FTSE, the footsie (London) and C (Citigroup)

ftse dec 10 2012c dec 10 2012

On the left we have the , London for the past 5 years. On the right the same idea with Citi Group. Very roughly one can divide the time frame in both these charts in two segments. Granted that I have chosen rather arbitrary points, I still hope that the general idea will come across. The first segment is the rebound immediately after the steep drop preceding it. In both cases the lion’s share of the rebound is accomplished in a little over a year. Then there is the second segment during which the index/stock essentially do not move all that much. So far this segment has lasted just shy of 3 years. It can be very painful if you are expecting a move of some substance and it simple does not happen. Be patient, it will but only after you have almost given up.

We do not know what will happen to the FTSE, but we do know precisely what happened to Citi Group. Here they are again in a larger time-frame;

ftse dec 10 2012 bc dec 10 2012 b

Who knows if there is any predictive value in this analysis. Time will tell.