Relief rally do not last for more then 2 days.Relief rally peters out in 2 days because it is a relief rally.
Market is smelling something and we are not able to understand it.I recently wrote here about S&P analysis that Commodities will correct by as much as 75% and I wrote that if we average it we can see commodities coming down by 30-35% .
And to my analysis , market is smelling that.I feel that Crude can come down to even below $80 and that will lower down the inflation.Inflation is one and only culprit for market not going up and if Oil comes down and thereby inflation comes down, then the Int rate will also come down and that will boost the sector like Auto and Banking.
According to me market is headed high.Small and midcaps are battered badly and I feel that is a wonderful chance for the investor to pick up some excellent fundamentals stocks.
I am seeing the prices coming down as much as I have seen in late 2008 and early 2009.Lap up this oppertunity.Market is giving a wonderful chance to buy those stocks.
Market real bull run is yet to start.We have also read what the Indian Warren Buffet said in one of his recent interview.
Don't be too skepticle about the market.Buy when one sees value and actually I feel that I am seeing lots of value in market.
I wrote in one of my recent post don't ask too many questions.If you see a bargain you don't need to ask anyone.Just go ahead and buy it.
Coming back to market, I feel that it is poised for higher trajectory.This is not a relief rally.Market has got the headwinds and it is exhibiting it since 4-5 days.