Maili Valu wrote:Hi guys,
I have read, re-read, taken notes, studied, and repeated the process all over again on this particular thread.
my conclusion is, no one really knows when the bottom is coming.
Going by mwananchi,hisa, aguytrying, provedd, stocksmaster and mukiha, i have settled my mind to simply "follow the cash"
the big cash. institutional investors. and right now those ones are in TBILLs.
As hisa points out, for the next 12 months or so, as long as inflation gets higher, and MPC keeps rising base rate, not discounting cash already being dished out by politicians as elections nigh, the bottom remains a mirage.
i think.
I still don't get what the problem is. Knowing the bottom of a stock market is as simple as knowing when to plant your farm. You can read the signs of a gathering rain season.
Same case applies in the stock market, when interest on bonds keeps going up, you know the bear run is on high street. When interest on bonds start leveling, the stock market has hit rock bottom. When the interest rates on bonds start coming down, you better already be in stocks. Its like a level where one side is Bonds and the other Side is Stocks. Both sides cannot be high at the same time or low at the same time. But they can be level at the same time but with either of them heading in the oppossit direction.
Wisdom to detect when share prices hit rock bottom.
When interest on bonds keep going up, you know the bear run is on high street. When interest on bonds start leveling, the bear has met the bull and they have hit rock bottom. When the interest rates on bonds start coming down, the bull has overpowered the bear and you better be riding the bull.