The Bounce-back of the Capitalistic World

On September 11, 2001, the Dow was at 9605. On March 09, 2009, the Dow was at the 12-year low of 6440. And, yesterday – on September 11, 2009 – the Dow, once again, closed at 9605.

The inference is quite easily fathomable! Isn’t it? While, between 1997 and 2001, it took the Dow to reach 9605 in four years, this year, in 2009, the journey of those four years has been covered in just flat six months! Impressive! Indeed!

This has technically been so because of the high “base-effect,” and, in other words, what I satirically call, “the spring effect of a capitalistic world” – the harder it falls, the faster it bounces back.

So, what lies ahead, from here? Well, if you are a long-tern player, go long – your investments will be in the safe hands of the capitalistic markets. But, if you love to ride the tides of intra-day-and inter-day movements, keep watching for market indicators, right from the far East to the far West – you too will enjoy your journey on the “tides.”

So, what’s the moral of the story? Irrespective of who you are, you are almost “insured” to book profits, just keep buying on the dips! The "game" is just half-way through! You can catch up! Trust me. You can, provided you identify the dips. :-)