#OilCrisis Near its End or Heading South to US$ 20/bbl? Your Guess!

Its time to restore our own confidence, as scores of investors sitting on the side line has now dive into the market.

Markets has recovered. Some major makers recovery since the 16th December 2014 dip as follows:-

1) HSI @ 2,267 gain +8.19%

2) KLSE @ 1,674 gain +8.2%

3) N225 @ 16,756 gain +5.33%

4) TWII @ 8,952 gain +4.95%

5) STIN @ 3,215 gain +6.82%

6) AXJO 5,152 gain +12.37%

While the world panic amid the oil and Russian crisis last year we have seen the pull back in "safer" asset class. However and never fall into the wrong side, while the rest of the world panic a group of investors has being buying stocks according to data. At discounts between 10% to 12%. Like wise for investments at that point in December 2014 that was the discount. However that window has began to shut down and the discounts are now between 4% to 5% as the market continue it uptrend. It's okay for one to wait till its recovered to its pre crisis days and then lock in and hope for that 10% to 12% new highs, while those whom has taken position in December would have gain their 10% to 12%.

There's always two groups.

One that's so fearful and driven by the 'herd mentality' - are having a sentiment that's so fearful thus selling on fear driven emotions was the order of the day. While the other group is nibbling and buying stocks thus the recovery in the markets shown above. There are also other markets that has since 16/12/2014 recovered and they will continue to buy when the others sells on fear rather than fundamentals.

Some key points in the coming days that will shape the market behaviour:

• Latest OPEC report saying there's a silver lining

• CITI bank claims that crude oil will dip to US$ 20.00/bbl 

• Oil price has begun to show some improvements and dips on the next few days

• Goldman forecasts Brent at $42, $43 and $70 a barrel, on the next 3 months, 6 months and 12 months

What ever happens the Great Depression in 1929 will not visit us again. If ever the next big dip would be one that will wipe out all debts the institutions and governments has created with their mortgages, bonds, fancy structured loans etc. If it ever materialise! 1929's were days of the great Keynesian theroy and today it's the QE theroy of the 'invincible arm of the economy'.

But nevertheless 2012 has past and gone. The Aztec calendar ends and the world was suppose to end!!! We are still around and we don't decide all this except God. So let's stop play God and do what's right to create wealth.

So people 2014 has gone by and now in less than 39 days 1st QRT of 2015 is over. My question is what have you done or will you still be sitting on the side-line watching the world go by!!!

Till then and make it count or else you will be counted soon! "No-Action" also forms a statistic whereby if you fail into that "No-Action" group and  you will be counted as one.

Cheerios.