Some say the world is going into a Recession.
Some say the market always recover. Historically, the longest was the Great Depression beginning in I think 1929 and lasted for some (40 months?).
Some say the best time to go in and buy blue chips should be about 3 months before the beginning of a recovery and the time may be in the not too distant future, possibly in the next couple of months even. Quite a few recessions lasted only a few months. Note that it is virtually impossible to predict when the market will bottom out.
Others say that since every bank account that we have is guaranteed only RM60,000.00, we should take our money out and buy gold.
What do I know!
I can only understand simple stuff like this story I received from Ken. (again).
Once upon a time, a man appeared in a village and announced to the villagers that he would buy monkeys for $10 each. The villagers, seeing that there were many monkeys around, went out to the forest and started catching them. The man bought thousands at $10 a piece and, as soon as the supply started to diminish, the villagers stopped their effort.
He then announced that he would buy them for $20 each.This renewed the villager's efforts and they started catching monkeys again. Soon the supply diminished again even further and people started going back to their farms. The offer was increased to $25 each, and the supply of monkeys became so small that it was a great effort to find even one monkey, let alone catch it!
The man then announced that he would buy the monkeys for $50! However, since he had to go to the city on some business trip, his assistant would now buy them on his behalf.
While the business man was away, the assistant told the villagers. 'Look at all these monkeys in the big cage that the man has collected.'I will sell them to you at $35, and when the man returns from the city, you can sell them to him for $50 each.'
The villagers rounded up all their savings and bought all the monkeys.
They never saw the man nor his assistant again, only monkeys, everywhere!
Now you have a better understanding of how the stock market works
Some say the market always recover. Historically, the longest was the Great Depression beginning in I think 1929 and lasted for some (40 months?).
Some say the best time to go in and buy blue chips should be about 3 months before the beginning of a recovery and the time may be in the not too distant future, possibly in the next couple of months even. Quite a few recessions lasted only a few months. Note that it is virtually impossible to predict when the market will bottom out.
Others say that since every bank account that we have is guaranteed only RM60,000.00, we should take our money out and buy gold.
What do I know!
I can only understand simple stuff like this story I received from Ken. (again).
Once upon a time, a man appeared in a village and announced to the villagers that he would buy monkeys for $10 each. The villagers, seeing that there were many monkeys around, went out to the forest and started catching them. The man bought thousands at $10 a piece and, as soon as the supply started to diminish, the villagers stopped their effort.
He then announced that he would buy them for $20 each.This renewed the villager's efforts and they started catching monkeys again. Soon the supply diminished again even further and people started going back to their farms. The offer was increased to $25 each, and the supply of monkeys became so small that it was a great effort to find even one monkey, let alone catch it!
The man then announced that he would buy the monkeys for $50! However, since he had to go to the city on some business trip, his assistant would now buy them on his behalf.
While the business man was away, the assistant told the villagers. 'Look at all these monkeys in the big cage that the man has collected.'I will sell them to you at $35, and when the man returns from the city, you can sell them to him for $50 each.'
The villagers rounded up all their savings and bought all the monkeys.
They never saw the man nor his assistant again, only monkeys, everywhere!
Now you have a better understanding of how the stock market works
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