2008 look very uncertain and gloomy for investors. Global financial markets have plunged in January and the first week of February 2008. Analysts and experts continue to give divergent views on the stock markets and major economies of the world. It shows that confidence has been shattered. Most investors would agree that it is not a good start for the year. Does it mean that the bears have won? Yes and no.
The bears would have scored a resounding victory if they had shorted the stock markets at their record highs in October 2007 before the mountain started to implode in November. A short three months later they would have realized at the very least a 20% or more profits. But as I had hinted early, after markets had fallen enough, there will be rebounds. The only thing is the timing.
If my interpretation is correct, the Zhouyi says 2008 will be a good year for me. Better than 2007 and even that of 2006. How accurate my interpretation of the annual hexagram will turn out, by and large depends on the performance of the Kuala Lumpur Stock Exchange and the low liners. To know the final outcome, we would have to wait until the start of the next lunar calendar year.
I had sent in further troops to the designated ‘war zone’ just before the start of this Chinese New Year, with confidence that history will repeat itself. These ‘surge’ troops joined the battle in the KLSE early this week, before the global stock markets rebounded. Whether the bears and the stale bulls will beat a hasty retreat or not, remains to be seen. Just like what the young Fengshui master had indicated on February 9, by mid February, the KLSE and the low liners will begin to turn higher.
If foreign funds start to switch some of their investments out from Hong Kong and other Chinese markets to the KLSE, be prepared for a big Bull Run. That is what I meant by history repeating itself. (In 2006, my expectations were met when they switched their funds from Thailand to Malaysia.) Since I do not want to further opportunists who mimicked my indications written in the blog and elsewhere, I may reveal this history later.
Right or wrong, I always ‘put money where my mouth is’.
Good luck to all!