Sunday, July 16, 2017

SUN PHARMA....Pyschological Correction....

IN 2015...the stock market scenario was totally and blindly positive about Pharma sector..one of my relatives in May 2015 bought sun pharma @1100...and about knowing his purchased value i adviced my relative that instead of purchasing at this level...do the opposite because at these steep valuations it was a perfect sell...but the interesting thing happened that i had to shut up because the relative told me he has got a target price of 2000/- in coming one year....

so now in the present july 2017.... Sun pharma after making a low of 493/- is around  570on closing basis...
i mean almost like 2 years of correction from the top it made in 2015...two years of correction is a long correction bear phase and most of the time the stock makes its bottom and complete interest is lost in the stock...but here the case is different because still people are active in sun pharma and they are getting active recommendations to buy and also trade in sun pharma as per todays scenario...Also Business channels are continously talking about sun pharma on their shows from time to time...all these has to stop...so Psychological does it still means there is correction left in sun pharma because so much active trading and purchasing happening in the stock.....

YES....is my guess....still i think that pricewise correction can happen and cannot happen....but TIMEWISE correction for the next 3/5 years can happen for sure....

Like the example of RELIANCE INDUSTRIES....it made the bottom in OCtOBER 2008 from its top made in JANUARY 2008....and after almost like 9 years the present price is  near the TOP PRICE LEVELS of 1600/- it made in JanUAry 2008...by the way the present price of Reliance Industries is 1533...

What i mean here is that SUN PHARMA  if it corrects for the next 3/4 years timewise and say little by pricewise then the last froth which is left will also dissolve and vanished...so almost zero speculation will be left and ONLY THE INNOVATORS i mean value investors will start purchasing for long term investing...say for the next 10 years...but note immensed wealth can be generated in the next 10/12 years from here...it will be a Multibagger for sure.....SALE....SALE...PHARMA DISCOUNT at 60% FROM ITS TOP PRICE....

the same was the story of Reliance Industries....these last 9 years everyone abused Reliance Industries...but now the scenario has change...they have all become lovers of Relinace Industries....LAAVO.....LAAVO....RELIANCE LAAVO.....

Back on Sun Pharma....So until unless people in the next coming years dont talk bad and worst about SUN PHARMA and literally abuse the stock and swear never to invest in Pharma sector...till that time the correction and  bottoming of the stock has not happened...But please note the above article on Sun Pharma are my personnel views.... so ask your financial advisor for any stock recommendation and to purchase....

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