March 5, 2009
Euro in trouble
Story link: Euro in trouble
The stock markets and other financial markets such as currencies have taken a tumble over the last few weeks, with the likely hood of the Euro losing value compared with other currencies becoming ever more likely.
The credit crunch has already taken victim currencies such as the Sterling and is likely to take many more!
We saw a nice big rebound in the stock market yesterday. (As our own Dominic Frisby predicted here).
Doubtless, Gordon Brown would like to think his big speech in America was at the heart of this, but it was a fairly predictable ‘dead cat’ bounce after the recent plunges.
March 3, 2009
The stock struggle
Story link: The stock struggle
A lot of traders trade on the basis of what happened in a similar situation the day before, the week before, or even a decade before. They look for patterns in trading and some times trade based on history alone rather than using a mixture of technic
Investors don’t lack ways to measure the carnage on Wall Street. What they’re missing is a way to calculate when the losses will stop.
In falling markets, technical analysts look to stock market history for points where buyers might jump back into the game. These so-called support levels are places where, at least in theory, stock market momentum should slow or shift.
Oil prices won’t stay for long
Story link: Oil prices won’t stay for long
The economy is in a confused but dangerous position, so no individual is particularly in a position to be looking forward and accurately predicting where the markets will go.
One thing is for sure though, Oil prices will not stay stable for long, and once support/resistance breaks, there will be a major change in the markets.
Oil prices won’t stay for long
My question is why does it always have to get to that point?
Take the most recent run-up of oil prices, when crude hit $147 a barrel and gasoline was trading around $5.
FTSE at six year low
Story link: FTSE at six year low
If any financial market was likely to feel the strain more than the rest, it was going to be the FTSE 100.
The FTSE 100 has now posted its lowest low, in the last six years, which shows just how far, and bad, the current worldwide financial system has spirally out of control.
The FTSE 100 Index sank to a six-year low today after HSBC’s £12.5 billion fundraising plea dealt a fresh blow to the battered confidence of the banking sector.
With market heavyweight HSBC down 9% and Royal Bank of Scotland off 15%, London’s top flight index fell by more than 3% to stand below the 3700 mark for the first time since April 2003.
February 25, 2009
EU officials show concern to currency drop
Story link: EU officials show concern to currency drop
European Union officials are on their edge of their seats thanks to the slide in the UK currency, the Great British Pound!
The currency has seen its biggest fall and has hit a record low in comparison with the Euro, which could have a disastrous effect on the UK economy in the long term. European Union officials are looking at ways to stabilise the currency before the UK collapses!
EU officials show concern to currency drop
European Union officials are concerned that the pound’s slide to a record low against the euro could destabilize the British economy, according to a document prepared last month by European Commission and EU finance ministry officials.
The pound’s “very rapid” drop “raises questions about the financial stability of the British economy,” said the document, which was prepared ahead of the Feb. 14 Group of Seven meeting in Rome and obtained by Bloomberg News. The currency’s weakness “is a source of concern for the euro area.”
How low will they go!?
Story link: How low will they go!?
The stock market has almost become a suspicious place to be trading. The crash in 2008 basically replicated that of the 1929 crash and not just on an average basis. The crash in 2008 replicated the stock market crash with the same move happening day by day, which swayed quite a few players to predict the markets stabilisation, similar to that of 1929, which did not happen.
The stock market crash of 2008 played out like 1929 almost to the day. In fact the pattern was so uncannily close, that I became convinced the post-crash rebound would do the same and we would see a similar spring bounce.
That hasn’t happened. After a brief rally into 2009, the markets have ground lower. But now they are at key levels. A breakdown from here and things are going to get even nastier – if such a thing were possible…