Sunday, June 8, 2008

Monday Mayhem in Offing............

Friends,
Get ready for a Monday Mayhem.
I am writing this post just to make you aware that there can be a down circuit today in market.
Sensex can go down by over 1k points. ( Updates: I am seeing Asian stock market are not in huge loss and hence we may recover loss ground in big way as I have suggested here.)
Our market has now gone totally in the hand of FIIs , which takes advice of our Bear operators.
Due to crude going up by $10 last Friday and hence Dow tanking by 400 points , I think there is no way our market can survive the bear onslaught.
I don’t think crude bullishness is due to demand supply gap.If it is so then it couldn’t be
this fast.In a matter of 4 months crude has gone from $100 to $140….that is a huge huge
gain.There are many others oil destination explored.Many alternative will be created but
crude market is not taking it.
Sooner or later FIIs has to take note of India and China as these are the only two countries which are growing at multiples times GDP then USA and Europian countries.
US is simply growing at just 1% .FIIs are taking out money to invest in Commodities
market like Russia(Oil) and Brazil.But they can’t go on investing there forever.
When rupee was appreciating I saw experts saying that it is bad for our export and now when rupee is depreciating they are there to critiszie as well.They says it is bringing the Oil bill high.
The point to ponder here is these economist are such.They speaks both ways.
No one is knowing nothing .
But I will only write here that there is always light at the end of a tunnel.Only after night comes day.Don’t sell in panic.Hold your stocks.As soon as the monsoon sets in the whole scenario will get changed.
The thing which should be noted is , one have to see whether the sensex goes up at the end of the day after making a low of the day.Means it should go up from the days low to close higher though in negative.....

Again I write to my readers please don't sell in panic.Market seems to me bottoming out.This month should be a turnaround month.Very very less chance for market to go below 14k.
Hold stocks for a year......Just hold them.Crude should tank any time.....

2 comments:

  1. you were right about the markets tanking. lets see how the day ends now...

    ReplyDelete
  2. Rajeev,
    Almost all stocks have crashed. Is it a good time to buy ?

    ReplyDelete