Upfront Investor 28-06-13 | Politics is a Dirty Game…

With all the shenanigans that have been going on in Australian politics over the past few years, one thing we have come to expect is for an Australian political leader to tell you what they won’t do and then do the opposite. As an experienced voter this is nothing new as I’m hard pressed to think of one of our past political leaders who hasn’t been caught out – the saying that ‘politics is a dirty game but someone’s got to do it’ is front of mind when we hear the way our political leaders carry on. But how does this look to our young Australians who might aspire to move into politics or are now of voting age?

The polls suggest that young people are not very positive about our political leaders and are not engaging in politics. The way politics has been portrayed in the media it appears less about facts and more about bickering and chest pounding, so it’s no wonder 18 to 25 year olds are generally disinterested. That said, if you ask young Australians what colour ties male politicians have been wearing they will probably be able to tell you the answer is blue. The sad fact is, if you ask them what bills have been passed through parliament over recent years most won’t know or they talk about the introduction of the carbon or mining taxes but don’t know the arguments for or against this legislation. Kevin Rudd as the new party elected Labour leader has a view on getting Australia’s young people engaged, let’s hope he can influence change.

So what do we expect in the market?

Earlier this week sellers resumed their dominance on our market with the All Ordinaries falling below the low of week ending 14 June. Fear feeds off fear and recent news of a slowdown to US economic life support as well as more reports of weakness in China was the big catalyst for this most recent move down. However, as I have often said, it is normally when market news appears at its worst that we tend to see buyers return and push the market higher. Mid-week, buyers did exactly that as the market bounced around the important 4600 point level.

The market is now trading close to 4800 points and with this week’s close high on the bar showing strength my expectation is that we are still likely to see a further rise to around 5000 points over the coming weeks, albeit at a slower pace than first expected. With recent weakness causing a number of high quality companies to pull back, there may be some great trading opportunities unfolding over the next few weeks.


To your profitable trading,

Dale Gillham
Chief Analyst
Wealth Within

Dale Gillham, ‘one of the country’s most respected analysts’ (Wealth Creator Magazine, Nov/Dec 2004), sought after key note speaker and author of the best selling book ‘How to Beat the Managed Funds by 20%’. Dale has assisted thousands of traders and investors to learn to trade shares and become confident and profitable in their direct share investments. Tired of an industry saturated by quick fix gimmicks and expensive short-courses, Dale co-founded Wealth Within to provide ‘ real education and ongoing personalised support’, as well as independent investment adviceto traders and investors who have become disillusioned by the market for one reason or another. As testament to this, Wealth Within launched Australia’s first and only nationally accredited Diploma and Advanced Diploma of Share Trading and Investment.