Tuesday, January 27, 2009

Hope and bubbles

The markets have rallied in the past on a 4 letter word H-O-P-E

From Wikepedia:

"Hope
is a belief in a positive outcome related to events and circumstances in one's life. Hope is the feeling that what is wanted can be had or that events will turn out for the best. [1] To hope is to wish for something with the expectation of the wish being fulfilled."


All those with 401K that lost more than 50% of their money as they had it in stocks are hopeful that they will make it back. They want to believe in the Dream, the Bubble that the Fed can solve all their problems, not realizing that Bubble is already burst.

Generations later people will look back at this time and wonder why people were so crazy and stupid to buy stocks with their 401K's, etc. They will classify last year, 2008, as the year the big bubble burst, similar to the South Sea bubble 2 * 144 years ago (1720+288=2008).

When will it end? The south Sea Bubble finally crashed August 1720 (see chart below) + 288 Years = September 2008 and ended on 5/22/1722L = April 2010L.

I have a Major timing due 4/4/2010.

http://upload.wikimedia.org/wikipedia/en/thumb/7/7d/Ssbprice.jpg/650px-Ssbprice.jpg

File:Ssbprice.jpg

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