The Market Wrap 23-8-13

By Jason Fittler

A rally on Friday pulled the market out of what was a strong down week.

Investors need to respect the current market volatility.

With company results coming in there is plenty of opportunity out there.

Currently we are reviewing SMS Management on the back of a poor result.

Over the past quarter we have seen some big position being placed on the S&P 500 dropping. When reputable long time investors make these size investments you expect that we will see some sort of pull back.

Monetary policy still hangs over the head of the US markets.

Back home the election is still up in the air as investors sit on the sideline along with the major companies of Australia waiting to see who will get in. A change in government may bring a change in the markets, but I remain cautious and continue to look for a lead from the US.

It is hard finding good opportunities in this market so continue to hold cash if you have it. No one has a good idea every day as such we need to make sure that the price is right before buying.

Do not let money burn a hole in your pocket, the opportunities will come, you just need patience.