Despite this, as I write, the markets are starting to move back up with some solid gains in the last 2 days.
Some analysts are forecasting the All Ordinaries to hit 5,600 points (currently at around 4,673 - 3rd Feb 2010), over 300 points below its recent high of 4,984.
If we hit these analysts' forecasts we can enjoy a gain of more than 20% on where our Ausralian share component of our super and non super investments sit at the moment, which would be great news for most investors who have stayed predominantly in the market during these volatile times.

Another school of thought I have come across is a potential 1,000 point fall in the U.S. share market in the next few weeks followed by a rebound of at least 750 points once the next correction is over done. Perhaps the recent 600 point fall in the Dow Jones Industrial Average (a measurement of the U.S. share market) was what these pundit were speaking about and we could be on the way to a strong rebound in the coming weeks.
However, one thing can be certain we will experience a great deal of volatility over the coming months.

The best thing to do in a volatile environment is not to panic during these volatile swings in markets as what goes down will more than likely come back up and what goes up is likely to come back down somewhat depending on investor sentiment.

Good Luck with your investments in 2010 and if you are nervous and have been exposed to the share market for some time, perhaps you should consider getting some advice about how to actively manage your investments during these volatile times.

I hope my next musings will relate to the All Ordinaries Index breaking through 5,000 points (a nice 9% to 10% gain from here).