Don't go against the hungry money
Don't go against the hungry money. It will destroy you. Forget about the trend of the market. Don't try to rationalize the situation. Just follow the hungry money and capture the moment.
I guess this is the phase we are in. The more you think, the more stupid you appear. There are times when you should just stop analyzing and watch the market in awe. I am shocked to say the least. It seems nothing can stop this market for now. All the worries have been thrown out of window.
The way stock prices are moving up - clearly communicates that buyers are more desperate than sellers. It is the desperation of buyers that is causing the sudden spike up in the prices. Nothing else can explain the mad movement in stock prices. The market is now knocking on the doors of all time high of 6000-6010; and considering the momentum and positive global cues, it seems the market may make a new high today. In good times, it is very easy to get carried away but remember there is no harm in being aware of the risk.
Positive Developments
FIIs are applying for registration - This is good news for Indian markets. It means more market participants and higher liquidity.
Emerging Markets are looking good once again - Despite overnight weakness in US markets, Brazil and Mexico closed firm. Brazil's Bovespa stocks index closed higher on account of strong showing in commodity and utility sector shares. Utility sector - that's interesting. Mexico's IPC index of 35 most-traded stocks closed up 0.6% at 29655.68 following Tuesday's 4.6% climb.
Rate the newsletter on the website and I will also appreciate any feedback on email : alliesfin.@gmail.com or on cell by sms : 09820191219
