Enterprising Investor Forum

Midday Update Wednesday, January 23, 2008

Things are pretty crazy:

• Investors are DEMANDING for another 50 point cut – essentially already factored in
• Europe is refusing to cut and maintains that inflation is still the main concern
• European banks are getting ready for huge write-offs
• Financial and Retail sector Spiders/ETFs are spiking – basically, investors trying to catch the bottom
• Commodities are moving lower
• Large Hedge Funds are selling most of their positive positions…
• …

Unless you have a crystal ball, we would hold back an avoid any rushed decisions. If we break current resistance levels, things could get really bad…. and next week will be key when the Fed speaks up again!

Patience.