last week i had written an article....Something different had happened in the markets these time around...Nifty was at lifetime top levels and Midcaps and Smallcaps were correcting as if there is no tommorrow...Both the Caps were down by 40% to 50%...and some chor and kacharaa stocks are still correcting till date at the time of writing these article...
I have a strong gut and intuitive feeling.... something is not right in the market....the smart investors are fooling us is what I feel.... because NIfTY is at top level but most of the A group companies are CorrEcTinG as if it a blood bath out there....while Midcaps and Smallcaps have been butchered completely....
Be careful of SUCKERS RALLY.....many StoCKs in Midcaps and Smallcaps in one day only are going up by 5% to 7%....but they all fizzle out from next day onwards....so be careful and buy StoCKs which are down in price but are fundamentally very strong and not overvalued.... and not highly leveraged and have very good management ....
Are we going through a Suckers rally....to some extent yes....but it is always hard to identify trends in stock market..... and even if you are proved right it is probably your luck or a fluke....but in current scenario something is not right...nifty is at lifetime high and the public Euphoria is missing...I mean there is no active participation by the retail investors.... but these is the way market operates...the conviction is missing in market participants and it is a perfect time for market to go up.... when there is fear only then the market will go up....but then it is a case of psychology ..... in current scenario the Midcaps and Smallcaps are going through their worst case bear trend.....and nifty is making lifetime high...so in many ways the current trend is different.... and will it be a new norm which we have never come across till date.... therefore rather than firing in the dark.... wait for some more time for clarity to come in the market....but always remember in short term basis in stock market you will most of the time will always be proved wrong by the market... what I mean is the moment you enter such a market the probability of you making a loss are very high.... and making a profit will be a chance of luck only....
Fools will exist in stock market as long as market last..... and people like Rakesh jhunjhunwala.... Vijay kedia.... Ramdeo Agrawal.... have got an opportunity to earn a huge amount of wealth because of these fools who happily come to part their hard earned money to them....these so called fools will always come happily in stock market but one thing is gauranteed for them in stock market.... when the majority of them will leave.... there will only be sorrow for them for sure.... because they have to lose in stock market until unless they are well educated in managing their money and do proper research and analysis of assests they want to invest in....
as i have written in the fourth paragraph that because of Psychological reasons of uncertainty and fear the markets are bound to go up....and the current fear in midcaps and smallcaps will overrule everything in the stock markets and are total attention will be drawn towards these both caps...like fools we have been made the Biat of so called smart investors...there was clear writing on the wall that the nifty will go up and make new lifetime highs but no one knew which companies will contribute to the nifty making new lifetime highs...so as long as the uncertainty and fear is existing in the current market.... nifty will keep on making new and new lifetime highs and the poor retaIL investors will be left out high and dry...
so as per the above explanation the Day the earnings and the gdp growth of economy expectations of the people are achieved we are going down for sure as per the Psychological reasons...the fulfilling of Anticipation and Expectation will get us only disappointment in stock market once they are achieved...therefore as long as the expectations of earnings....the expected growth of the economy are not achieved and still there is total uncertainty and doubts... the stock markets will keep on going up and up and up...lastly MONEY IS STILL VERY EXPENSIVE TO GET....the day money becomes cheap and easily available the economy will collapse eventually and so will the stock markets of the world...TODAY IN THE CURRENT SCENARIO MONEY IS NOT READILY AND EASILY AVAILABLE AND IS THE PRICIEST COMMODITY AVAILABLE TODAY...SO EVERYTHING WILL GO UP...THE STOCK MARKET AND SO WILL THE ECONOMY FROM HERE....
bUT WHICH SECTORS TO INVEST AND IN WHICH COMPANIES IS TOTALLY UP TO THE INVESTOR...
Above is not a recommendation and is my personal opinions and views only...
I have a strong gut and intuitive feeling.... something is not right in the market....the smart investors are fooling us is what I feel.... because NIfTY is at top level but most of the A group companies are CorrEcTinG as if it a blood bath out there....while Midcaps and Smallcaps have been butchered completely....
Be careful of SUCKERS RALLY.....many StoCKs in Midcaps and Smallcaps in one day only are going up by 5% to 7%....but they all fizzle out from next day onwards....so be careful and buy StoCKs which are down in price but are fundamentally very strong and not overvalued.... and not highly leveraged and have very good management ....
Are we going through a Suckers rally....to some extent yes....but it is always hard to identify trends in stock market..... and even if you are proved right it is probably your luck or a fluke....but in current scenario something is not right...nifty is at lifetime high and the public Euphoria is missing...I mean there is no active participation by the retail investors.... but these is the way market operates...the conviction is missing in market participants and it is a perfect time for market to go up.... when there is fear only then the market will go up....but then it is a case of psychology ..... in current scenario the Midcaps and Smallcaps are going through their worst case bear trend.....and nifty is making lifetime high...so in many ways the current trend is different.... and will it be a new norm which we have never come across till date.... therefore rather than firing in the dark.... wait for some more time for clarity to come in the market....but always remember in short term basis in stock market you will most of the time will always be proved wrong by the market... what I mean is the moment you enter such a market the probability of you making a loss are very high.... and making a profit will be a chance of luck only....
Fools will exist in stock market as long as market last..... and people like Rakesh jhunjhunwala.... Vijay kedia.... Ramdeo Agrawal.... have got an opportunity to earn a huge amount of wealth because of these fools who happily come to part their hard earned money to them....these so called fools will always come happily in stock market but one thing is gauranteed for them in stock market.... when the majority of them will leave.... there will only be sorrow for them for sure.... because they have to lose in stock market until unless they are well educated in managing their money and do proper research and analysis of assests they want to invest in....
as i have written in the fourth paragraph that because of Psychological reasons of uncertainty and fear the markets are bound to go up....and the current fear in midcaps and smallcaps will overrule everything in the stock markets and are total attention will be drawn towards these both caps...like fools we have been made the Biat of so called smart investors...there was clear writing on the wall that the nifty will go up and make new lifetime highs but no one knew which companies will contribute to the nifty making new lifetime highs...so as long as the uncertainty and fear is existing in the current market.... nifty will keep on making new and new lifetime highs and the poor retaIL investors will be left out high and dry...
so as per the above explanation the Day the earnings and the gdp growth of economy expectations of the people are achieved we are going down for sure as per the Psychological reasons...the fulfilling of Anticipation and Expectation will get us only disappointment in stock market once they are achieved...therefore as long as the expectations of earnings....the expected growth of the economy are not achieved and still there is total uncertainty and doubts... the stock markets will keep on going up and up and up...lastly MONEY IS STILL VERY EXPENSIVE TO GET....the day money becomes cheap and easily available the economy will collapse eventually and so will the stock markets of the world...TODAY IN THE CURRENT SCENARIO MONEY IS NOT READILY AND EASILY AVAILABLE AND IS THE PRICIEST COMMODITY AVAILABLE TODAY...SO EVERYTHING WILL GO UP...THE STOCK MARKET AND SO WILL THE ECONOMY FROM HERE....
bUT WHICH SECTORS TO INVEST AND IN WHICH COMPANIES IS TOTALLY UP TO THE INVESTOR...
Above is not a recommendation and is my personal opinions and views only...
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