Financial markets offer one of the highest adrenalin gratifying experience you can find on earth. The eternal Greed and Fear pair is the oldest couple on earth. This inseparable couple is not working against each other but they work so beautifully in one body and mind, to destroy people's wealth for most of the time. Greed will arm with so much convincing data tells you that nothing will go wrong, even though you are 30 yards from a cliff. Fear will blindfold you that you cannot see anything but troubles ahead, though you are just inch away from safe landing solid rocks. They keep playing with your emotions but like a person in love, you keep allowing them to stab you in your heart. You allow them to deceive you because you refuse to accept the reality. As a result, you always submit yourself to them as their slave.
When I look back into oil and copper price chart. Two things strike me, copper hitting all time high last year, it even surpassed the 2008 high though the fundamentals are significantly weaker than 2008.
The oil price is certainly looks like north bound but the fundamental of today is again considerably weaker.
Feb. 10 (Bloomberg) -- The International Energy Agency cut its 2012 global oil demand forecast for a sixth month as a “darkening” economic outlook reduced prospects for growth amid supply concern following sanctions on Iranian crude.
Worldwide crude consumption will increase by 800,000 barrels a day to 89.9 million barrels, from 89.1 million last year, the IEA predicted in its monthly oil market report today. That’s 300,000 less than its previous estimate. The agency cut its forecast after a “sharp deterioration” of economic growth projections by the International Monetary Fund last month to 3.3 percent from a September forecast of 4 percent.
http://www.businessweek.com/news/2012-02-13/iea-cuts-2012-oil-demand-forecast-on-darkening-growth.html
It's all about guts and momentum now. It's all about swimming with the tides but beware if you do not wear any cover. A paparazzi has a camera waiting for you when the tides are out.
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