5000 here we come!
September was a good month with our market putting on 4%. This puts us back above the 4500 mark which should provide the support for the market to start moving back to fair value of 5000.
As you can see from the below chart the market hit 5000 points back in April this year but was unable to sustain the level.
Time has changed since then with the US now looking much stronger and the UK debt issues now under control.
We expect to see the market climb to 5000 before December this year. We also expect to see the market stay around this level.
As far as sectors go we have seen the gold sector run hard and expect that the energy sector will be next.
For you traders I recommend you get a copy of The Sextant Report from our web site to see which stock to trade.
For the long term investor we will continue to pick up quality high yielding stocks with strong cash flows and take a longer 3-5 year view on the market.