Sell, Sell, Sell

Not only I disagree with Warren Buffett's claim, "It's time to Buy now", but I also believe it is the time to SELL - Sell everytime when the share market rebounds.

Wall ST climbed 4.67% overnight.
So, we 're to see the Australian Market and the HK Market are to surge too later today.
And you should be Selling to cut loss.
Remember the Golden Two Rules of Warren Buffett? (Which I totally Agree)

Rule 1 : Keep your Capital.



Rule 2?





Remember Rule 1!

But, this does NOT change the fact that the Biggest CRASH is coming.

One trader has closely monitored the Wall ST, studying the Volatility Index (DJIA's movement over 1% a day) confirming the 13-Trading Day (i.e. between 1-17 Oct 2008) Period is the 2nd Most Violate Period on record.

And the MOST Volatile Period on record?




Yes, that happened during the 1929 Great Depression.

This trader stated that he has never seen anything like this in his Life before and probably will not see it again.

The Latest Noble Prize Winner in Economics stressing that,
"US is already in Serious Recession."
The Professor claims the Unemployment Rate will climb up to 7%, 8%.

In HK, the 62-year-old, Once The Market Leader, a Reputable Electrical Store collapsed a few days ago, leaving 260+ staff unemployed. In fact, the HK Chamber of Commerce recently claimed 25% of the Small & Medium Sized Firm will collapse.

In Australia, I saw a TV report on Sunday interviewing two economists. They predicted the Unemployment Rate in Australia is to rise to 5% or 6%, that is another 100,000 or 200,000 jobs gone, by the end of 2009.

One thing is sure though.

Three months ago, when the Petrol Price was at US$145 & the Mortgage Rate was at its Recent Highest, the Australians seemed to be copying better than now when the Petrol Price is about US$75 & the Mortgage Rate has been cut over 1% - why?

Because Australians now realise the chance of losing their jobs are very high - so they're spending in a much cautious way, cutting back on non-essential items.

Just wait until the US Job Market Data release - and see how the market responds.

Fate
Preparing Our Best for the Worst