Break out & Consolidation : Markets gave a 3 sudden break out in very short span of time driven full of liquidity & global cues. Global world indices also put fire to engine to bust 1 way with out taking more halts. Some says its Pre Election rally or some says its Year end rally to boost the NAV's etc etc but remember one thing that rally is rally & Bulls r Bulls only. In just 15 days time Indices are up by approx 20% only from recent low, so we expect some profit booking in markets.
As told earlier also PROFIT BOOKING IS NOT A CRIME BUT ITS AN ART but the inner greed does not let many people to master this ART. If you think that if u book profits then you may miss the rally if market goes up after selling but my dear friend if you sell for eg 100 shares at Rs 100 resistance levels or the levels where you are uncomfortable with the markets & even after your sell the market rallies by 10% then you can enter again at this break out level & you may only loose 10 shares out of 100 shares you sold at Rs 100 & can buy again 90 at shares at Rs 110 for another rally into the markets. But when you buy 90 shares at break out or comfortable prices , this time you are more convinced with the markets & your strategies, so you may only miss a rally of 10 shares at uncomfortable levels.
THE VIEWS EXPRESSED HERE ARE ONLY FOR SHORT TERM TRADERS & INVESTORS.
LONG TERM IS MORE LIKE BUY & HOLD FOR MONTHS & YEARS. BUT BY WITNESSING THE CURRENT FALL IN THE MARKETS MANY ANALYSTS HAVE CHANGED THE DEFINATION FOR LONG TERM INVESTING. ITS ONLY THOSE PEOPLE WHO ARE INTO THESE MARKETS FOR DECADES CAN UNDERSTAND THE TERM & MAKE OTHERS UNDERSTAND.
A cycle of Bull run : it starts will many large cap index based stocks then it moves to mid caps & then small cap stocks.
A cycle of Bear run : it starts will many large cap index based stocks then it moves to mid caps & then small cap stocks.
To play in any of the run with old position build up is TRAIL STOP LOSS & we know that many people have pschology that why should be we do stop loss ?
A Stop Loss is a word for active traders & generally they like to follow it as they know the impact if not done on time.
A passive trader is a person who knows the term Stop Loss but dont like to follow due to emotional attachment to the stock or markets as they feel that what ever they buy or sell must go 1 way only after they execute the trade. Such short term traders either become long term investors if trapped at higher levels or they exit the portfolio at very cheap prices.
Many people ask us about the levels which they use to hear from various market sources or from Idiot box (TV), we only tell them DIKHA VO PE MAT JAAO APNI AKAL LAGAO ( dont act for what have been shown to you but use your own brains ). Yes many times there is difference in What is Real & What has been Shown to you as Real, this happens when there is matter of personal conflicts or gains.
ANYWAYS LETS GET BACK TO THE MARKETS AS THIS ARE ENDLESS STORIES & HOW MUCH YOU WRITE WILL ALWAYS BE SHORT.
NifTiee intra day Levels :
Close 3108
Supports 3080 / 3050 / 3030
Resistances 3131 / 3151 / 3181
Next week in markets profit booking may come at higher levels & also a season of holidays will start as in next 15 days we have 2 holidays on working days & Sat - Sun different so in all 8 holidays.
PROVISIONAL FUND FLOW FIGURES RUPEES CRORES FOR 27 MARCH 2009
Fii +80
Dii +43
Fii ( Derivatives ) +256
Index Futures +166
Index Options +91
Stock Futures +22
Stock Options -24
** FII OI at 42k only as significantally down in last 2 days & also Vol. has dropped down from 90k to 70k but higher then 6m avg vol 55k.
WEALTH CREATION THOUGHT :
"WHEN ALL THE EXPERTS & FORECASTS AGREE,
SOMETHING ELSE IS GOING TO HAPPEN"
Good Day
Regards,
Allies Financial Services
Mumbai, India
(m) +91 9869958999
Web : www.AlliesFin.BlogSpot.Com/
