I think the market is definitely slowing, although dealers might be reluctant to reduce their prices. A lot of 'buy now' watches seem to be rotating on ebay. Over-priced luxury watches will be one of the first victims of a recssion, especially as people need to turn them into cash.
The margin is defintely reducing, with new and nearly new example changin hands around the low £5k's in private deals. Dealers will talk up the demand because it suits them, but as mentioned above, luxury items get hit hard in times like these.
I've actually had one of those on my wrist. It is without doubt the most vile creation watch wise, i've ever seen. The all diamond, ruby, emerald, models are by comparison, quite nice
