The stock indexes in the U.S. come lateralizando in the last 30 days. When the megasalvataje effect will dissipate without attacking the real causes that caused this crisis, the oasis on Wall Street will already disappear with decisive force. For fans of technical analysis, training is a Hombro-Cabeza – shoulder on the S & P500, the second shoulder in training, and about to touch the line neck area of 895-880 points, and if the figure is respected, the index should break the neck line, and go to touch the area of 800 points as target minimum (projection of the distance cabeza-linea of neck). The same figure is being repeated in the Dow Jones Industrials as the Nasdaq. I wondered a reporter for the daily financial strategy of Chile what actions I liked at this particular moment, and answered: the actions that I like are those that have a strong potential for growth thanks to new products in development, discoveries, or that they have taken advantage of this global crisis to rationalize costs and resources without losing productivity. And I have recommended some of those actions here.
Recessions, as opposed to economic expansions, are able to focus people and balance their customs and their culture away from excesses. The same applies to the companies that they persist over time. Recessions purify. Lessons are learned. The deleveraging must still begin since the causes that originated the real estate and financial debacle not been resolved, nor healthy thanks to increased activity or growth, but they have simply changed hands.
Effects at global level of this crisis have not deployed its full potential, there was a temporary positive reaction to Government stimulus plans, which when its effect was diluted, the world will remember or will accept that it was in crisis. Beware, this is not only an economic but also psychological effect. The real problem of the crisis are not attacked, tried to cure the symptoms. A few years ago, while I moved to a very old apartment without central heating, I bought an electric stove for those days of moving and cold. One day, the stove caught fire and I got to throw rug before the fire continue ruining floor. I managed the floor and of course pulled the stove to not repeat the small fire that had generated (and probably extend it). Speaking of floors, Wall Street does not play it until they do not begin to glimpse signs of a sanitation system. And for that you need something more than throw a blanket.