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Showing posts from March, 2014

Different Animals in the Market

Different Animals in the Market The Bear- This trading animal believes the market will be going down and plays the short side. Bears think that a market is going to be very red. The Bull- This trading animal is very optimistic that the market will be green. Bulls love to buy and believe their screen will be full of green. The Whale- This trading animal can move prices when it buys and sells. The whale has to faze into positions and out of them so it does not make big enough waves to attract piggy backers. A lot of money can be made trading along side the right whale. The Pig- This trading animal likes to trade big and often. The problem is that the pig does not know how to exit a winning trade he usually has too big of a target, too big of a position size, and too big of a time frame. The Shark- This trading animal i just about making money, it gets into trades, makes money and gets out. It has little interest in big complicated theories or esoteric methods. The shark keeps

Sell Tata Steel, YES Bank, Hindalco: SP Tulsian

Sell Tata Steel, YES Bank, Hindalco: SP Tulsian SP Tulsian of sptulsian.com told CNBC-TV18, "One may short Tata Steel because we have been seeing the profit booking coming in, in fact delivery based selling has been seen in the stock for last one week or so, but if you see today, 65 lakh shares have already been transacted in the cash segment. In Futures there is a fresh short built up of about 30 lakh shares. The increase in open interest indicates that the fresh shorts are seen getting built up. So, look for a level of Rs 345 with a stoploss of Rs 353." "One may short Hindalco Industries . We have seen the stock moving up from Rs 98 to Rs 125 one way and that has actually happened with the huge delivery based buying happening on all those four or six days in the past. So, now the unwinding or may be the profit booking has started again seen in the form of delivery based selling. Yesterday also we have seen about 95 lakh shares having delivered c

Moody's projects BJP victory in general elections

Moody's projects BJP victory in general elections Projecting the ouster of the UPA government after a disappointing second term, research firm Moody's Analytics today said the BJP is likely to form the next government after the general elections. "The current Congress-led government is likely to be ousted after a disappointing second term. The economy is weak and business confidence and investm ent sit well below where they should be. Also read: Battle for Varanasi: Is it Modi vs rest? "The new government, likely to be led by BJP candidate Narendra Modi, offers a chance for better governance," Moody's Analytics said in a report titled Asia-Pacific Outlook: A Slow Start to the Year. The nine-phase Lok Sabha election, which starts on April 7, concludes with the counting of votes on May 16. Various opinion polls have suggested victory for the BJP-led NDA in the general elections. Referring to monetary policy, Moody's Analytics said India

NIFTY - AHEAD OF FOMC

 NIFTY - AHEAD OF FOMC Hi Friends, While everyone is eying on the FOMC Meet on Wed 18 Mar 2014. Lets look at development on Charts. Nifty tested 6575 and closed near 6515 giving a Shooting Star Formation with Negative Divergence on RSI. Which could be the sing of short term Trend Reversal. NIFTY  As mentioned in my previous post currently there are two alternatives open. 1) The rise from 5933 looks Impulsive and could be part of 3rd wave if we consider the move from 5118-6415 as Leading Diagonal. That means Nifty completed the contracting triangle after 6 years consolidation and we are starting a New Bull Market which could take Nifty to uncharted territory. In case of Wave Equality the 3rd wave might take Nifty towards 7300. However, we need a confirmation by break above the weekly channel resistance near 6650. 2) Another alternative of this rise being a part of the corrective wave from 4531 over last 2 years as I have been always mentioning in all my p

Crimea: Economic fallout of a 'yes' vote

Crimea: Economic fallout of a 'yes' vote The Ukrainian region of Crimea is voting on whether to join Russia, a move that could tip Europe back into a Cold War with its powerful eastern neighbor. The West has called Sunday's vote illegal, saying Russian military activity in Crimea violates Ukraine's sovereignty and will influence the outcome of the referendum. U.S. and European leaders say Russia will pay a price for annexing Crimea, and German Chancellor Angela Merkel has warned of a potential "catastrophe." If, as expected, Crimeans choose Russia over Ukraine, the fallout could ultimately affect economic growth, trade, investment and energy supplies. Sanctions: Western powers may move as early as Monday to impose sanctions against leading Russians. Europe and the U.S. would probably limit restrictions initially to travel bans and asset freezes on select individuals close to Russian President Vladimir Putin. Russia has said it will retal

