Any body who live with technicals can contribute this fall is steep and wild in violating the supports. Any way the fact is the bottom is lost. The hope totally depended on the reliance, ONGC and SBI. They are very strong even at this level of correction. The bulls have the last opportunity to believe the market is a Bull market until it stays above 5175-80 levels. The markets can fluctuate with a wide range of spread for a greater consolidation as the prices have reached relatively high level.
Then the hope lies a head so long the RIL stays above 2580 at immediate support level and can even touch 2440-50 level. The ONGC got the support at 1090 and even can touch 1010-20 level. The big banking leader can touch 2020-2030 and even touch 1910-1900. The high tech ICICI can touch 1020-1010 level. The violation of the above levels can cause deep cracks that can take months to repair the bull move to regain.
So wait and see what will happen at global level and at the local level. The ray of hope lies with the support from local institutions and the deep-pocketed HNIs who are waiting for long time when the FIIs are at buying spree after the rate cut at US.
Thursday, November 22, 2007
Wednesday, November 21, 2007
Distribute and eliminate…………..
Who will buy at higher levels?- is the question asked by many and the doubt can be answered only when some body experiences the taste of buying at the top and selling at the panic bottom and realising the situations that made/forced to do so.
“Don’t be CRAZY to chase…”, “be cautious…..,” the phrases often used but by shouting… "buy buy buying—happening every where……"..create a situation, confuse the minds of investors and make them to believe that every thing is rosy and beautiful. This is a classical effort to prepare the retail small investors to become scapegoats.
In my earlier write up cautioned the readers to think about the happenings at the bourses. The speeds at which things are happening are very new to Indian investors and are losing time, opportunity and money in the process. The game plans are designed in such a manner to eliminate the retail investor incase somebody holding good stocks at fair prices.
“The steep falls and steep rises give little time to think.”— “Stock Market” is a mind game and every step of investment shall go after through research, understanding the business and the timing of pricing the investment.
At the end of the day “Minting Money” in the “Stock Market” comes by “Buy Low- Sell High” but not by buying cheap………………
“Don’t be CRAZY to chase…”, “be cautious…..,” the phrases often used but by shouting… "buy buy buying—happening every where……"..create a situation, confuse the minds of investors and make them to believe that every thing is rosy and beautiful. This is a classical effort to prepare the retail small investors to become scapegoats.
In my earlier write up cautioned the readers to think about the happenings at the bourses. The speeds at which things are happening are very new to Indian investors and are losing time, opportunity and money in the process. The game plans are designed in such a manner to eliminate the retail investor incase somebody holding good stocks at fair prices.
“The steep falls and steep rises give little time to think.”— “Stock Market” is a mind game and every step of investment shall go after through research, understanding the business and the timing of pricing the investment.
At the end of the day “Minting Money” in the “Stock Market” comes by “Buy Low- Sell High” but not by buying cheap………………
Sunday, November 18, 2007
Y can’t it be…………….
The story is contrary to the current happenings at the bourses. The positive side shall go like this way….
In my earlier write up I clearly mentioned to hold positions in fertilizer stocks for decent gains that turned right. Now they doubled from the prices recommended to buy & hold. In the same manner I wrote about the investments of FIIs in our markets. They first invested huge amounts in the Reliance group. They are familiar with the Reliance group growth story than the Indian growth story. Now they are spreading their investments to other sectors with different groups.
The situationed at large caps are rather fully saturated at the price level and left with little scope for further appreciation. So the MFs, FIIs and the DIIs are left with no option but to explore new opportunities with emerging companies, though they are small to medium in size at this point in time. The flare up in prices is due to the mismatch in their size and the amount of liquid cash chasing the stock.
The negative side shall go this way….
The small caps and the medium cap stocks are now in their flare-up run at the bourses is visible but the investigative approach can show a dark side of manipulations in the game.
The story goes back to the 2005-2006, the FIIs, the MFs and the operators heavily invested in (the early bird catches the fish-but the frontliners bite the bullets in the war front) the Mid & small caps to capture the instant large gains which turned out a futile effort due to lack of liquidity due to the steep crash when the Sensex was at 12000-12500 range. The investments became dud for long two years with no moves. After a long frustration, now these people captured the up moves with vengeance.
I personally feel that the prices are sky rocketing with thin edge time to retail investors to participate in those sharp moves is a clear sign of distribution at higher levels.The retail investor will now about the rise in the scrip at the end of the day, after the next day only large participation comes above 20% rise. To conclude the view, these stocks likely to hit the lower circuits or steep fall occur after three to five trading sessions of Bull Run. So Be cautious…………………… buy but never chase.
In my earlier write up I clearly mentioned to hold positions in fertilizer stocks for decent gains that turned right. Now they doubled from the prices recommended to buy & hold. In the same manner I wrote about the investments of FIIs in our markets. They first invested huge amounts in the Reliance group. They are familiar with the Reliance group growth story than the Indian growth story. Now they are spreading their investments to other sectors with different groups.
The situationed at large caps are rather fully saturated at the price level and left with little scope for further appreciation. So the MFs, FIIs and the DIIs are left with no option but to explore new opportunities with emerging companies, though they are small to medium in size at this point in time. The flare up in prices is due to the mismatch in their size and the amount of liquid cash chasing the stock.
The negative side shall go this way….
The small caps and the medium cap stocks are now in their flare-up run at the bourses is visible but the investigative approach can show a dark side of manipulations in the game.
The story goes back to the 2005-2006, the FIIs, the MFs and the operators heavily invested in (the early bird catches the fish-but the frontliners bite the bullets in the war front) the Mid & small caps to capture the instant large gains which turned out a futile effort due to lack of liquidity due to the steep crash when the Sensex was at 12000-12500 range. The investments became dud for long two years with no moves. After a long frustration, now these people captured the up moves with vengeance.
I personally feel that the prices are sky rocketing with thin edge time to retail investors to participate in those sharp moves is a clear sign of distribution at higher levels.The retail investor will now about the rise in the scrip at the end of the day, after the next day only large participation comes above 20% rise. To conclude the view, these stocks likely to hit the lower circuits or steep fall occur after three to five trading sessions of Bull Run. So Be cautious…………………… buy but never chase.
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