There is a sentence which, at the moment, both amuses and worries experienced traders: “In any case it cannot go any lower”. This statement is brandished like a standard by a crowd of newcomers to the financial markets. The confinement period does lend itself to this. “In the few cool things to do with a screen when you are bored, there is the Stock Exchange,” says a spur of Euronext who noted this wave of arrivals.
These aspiring traders are attracted to the idea that after such a fall in the markets, there is bound to be good business somewhere. “There is a euphoria at the moment, with solid companies like Total losing up to 50%,” confirms Nicolas Chéron, head of market research for Binck. But beware of unpleasant surprises. I saw people completely confused after buying Natixis at 3 euros, just before it fell to 1.50… ”
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