are very familiar with the intra day activity. Else dont bother. Your comment please. |
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