Saturday, March 29, 2008

Recession in US till mid 2009 !

Last recession in the US was in 1980 and it lasted for 16 months.

History repeats itself and this recession ( Warren Buffet says we are already in Recession ) may last till mid 2009.

As per Bell's interconnectedness theorem, all parts are interconnected in Physics. Same Law when applied to markets, means that all markets are interconnected. More so in a globalising scenario.

Now the Impulse Phase appears to be Bearish and the Corrective Phase appears to be the pullback in the Bear Phase. People make money during the Impulse Phase and lose it during the Corrective Phase. ( Yesterday I met a man who made 300,000 rupees during Boom. He did not sell and held on and all his profit had been wiped out now ).

If Dow Jones Theory is true, then this Downtide can have serious repercussions. All markets will be affected.

Inflation in US and India is alarming.

Oil and Gold are up. Real Estate has been affected in US but is booming in India, at the moment.

So let us brace ourselves for Recession. A global recession. Let us hope that this will not be a global Depression !

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