Volatility Markets.

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Introduction When the stock market goes up one day, and then goes down for the next five, then up again, and then down again, that’s what you call market volatility. Historically, the volatility of the stock market is roughly 20% a year and 5.8% a month, but volatility keeps on changing, so we go through periods of high volatility and low volatility. Analysts and experts have different opinions about what you should do in volatile markets, and how to scope with stock market volatility or the tendency for share prices rising and falling. Analysts. Justin Stewart, co-founder of Seven Investment Management says: “ Crashes happen. If you are a longer-term investor, you should look straight through them and remember the power of compounding…show more content…
In 2010 gold breaks $1,400 per ounce and was for first time in three decades investor gold demand outstrips far eastern jewelry trade. In 2011 gold reached all-time high at $1,895 per ounce then retreats. All the analysts and experts agrees and predicting that gold would continue the bull market and reaches new highs. Doug Casey, the founder and chairman of Casey Research, a provider of financial analysis about specific market verticals, including precious metals, says, “Gold could hit $5,000 an ounce in the next couple of years, as paper currencies in the U.S, Europe, and Japan drop in value. Hal Lehr, the managing director of cross-commodity trading at Deutsche Bank, says “ Gold, which reached record on May2 2011, may surge a further 30 percent as investors seeks to protect themselves from economic uncertainty. John Paulson, the founder and president of Paulson Co., Inc. a New York- based hedge fund, predicted that gold would reach $4,000 an ounce over the next three to five years, as the U.S and U.K flood the money supply. Jim Sinclair, is a precious metals specialist and founder of JS Mindset, is predicting that gold is targeting $5,000 as a long-term objective. Conclusion Investors in volatility market should make no move waiting for the market to steady it self as volatility doesn’t change stocks valuations. Based on analyst’s opinion most of them recommend
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