Last monday I bought AGL (along with SAB,BIL,SOL,CLS, ABL)for my long term portfolio and also on CFD's.Then I was accused of trying to catch a falling knife, and as I said then,and I repeat I don't say they are bargains, however at those prices I felt they offered value. AGL at the current price I believe still offers value and worth a punt,especially if you believe China and India is going to chug along, which I do.
well, there were 3867 deals today. That means 3867 people that share your view that AGL offers value. Because if nobody did, then nobody would buy, and we would not have 3867 deals - it is that simple.
The bulk of shares or futures bought and sold are by traders with geared instruments, this is the main reason we have such volatility and market over reaction both to the up and downside. If one invests for the medium to long term (3 to 10 years), his purchases will not be geared and the daily or monthly fluctuations will be of little concern to him.I look at my situation and I certainly don't class myself a trader, the value of shares I've traded on CFD's and SSF's in the last 4 years is far more than the long term shares I have been accumulating the last 27 years.
Prancing horse.. I totally agree. in the old days, information was unavailable and skewed values... these days every man and his dog has information and therefore values are scewed by the high levels of gearing. the true value investor in todays day and age must surly be the guy who sits in cash waiting for markets to miss price... because of geared panic anglo is paticularly vunerable because of its links with the alsi