Yes we are down, no question, if you are a trader, you did well indeed. Congratulations.
If longer term horizon is the base, well then all I can say LU's fundamentals have not changed, the 14.5 % growth in an estimated 650 billion market seems to me that revenues and possible profits will grow accordingly, particularly when LU (and CSCO) seem to be the main players in the suppliers of equipment for the growth in this industry.
How high will it go, or how much lower will it go, I personally do not know, and I am not about to suggest any figures.
Current overall market conditions, domestic and international are turbulent, true, but I continue to hold that he US market in spite of all the debacles in foreign economies continues to be the best bet given the available risk reward scenarios.
As far as TA is concerned, it seems that 70 appears as a strong support area,and the MACD line seems close to be crossing over signaling a buy, (not there yet), however my view of TA is a combination of science, art and voodoo.
In addition, if in fact a big acquisition would be in the wings, well, that changes what the voodoo (T/A) would be signaling, or perhaps this is the prelude to such event.
Bottom line, if you are a trader, perhaps this is a buying time but keep an eye open, and with the finger on the sell button at all times.
If the base is long term, I would say this is time to buy, (when it is low), again given the prospects of growth for the industry, I would assume higher prices for LU are in the mid to long term future.
Look at the closing price of LU, that may be a hint of what is to come.
Also, look at the Latin American markets.... is that a signal that the L.A. will NOT be affected by the recent events in Russia, and in S.E. Asia ? or simply they are oversold ?
My vote is positive on LU and Financial assets overall, not clear sailing, it never is.... but again, look at the alternatives, and the current environment.
Commodities are low, and possibly going lower, interest rates (in the US), are low, will they go lower..... hmmm I do not know, possibly.
Anyway..... we shall see.
Disclosure: The above is only my opinion, and no advice is neither given nor intended do your own research and indeed make your own decisions.
p.s. if Clinton gets impeached, all bets are off.... I have always been convinced he would survive, lately I have not been so sure, but perhaps reason will prevail and he will be spared... I can not imagine that our dear politicians can be THAT stupid.... however... who really knows! |