Market Roundup

Market Roundup Key benchmark indices ended 0.4% lower as investors booked profits after the recent rally which pushed stock valuations to record highs. Market dipped as investors booked profits after sharp gains recently which pushed the Sensex above the 22,000 mark in intra-day trades on Monday. Metal and Capital goods shares were among the top losers. Reliance Industries, HDFC Bank, Tata Stee l, Sun Pharma and ITC were the top Sensex dragging the benchmark 93 The 30-share Sensex shed 108 points or 0.4% to close at 21,826 levels after hitting an intra-day low of 21772 and the 50-share Nifty recovered from its day's low of 6,494 to close at 6,512 levels, down 25 points or 0.4%. Meanwhile, trade deficit for February narrowed to $8.13 billion compared to $9.92 billion recorded in January. It was $14.12 bn in the same period last year. Exports stood at $25.68 bn compared to $26.35 bn in January. They were down 3.7% on a y-o-y basis. Trade deficit narrowed in Fe

Equity outlook: Diagnosing the 'hope' rally

The Indian equity market has hit an all-time high on the back of the ongoing "hope" rally. The avowed reasons for this rally are positives such as improvement in current account and fiscal deficits, the possibility of softening inflation - though largely on account of the base effect - some baby steps in un-stalling the several stalled projects, the con tinued increase in regulated diesel prices, market resilience despite the US taper and of course, opinion polls indicating a decisive government in May. Given the ferocity of the recent up-move, it is worth examining these positives in some detail. The low annualised 0.9 per cent of gross domestic product (GDP) current account deficit figure of the third quarter of FY14 is on the back of severely compressed gold imports which are at a sixth of the the third quarter of FY13 figure, as also a 7.5 per cent increase in exports and a sharp 14.8 per cent decline in imports. The sharp 13 per cent depreciation of th

Markets high on Modi, but wary of hangover

Stock market indices  jumped to  record highs  on Friday as foreign  institutional investors  ( FIIs )  stepped  up purchases of domestic   shares , encouraged by stability in the rupee. The Sensex  clocked a record for the second straight session while the  Nifty  surpassed its previous high of December 9 last year. But not everyone on the Street was rejoicing as the rally was led by battered domestic sectors such as  banks ,  real estate and  infrastructure , a deviation from the usual leaders such as information technology  and pharmaceuticals. A large section of  fund managers , who had cut exposure to these shares to the bare minimum, had to scamper to buy them on Friday despite bleak earnings prospects to avoid underperformance. Fund managers said heightened hopes of the  Narendra Modi -led Bharatiya Janata Party (BJP) forming the next government were driving the frenzy in those shares. Many market participants are unimpressed with the gains of Friday because the rally has not

ICICI BANK THE STAR OF THE CURRENT RALLY

The CNX Nifty has gained 180 points over the past three trading sessions and a quarter of this gain has been driven by ICICI Bank. Not only has the share price of the lender risen 10 per cent ove r three sessions, it also continues to be among the top 10 favoured stocks of foreign institutions. In the December quarter, foreign institutional investors (FIIs) bought ICICI Bank shares worth $166 million and remain over-weight on the stock. This might seem strange, as the bank has seen a fast build-up in stressed assets in the corporate segment in the recent quarters. Analysts say ICICI Bank is paying the price for aggressively growing its corporate loan book between FY12 and FY13; it has increased its exposure to stressed sectors like steel, power and infrastructure. In the third quarter, its gross non-performing assets (NPAs) as a percentage of total advances stood at 3.05 per cent while net NPAs were 0.94 per cent. ICICI Bank's debt recast has also been on the ri

Pre-poll rally kicks in as Sensex scales 21,500

Dalal Street reached new milestones on Thursday as foreign institutional investor (FII) inflows continued unabated amid growing conviction that the Bharatiya Janata Party-led coalition may form the next government and the worst may be over for the economy. Both benchmark indices —  Sensex and  Nifty  — closed at  record highs  after the sharp drop in the current account deficit pushed up the rupee, alleviating fears about the impact of the US Federal Reserve’s stimulus tapering on FII inflows. FIIs  poured Rs 1,272.93 crore into Indian stocks on Thursday, provisional data shows. These investors have invested about Rs 3,600 crore so far in 2014. The rally was aided by a strengthening belief among investors and traders that the BJP’s  Narendra Modi , considered pro-business, would become the next prime minister. “There is very clearly a Modi wave in the market at present. A sharp improvement in current account deficit is also being viewed positively by investors,” said Tirthankar Patna

Nifty At an All Time New High

# Nifty at all time New High 6450 The nifty has finally broken out of its range courtesy Mr Modi Rally The Main Contributors IT , L&T , ICICI Bank and now it shall be Lead by Reaility Enjoy and Be a Little Cautious

Namo All the Way ....................

BJP ALL THE WAY  # NAMO ALL The Way to The Centre If the BJP maintains the Current Momentum and we have an election Soon then A BJP at the Centre and Delhi are in inevitable   " A stable Government is all we need and the Indian Economy Shall Show Wonders to the World "