Quote of the decade
“Lehman Brothers is a great company today that can both look backwards with pride and look forwards with hope. And in wishing Lehman Brothers the success it deserves for its future, let me thank you for the privilege of being here and formally declare this new building open.”
- Gordon Brown, opening Lehman’s flashy new European HQ, Canary Wharf, 5 April 2004
Interesting thing about the collapse of Lehmans are the warning signs present in their stock charts. For those of you understand anything about Technical Analysis and share trading, which I do. Having once been a Day/Short Term trader living on a Level 2 Screen of information almost 24 hours a day until the stress almost killed me, I can say this.
Anyone holding stock should have been selling at around $50. After the drop to $35 and its recovery to $45 and then its plummet past $35 again it should have been enough to make any investor remember the golden rule "Run Profits. Cut Losses". Anyone still long at $20 deserved everything they got.
I still have my brass plaque on my desk after learning that rule the hard way. After that the bears have control and it is all over. Whilst people were losing their pensions, the short sellers were raking it in and laughing at the little people all the way home to their mansions. Short selling should be made illegal.
So should Gordon Brown, who you also remember was responsible for selling off Our Country's gold reserves for peanuts. Meanwhile the real moneywise people and other countries outside the EU were shoving it away ready for what is coming.
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