2007-11-13

Stock Market Fear And Volatility Factor(2)

Fear, this is a huge variable in the markets along with recent volatility levels.

Also a lack of knowledge in the financial sector is a great reason we have been experiencing big swings in the market.

Traders and investors are missing a piece of the puzzle that would show the current state of the markets.

With this situation we have a great amount of speculation, which is not a bad thing for some, but increases fear in some traders and investors.

In turn we believe there is a lot of cash sitting on the side line now and this can be a good thing for the future.

All of these variables cause these recent huge swings in the markets.

There was indication of this yesterday near the end of the trading session.

When the financials did a huge reversal, the markets intraday fear and speculation turned as well so this caused the market to turn in parallel with the financials.


By Justin Blasi

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