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Will The Ftse Hit 6000 By The End Of Sept?

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Will the FTSE hit 5000 by end of Aug?

Following on from my 5000 thread, the logical question now given that the FTSE has gained 1000 points in one month, which if my %'s are correct is a 25% gain in one month will we see another 1000 point gain in Sept?

The momentum appears to be there, clearly the market loves the short termist policies and appear unwilling to factor in anything negative possible looming.

So will we now see the FTSE gain another 20% of it's value if we do hit 5000 by the end of Aug?

Is this bull train currently unstoppable. If I could afford to gamble the money I could have made 25% on my money. I mean you can't possible lose can you.

For those who have historical data on the FTSE how many times in it's history has it recorded a 25% increase in one month?

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Don't be silly.

Why didn't you instead ask will it increase another 7% in the next 4 months (it's risen 7% since April) or 7% by December? (It is up 7% year-to-date), or will it fall 15% over the next 12 months (as it has in the last 12).

Extrapolating from a swing low to a swing high is a pretty pointless and misleading exercise I'm afraid.

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This all seems like ******** to me, bottom line is the next Government in power has to address the mamouth debt - this mini rally will carry on until the next Government enters (or remains - god forbid) in Downing street.

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Don't be silly.

Why didn't you instead ask will it increase another 7% in the next 4 months (it's risen 7% since April) or 7% by December? (It is up 7% year-to-date), or will it fall 15% over the next 12 months (as it has in the last 12).

Extrapolating from a swing low to a swing high is a pretty pointless and misleading exercise I'm afraid.

Because are we in a bull run or a bull trap?

A 25% increase in one money seems pretty huge, especially when you consider how bad the economy is and the fact it's all being sustained by huge govt borrowing.

http://business.timesonline.co.uk/tol/busi...icle6736387.ece

August 2, 2009

The FTSE 100 index of Britain’s biggest companies had its best monthly performance for six years, finishing 8.5% up in July.

So last month was it's best performance in 6 years, finishing 8.5% higher and this month it seems on course to finish at least 25% up.

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Sorry should have added the FTSE closed at 4,850.89 on Friday 21st.

The other possibility is that the FTSE may hit 6500 by the end of Sept!

We are in very similar territory that we were in for 2007 where they pumped the market (DOW) up 2000 points on M&A hype that never happened. The credit crisis started in March 07 when the Bear Stearns property hedge funds went bust and they pumped it from this point to record highs to buy ground that they could then afford to loose. They are doing the same again but in the same way as in 07 they can only take it so far.

As we have seen the stock markets is a key sentiment index that people use for for confidence so it is hardly surprising they are focusing a lot of effort in managing the markets, every 500 points higher on the DOW the optimism picks up a notch. If you read the raw economic data coming out everything suggests things are still deteriorating and at an alarming rate. If there was not the confusing signals of manipulated GDP figures and stock markets we would be were many of the tin foil hatters predicted last year.

Is it sustainable, not a chance but it has bought us 6 months of calm to allow some of the stresses in the system to work out. There is more deleveraging to be done but don't get stressed by the current market action, it can not go on for ever and the market has to do it's work eventually. When the french rouge trader got caught out and they had to sell $60 billion dollars into the market it wiped $2 trillion of the world markets, small amounts of money on a relative scale in this crisis is required to move the markets and this is what you are seeing now.

Edited by Confounded

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We are in very similar territory that we were in for 2007

I agree - the original 2007 crash saw the FTSE drop from a high of around 6,700, but by late 2007 it was back at 6,700 again! Utter madness, as the "credit crunch" was far from over. Within a year, it was below 4,000.

The US and UK economies are being kept alive only by unsustainable government borrowing and printing. Looks like a bull trap IMHO. Back at 4,100 by Christmas.

Edited by scottbeard

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The value of the pound has slid on the foreign exchanges by at least 20% so it may have gone up in numbers but in reality its at least static or going down IMO!

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I've been buying (in my own small way) for about seven months now .... a little each month.... I will continue, although I think this kind of pace cannot continue... we'll see a correction for sure but it'll be a bull market correction, we won't see the return of the bear market to stocks..... we may dribble along for a while after this huge gain but no way will the previous lows get tested again in this cycle.... so i'll keep buying .... In my own home spun view though anything much over where we are now is probably unsustainable bearing in mind the current economic outlook.

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Will the FTSE hit 5000 by end of Aug?

Following on from my 5000 thread, the logical question now given that the FTSE has gained 1000 points in one month, which if my %'s are correct is a 25% gain in one month will we see another 1000 point gain in Sept?

The momentum appears to be there, clearly the market loves the short termist policies and appear unwilling to factor in anything negative possible looming.

So will we now see the FTSE gain another 20% of it's value if we do hit 5000 by the end of Aug?

Is this bull train currently unstoppable. If I could afford to gamble the money I could have made 25% on my money. I mean you can't possible lose can you.

For those who have historical data on the FTSE how many times in it's history has it recorded a 25% increase in one month?

I doubt it, on previous threads regarding the FTSE i was always bullish but even i'm surprised by the current levels.

<edit> of course i've no way of knowing the future direction so like ABHarrison i'll be continuing to drip feed my money into shares.

Edited by slurms mackenzie

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