Rank: Chief Joined: 1/3/2007 Posts: 18,354 Location: Nairobi
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Aguytrying wrote:Spikes wrote:Aguytrying wrote:hisah wrote:@spikes, the market will rebound but as long as 4000 critical support has broken down that rebound will not be sustainable because the investor psychology has been shredded. This is what makes sellers stall the bulls as they pile up to cash out of losses as the rebound gives them lesser squeeze. Plenty of investors are trapped in bad positions and the rebound will likely tempted them to sell on the bounce.
We will get a proper bottom when it feels like it's bottomless. 2015 selloff didn't trigger that kind of sentiment. If you were in the market back in 2008 (GFC) and 2011 (KES crash/inflation spike) you'd understand that sinking feeling (capitulation). At that point a lot of guys give up on stocks (no sellers). That's when the major bottom kicks in. Yeah. The buyers paradise. We're not yet there, still some optimism in the market, we need that extinguished first the market will rebound but as long as 4000 critical support has broken down that rebound will not be sustainable because the investor psychology has been shredded. @hisah Your topical statement is very powerful and true I encourage every NSE participant to comprehend. The catch phrase above says it all what is unfolding at the bourse. @Spikes. I remember 2011 bear vividly. Trust me, even finding someone to talk stocks with here will be hard. Wazua will become a ghost town, the colour on the NSE will be red everyday for what will feel like forever. But thats when the value investors strike, when the tight, firmly held purses are loosened @AGuy - True Dat. I am only buying what I can hold onto even if the market was to shut down for 3 years. Management. Very important. Greedy when others are fearful. Very fearful when others are greedy - to paraphrase Warren Buffett
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