Some time needed…

The markets taken the timely u-turn to see new highs in future but it will take some time to do so.
As suggested in the previous posting the Nifty took a deep low at around 4800 and trapped the ardent bears to see further low. The earlier suggested level for the Nifty is at 5085 but to trap the bears it took a deep low at 4803 but took bottom support at that level for 3-trading sessions and the journey took the index to reach 5300 levels. This classic example can be correlated with the BHEL support at 2047 and then a trap to bring at 1850 levels to see the bears live in joy for a day or two. Try to understand the game plan behind the moves to understand the stock market operation.

The length of fall is so deep that it could take more time to bring the retail investors to market. The financially damaged retail investors tasted bitter experience with R-Power, are experiencing a series of failures at their investment decisions. They are now nostalgic to the heart pains/caused wounds. They need more time to forget the bad feelings of buying stocks and will become scapegoats again at the top.

So always “Buy Low and Sell High”- this could be a valid proposition only when one understands the market movements. The other way of investment in stocks is “Buy when the trader’s margin selling happens and Sell when the trader is confident to take delivery with margin”.