Good morning,

Why is it that whenever I take a day off from the markets something happens..last night the World got worried again.After ignoring the problems for months and hoping they will go away they came back with a vengence!The US Equity market got smashed 200 points and commodities were similarly hit.

The bulls have run away for the time being..there is always a hiatus after reporting season..everything is in the price so where is the impetus to get going again…if you look at all the broker research it says hold accumulate…whilst all the time they are saying the market is cheap and going to the moon..sorry but if everything is a hold ..who is going to buy it!?

I have been saying for some time that the markets appear to have run out of steam…13,000 always looked very toppy and 6000 on FTSE was scary…and so now we pull back.The RBA showed once again how out of touch they are with the East Coast reality and todays GDP numbers will prove it!The market will pull back unto the 4150 range whilst the Greek debt thing is finalised..then consolidate and start to move back up..thats the road map…this next few days is going to be the chance to get a few cheap stocks that you have been coveting for some time…SPI down 60 odd points and expect no one to be very brave in front of the March 8th Greek Deadline

Wait until we hit 4150 on the ASX and then start picking up your favourites!!May go a bit lower than that but the range is 4000-4300..has been for a long while and you just have to trade that range..simple..nothing to it!!

I have enclosed a chart of the bounces from the US market from their lows..some are now above their highs of 2007!Now I am sure the world is not a safer  or better place for your dollar in 2012 than it was then so the retracement is to be expected..

From the bard!

Caesar:
Who is it in the press that calls on me?
I hear a tongue shriller than all the music
Cry “Caesar!” Speak, Caesar is turn’d to hear.

Soothsayer:
Beware the ides of March.

Caesar:
What man is that?

Brutus:
A soothsayer bids you beware the ides of March.

I am working from home today as its my birthday…thanks Dow for that present!!
Happy hunting

Clarence

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