Sunday, December 14, 2014

The weak WEEK-ended...!!!!


As I have mentioned in my twitter postings,(@BNRSTOCKS), the Nifty could crawl from a low of 8198 on 31 October to a high of 8627 on 4th of December took nearly 23 trading days, whereas BEARs could pressurize the bulls to unwind their positions so fast that the low of 8216 came in just 6 trading days. The fall is definitely entice the fence siting investors to jump in to enter the equities and definitely a good opportunity, either. The run-up made so far will keep the Bulls to check whether they are in a rush to make a fresh “All-time HIGHs”.

As we see the trends, this fall is mainly due to the Cyclical & commodity stocks fall due to lack of consumer demand and low infrastructure progress. The stocks holding head above the troubled waters are motors and ancillary stocks. The good results of Pharma coupled with weak Rupee keeping them stay above their monthly gains. The Nifty may not cross 8450 level in a hurry but the broad range will be 7850-8500 in months to come, at least till Budget. The huge fall in Reliance, ONGC, GAIL, BPCL, NMDC,SSLT are good trading bets for HNIs for quick money.

The bank Nifty which is relatively very strong may see some unwinding in days to come as the credit off-take is contracting, will see 17300-17100 level, from where it will definitely cross the resistance at 18480-520 resistance to make new highs, as the RATE-CUT, now is immense pressure building on RBI.

The best stocks to hold like YES, ICICI, Canara Bank, Bank of India, SKS and Relcapital, in banking & Financials space. The steel segment will offer good returns in long-term as the promise is un-folding for huge infra-structure building and SMART CITIES.
Safe and secure Investments can be made with more confidence in counters like SCI, NALCO and India cements. Though the trouble are there to these counters but they are opportunities for long-term investors.
The Baltic freight index which moved from 720 level to 1450 from July to November, fell again to 850 levels during this week forced companies like Shipping Corporation shed 15% in value.


Though “No Proofs” Available-“The Fall of Crude Oil”- Very geopolitical issues, “under the carpet moves” made to cripple the Russia’s economy on all fronts, with a simple move a steep fall of Oil price & Russian Ruble fell against all currencies. The efforts to de-stabilize the sovereigns is a conglomerated action at very high level. Russia earlier banned the food products from EU, pushed to corner, now a simple retaliation. Rest everything is self-explanatory….

It is very difficult to understand and expect even local moves….like…

One day a news came that Govt of India is likely to ban the sale of LOOSE CIGARETTES, the result ---ITC fell more than 5%, from 376 to 348 level, on the very next day Govt. made a U-turn, changed the proposed decision, all those who made SHORTS got trapped, now ITC ruling at 395-400 range, a simple 15% rise. Now technically, even if ITC fell back to 300 doesn’t make much difference, the yearly HIGH-LOW, 400.3-310.35……who can explain why and who made these PROPOSED DECISIONS AND U-TURN ON THE NEXT DAY…ANY EXPLANATION FROM ANY-BODY…!!!!!!
....SOME CAN GIVE RATIONALE/EXPLANATIONS…BUT IT IS ALWAYS….RETAIL INVESTORS..LOSE THE MOST…..!!!!! NO EXPLANATION WHY..????


But again (Un-fortunately), we go by the technical charts and balance sheets to determine the price movements,….Rest everything is self-explanatory……………..

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