Can anyone think of market going up and that too by over 250 points when there are news of nuclear disaster in Japan?Can market go up when there are news of earth quake in Japan?
Can any one imagine when crude is at $100 market can still go up?
Everyone in market is surprised why market went up yesterday! But that is market.That is what biggies think of market.
Why market went up?Becuase market thinks that there will be demand for steel from Japan for restructuring the Infra which was distructed in earthquake.So Tisco, Jindal steel etc went up.
Rubber prices went down so tyre shares went up.
But who will get the orders.Which Co will be benifitted?No one knows untill the orders starts pouring in.Then why market went up?
According to my reading, the market went up because there was little space for it to go down.Maybe today it can go down.
Otherwise Crude coming back from $116 to $100 is no reason for market to come down.But yes, it is an anamoly that with earthquake and Tusnami taking place in Japan the crude oil prices should have even more gone up due to destabilisation of carriers in sea etc but that didn't happen and that also says that $116 for crude was also at HIGH.No way that price can go up above that atleast in ST.
So as I said earlier that there was not enough room for market to go down and hence it went up likewise Crude also came down even with the disaster news in Japan.
Moreover , taking market up and down is still in hand of operators which I can say that when everyone was expecting market to tank, it went up.
That means that if the whole lot of investors are selling in F&O and stocks then market goes up and those who tried to short the market caught on wrong foot.
So it can be said that operators play according to what the investors play.If investors are buyer then they are seller and if they are seller then they are buyer.
Well, that is just for a perticular day like the one we saw yesterday.
Market opened in positive note with 50-100 points up and never went down and kept going up and up to end at 265 points up.Not even for a second it went in negative territory.
This is the best time to buy stocks.Buy them and sit on them.