Sharemarket rallies back up again

Dear Investors,

It has been one week ago when the sharemarket had crashed 11 percentage points. Quite a scary drop in a matter of a week. However, since then, the market has rallied back up to the 6200-level, just 200 points below which it has dropped from. It will just be a short matter of time, in my opinion, before we break that level again and reach new heights. We have just experienced what I would label as a correction. Corrections occur all the time especially in a bull market, just that the one we had experienced was a more severe one compared to the rests.

Why be scared of investing because of a fall? We should always remember that long-term the sharemarket will trend up. Ladies and gentlemen, it is not worth it to keep away from investing because of a single negative aspect of the market. Lets not focus on the one bad, but on the 99 good. We all can profit from the growing economy, so why not invest for your future? I am not saying that you will have to devote significant energies if you want to invest in the market, neither do you need a Commerce degree to invest. There are funds out there known as ETFs that acts like an index. The shares they own are similar to an index's shares. So basically, you can invest in the index. Remember that the long-term view is always upwards. So as long as you put in your money's worth and don't touch it for a long time, around 10 years, I am sure after that period has passed that you would not be disappointed with the growth and dividends you have received throughout that period.

About where we are right now, I believe we are still on our way up on a bull market which is caused by the commodities boom. I do not know when it will end, but it will certainly be a few years before it does. After that when demand for commodities finally lessens, I am sure that prices for commodities won't be that high anymore, and so will revenue for many mining companies. That would bring spending and income lower, hence a recession will follow. That is just the outlook maybe 3-7 years from now. Who knows when it will happen? What you can do now, though, is to not miss out in the profits to be made. It is an opportunity, not a threat. Have a think about it.