By now, most people have probably heard of this crazy-ass horror movie, Paranormal Activity. It was shot with a total of $11,000, and is taking the box office by storm. I wouldn't go in with very high expectations, if you want to be pleasantly surprised. I found it to be very scary. This is a movie that you should see in a theater, but not for the usual obvious reasons, like large speakers and a large screen. Find the perfect showing when you'll have lots of people in the theater, people who are usually rambunctious. I saw this last night near midnight, and there were plenty of frat boys poking fun at the trailers before the movie. During the movie, they were freaking out just as much as everyone around them were. I held my ground until the very end, when two things happened that made me shout, which I have never done during a movie before.
I'd say watch it. Even though you may have to do it alone, it's still worth seeing, especially since all of the effects are convincingly done, with no this-is-cgi sort of moment (okay, there is one, but overall that doesn't soil the movie). It won't cause nightmares (at least for me), but it will shake you up just a bit.

Sunds interesting, gotta check it if it hits cinemas in Poland.

I want to see Paranormal Activity - unfortunately, it doesn't seem like it's in any theaters near me.
Another good low budget film (shot with a total of $7000) is Primer. It's a very interesting sci-fi movie.

Ah, Primer. I make it a habit to watch it each year to see if I can make sense of the story and the principles of time travel, but I still don't get it. If anyone claims to get the story, they are either liars or they produced the film.

I saw it tonight . I was disappointed in it honestly, with a few exceptions I didn't find anything very creepy about it. It's not a bad movie, just very overhyped now.

Agreed. It was fun, just not as scary as I expected it to be (I expected to be shitting my pants the whole time).

I dunno. I don't find anything in horror movies which requires the suspension of disbelief scary. Since there are so such things as ghosts, I would find it hard to be scared by a ghost movie unless it relied on cheap "popup scares".
The scariest movies I have ever seen are those that scare you be making you THINK such as Hostel, (rec), and to a lesser extent, Martyrs.

How is Hostel or [REC]!! more believable than ghost stories? [REC]!!???

The story is actually quite easy to comprehend. There are some basic rules to remember as a primer to watching Primer: (Some spoilers below)
1) You can only travel back to the time the first box was turned on. The bit with the time travelling guy who dies, and the part where the guy takes the second box back INSIDE the first box with him are pretty much red herrings plot wise.
2) Aaron is one step ahead of Abe from just before he is "shown" time travel onward due to his going back in time and recording things, and using the failsafe secretly. Essentially, Aaron is one "iteration" later than Abe at all times.
3) Primer is NOT a well-made film. It's supposed to be a story about greed and fractured relationships, the time travel is a gimmick. Kindof like a magicians patter.
Time travel is a pointless subject for scifi or scientific resarch anyway, since it's not possible. You can worhsip at the altar of quantum physics (which will all likely be proven false post-Hedron anyway), but the FACT remains that time is a measurement of heat, not a place. The only reason time exists is because atomic material is affected by heat.
I will use a (SPOILER) example from Lost that completely destroys the concept of time travel:
I go back in time and end up being my aunt's best friend as a 29 year old man. According to the loonies, that's how it always happened. Ergo, my aunt should remember me from her youth when she sees me as a 29 year old man.
Time is a force, not a place. The flawed logical concept of travelling through time is likely due to the same error which causes a lot of people to believe in an "afterlife" or for atheists to debate about "what came BEFORE god". These are just side effects of self-awareness, and have been taken far too seriously by everyone.

Hostel doesn't really require much thinking, in my opinion. It's mostly just "OH GOD THIS CLUB IS TORTURING PEOPLE!" Also, REC. is a zombie movie.
As for Paranormal Activity, part of Christianity says there are demons and possessions, so that's a reason the movie scares the s**t out of me. It's fine if you don't believe in all that, and maybe that's why you aren't scared.

[REC] started out ok, but the last half of it ruined all the build up from the first half >_<.
I'll probably have to catch Paranormal Activity on DVD, assuming that is, that it ever makes it to Japan.

Time travel is possible. Moving backwards through time or stopping time completely is impossible.

It was somewhat scary in some bits, though not all. I didn't shit in my pants though.

My girlfriend dragged me to this horrendous film that is about as scary as waiting in line at the grocery store. Brutal film.