Where do we go from here?

Forummers who are worried if this is a start of a Bear market may take heart of this research report :
t.co/9Xhxzfz
Is low volume actually bullish?
 Commentary: Recent volume suggests decline is a mere correction
 

The VIX, the CBOE options implied volatility index, or the Fear index  is finally spiking up, now at 21.3. Fear is cripping into the market. Typically major bottoms are made when it hit >30.
 
 

The many articles I read seems to coincide with the views o forummers here, with both the bulls and the bears relating their theories and why they are right. Let me just add mine.. The latest debate is no longer about the debt crisis but whether us is going thro a soft patch or meltdown.. Article from economist suggest that it is the former, and meltdown will happen only when pig headed politicians allow US to default by not raising debt limit.. There are articles to suggest double debt recession too, and they mention euro crisis and US housing as the cause. Now, nobody expect US housing to come to life soon(although there is positive data recently), so that article is playing to the gallery. Euro crisis is more tricky with the rating agencies roaming like sharks. Yet, according to BT, what really matters is the banks and ECB. ECB is objecting to any sorts of defaults as they have Hugh exposures on greece, problems mainly with Germany. Row over the debts seems inevitable, and that might trigger some panic as the rating agencies will most prob treat that as an default. I view the US debt limit and the euro issue as issues that will be kick further down the road then radically addresseD. Both are matters of who will blink first, for the euro, the politicians might blink at the 23-24 June meeting. For the US, the administration will most likely blink first, before 2 august.Call me simplistic, I dun see how the democrats or republicans can win any votes by pushing the us economy to a free fall, and the euro have the funds for greece, they are bargaining hard. If Greece explodes, France, Britain and Germany with the most exposure to the piigs economy will not go unscathed too. So, I believe Germany will blink first. As for end of QE2, it might nit be that bad a thing after all.. From all that I read, to start with, there is doubt on the impact it made on US economy, except that it made the currency low and Ade the manufacturing more competitive, and it might relief some inflation pressures from emerging economies... So all in all, it's starting to feel more like 2010, where there is fear aplenty in June - July. With euro, us and the. Korean tensions as the fears triggers.... But the real implications will not be around, and things will be much clearer by July. And market is then in for a strong rebound! Of course if no one blinks... Then I sucks my own thumb and get ready for Lehman 2.0

Ask not who blink first.
 
Ask what protection you have plan for yourself when they come to pass.
 
Those who have protection in place for Gaoxian are all safe.,those who stay are all dead.
 
But i think this round only Greece, so they still can kick the can further down,but next year, will be the year of reckoning. All come together too big to save.
 
Buy on dip.

I met a wise man the other day. He said, the powers that be won't let Greece default -- they have learnt a lesson from Lehman Bros.

For now, the signs are turning positive, perhaps, with the Dow up last night.


New York — Signs that a solution to Greece's debt problems could be near helped the U.S. stock market eke out its first week of gains since April. Index   Last Change DJIA 12004.36 +42.84
+0.36% NASDAQ 2616.48 -7.22
-0.28% S&P 500 1271.5 +3.86
+0.30% Quotes delayed 15+ min.   Major Market Indices
Germany softened its conditions for giving Greece more loans on Friday, putting Greece closer to getting more financial support and avoiding a default. Global financial markets were rattled earlier this week when a default by Greece seemed imminent.

Traders worry that a default by Greece could trigger another financial crisis, weakening the euro and leading to widespread losses for banks and governments that hold Greek bonds. A default would also push up the value of lower-risk assets like the dollar and U.S. government bonds.
The Dow Jones industrial average closed up 42.84, or 0.4 percent, at 12,004.36. The Standard & Poor's 500 index rose 3.86, or 0.3 percent, to 1,271.50.

u no need a wise man to tell u this..
while we understand we can't afford another global recession, but it's also surprise the Euro members get in loggerhead at this kind of time..
 
and worst Greece seems doesn't learn his lesson..
 
 
 
[hr]
[abb 18-06-2011]:

I met a wise man the other day. He said, the powers that be won't let Greece default -- they have learnt a lesson from Lehman Bros.

For now, the signs are turning positive, perhaps, with the Dow up last night.


New York — Signs that a solution to Greece's debt problems could be near helped the U.S. stock market eke out its first week of gains since April. Index   Last Change DJIA 12004.36 +42.84
+0.36% NASDAQ 2616.48 -7.22
-0.28% S&P 500 1271.5 +3.86
+0.30% Quotes delayed 15+ min.   Major Market Indices
Germany softened its conditions for giving Greece more loans on Friday, putting Greece closer to getting more financial support and avoiding a default. Global financial markets were rattled earlier this week when a default by Greece seemed imminent.

Traders worry that a default by Greece could trigger another financial crisis, weakening the euro and leading to widespread losses for banks and governments that hold Greek bonds. A default would also push up the value of lower-risk assets like the dollar and U.S. government bonds.
The Dow Jones industrial average closed up 42.84, or 0.4 percent, at 12,004.36. The Standard & Poor's 500 index rose 3.86, or 0.3 percent, to 1,271.50.