Monday, June 30, 2008

Possible Double Bottom formations - 30.06.2008

Here are the major and the broad indices - Sofix & BG40.
The charts suggest possible Double bottom formations >>
thus I decided to hold my investments in the major companies.
The portfoilo consists of 9 positions with slight bias to the financial sector as I suspected a rebound there to be stronger than the market as a whole.
However I realise the stock market is actually dominated by the infractructure companies and financials seems to have lost their shine.
The plan is to liquidate the BSE stock holdings on the subsequent rallies as I expect the overall economic conditions to get better for the time being in the US and the Euro zone but the Autumn to bring some very bad consequences of the credit crisis expansion.

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