Well, the decline has continued and I have changed my mind again – I think the dip will get down to 6,000 (or, possibly, a bit lower). I should have had more faith in the peak signal I spotted in May – it has been very reliable so far, but I was listening to the conspirators again and that always costs me money! The stop on my bet was hit so I closed out at a 100% loss. The conspirators’ predictions do often come true eventually though, but usually only after the FTSE has done the opposite of what they say first. This dip is probably just going to be a normal, medium-size correction from which we should recover quite quickly and I still wouldn’t be surprised to see 10,000 reached in the medium term before the Western world’s sovereign debt crisis finally erupts.
The decline so far has been very gradual and that suggests a build-up to sharp drop. Consequently, I am expecting a further sharp decline of a few hundred points before the index flattens out a bit, though it could go straight down to 6,000 and, if it does, I would anticipate a significant bounce at that point.
