What Now? After The Crash of 2011

Don Vialoux gives his views on the market for this week:

Technical, fundamental and seasonal influences point to another volatile week in equity markets around the world, but with less intensity than recorded last week. Markets have started to recover from a deeply oversold level. Most likely scenario is for equity markets and most sectors to move higher during the next 2-3 weeks followed by a test of lows as part of a base building period during seasonally weak September followed by resumption of an intermediate uptrend by the end of October. Preferred strategy is to hold/add to sectors that benefit from favourable seasonal influences at this time of year (e.g. gold equities, agriculture, “gassy” equities) and to watch for entry points on weakness in other economically sensitive sectors in October.

Read his full report here: http://www.timingthemarket.ca/techtalk/2011/08/15/tech-talk-for-monday-august-15th-2011/