Hi,
Instead of education on Trading Practice, this weekend we going to do something different and I hope this will us in a different way and will be helpful to make our trading strategy for next week.
This weekend we are going to discuss market sentiment & stocks. I am putting my view and also requesting you all - also share your views on market as well as on stock, also share any stock info if you are aware.
Please avoid - Just a thought, mean you can put text but I also need why do you think so, so we all will be able to participate in that discussion.
Well, till last week all big experts were shouting for sky rocket rally - washed out.
All were talking about new high - most of you had read only headlines while they were talking about next year.
Now same experts are crying that global weakness & and parliament woes push market down.
So what to believe in big experts? First they are also in the same situation like we, they can't handle market alone and lastly before reaction of market they come to know much in advance and they are able to save their money or you can say they still earn through all.
So big lesson, never take their view for very short term because they are not trader.
Friday's sharp fall was mainly ahead of US fiscal cliff worry. Keep eye on further development and keep informing us all here.
Well US stocks open lowered and then recovered from early declines after leaders of the Senate and House emerged from a meeting at the White House and indicated they would be flexible in efforts to settle fiscal policy differences.
Hope that US politicians would find common ground to steer clear of the "fiscal cliff" boosted stocks on Friday, though the gains were not enough to offset the week's losses.
Starbucks joint venture, which sources coffee from Tata Coffee, started
rolling out stores last month. The initial response has been very good
and that also means better offtake for Tata Coffee.
Tata Coffee has also recently set up a new roastery in Coorg, Karnataka, from where it will initially supply to the Tata Starbucks outlets in India and then aim for gradually supplying Starbucks' outlets around the world.
Analysts say the association with Starbucks too got investors excited as the supply deal will definitely boost its volumes and earnings.
NOW COME AND JOIN HANDS.... SHARE WHAT'S IN YOUR MIND...
HAVE A GREAT WEEKEND.
Instead of education on Trading Practice, this weekend we going to do something different and I hope this will us in a different way and will be helpful to make our trading strategy for next week.
========== MARKET & STOCK OUTLOOK DISCUSSION ==========
This weekend we are going to discuss market sentiment & stocks. I am putting my view and also requesting you all - also share your views on market as well as on stock, also share any stock info if you are aware.
Please avoid - Just a thought, mean you can put text but I also need why do you think so, so we all will be able to participate in that discussion.
==================== BIG EXPERTS ====================
Well, till last week all big experts were shouting for sky rocket rally - washed out.
All were talking about new high - most of you had read only headlines while they were talking about next year.
Now same experts are crying that global weakness & and parliament woes push market down.
So what to believe in big experts? First they are also in the same situation like we, they can't handle market alone and lastly before reaction of market they come to know much in advance and they are able to save their money or you can say they still earn through all.
So big lesson, never take their view for very short term because they are not trader.
==================== WORLD LEADER'S WORRY ====================
Friday's sharp fall was mainly ahead of US fiscal cliff worry. Keep eye on further development and keep informing us all here.
Well US stocks open lowered and then recovered from early declines after leaders of the Senate and House emerged from a meeting at the White House and indicated they would be flexible in efforts to settle fiscal policy differences.
Hope that US politicians would find common ground to steer clear of the "fiscal cliff" boosted stocks on Friday, though the gains were not enough to offset the week's losses.
==================== TATA TEA ====================
Tata Coffee has also recently set up a new roastery in Coorg, Karnataka, from where it will initially supply to the Tata Starbucks outlets in India and then aim for gradually supplying Starbucks' outlets around the world.
Analysts say the association with Starbucks too got investors excited as the supply deal will definitely boost its volumes and earnings.
NOW COME AND JOIN HANDS.... SHARE WHAT'S IN YOUR MIND...
HAVE A GREAT WEEKEND.
Hello MG Sir,
ReplyDeleteI have been following Tata Global. As it holds more than 50% stake in Tata Coffee and there has been news about more StarBuck stores, Tata Global is a very good stock for medium term, in my understanding. Also, they are opening more stores very quickly as they are targeting to open 100 stores very soon. It might even see 190-195 in Nov series itself.
It had rallied for abour 5%+ on Thursday and consolidated nicely on Friday but ended about 3%+ down. I think this stock has a lot of steam left. It has made 52-week on both the days. Tata Coffee has also made new highs on each day. I think both of them are a good bet for medium term, as you have also stated earlier that Tea stocks will do good this series.
Thanks, Lucky
News of Anil Agarwal opining to buyback shares of Cairn,may shoot up!!!Ur views MG!!!
ReplyDeleteHello sir ,
ReplyDeletemkt is just unpredictable .
"Economists make similar forecasts not so much because they've knowledge as they figure it's more shameful to be wrong alone than others." -- Kaushik Basu.
So all were saying nifty to cross 5800 & 6000 mark till Diwali and now every one is bearish . It will be more than enough if nifty preserves current levels .
Smart investors did sector switching by exiting Metals & Cement , where as entering in to Media & Financials .
There was delivery based buying in media & financial stocks which rallied .
Among those FT is best buy at any dip.
Nifty has broken its major channel support and is in down trend so for till expiry , sell at every rise .
Global concerns are same for few months , but now it is more highlighted and talked , creating a negative atmosphere .
ECB said Europe is in clutches of second recession and even S&P warned UK of rating .
US is pocketing funds just by litigation. BP is ready to pay 4bn $ as fine , HSBC & Standards & Charteds paid more than 1bn$ for illegal banking practices .
US fiscal cliff :
This term was coined by FED Chairman in June , but was not much discussed as there was election in US .
And after election it is the major concern of US economy which pulled US mkts at 6 month low .
Yesterday there was discussion and both parties are ready to take action but there is diff in the method.
Democrats want to increase taxes on richer and to reduce less spending , where as Republicans oppose it and say taxes will act as job killers .
Yet no fix outcome of discussion and Obama is out of country for visits.
So analyst believe that fiscal cliff is un avoidable and it would not lead US in to recession . It will slow its economy but make it strong by reducing Deficit.
In Asia china has new president who is capable of controlling slowdown .
Japan has elections next month & there is a chance of rate cut from BOJ .
The middle east is engaged in fight and today morning there was news of ground offensive in Gaza by Israel.This will lead to war , driving CRUDE prices up.
Also International atomic regulator said that the nuclear projects of Iran is more than civilian purpose .
This is increasing tensions in middle east and if straight of Hormuz is blocked then 50% of our oil imports will be impacted .
In such case our OMC's are best short.
Our mkt is in down trend and there is very less hope of any good news from winter sessions .
Many stocks have broken their levels and are down from their support levels.
Thank you & happy weekend.
On Friday, the Nifty & Sensex dropped 1% within one hour of trade before the closing of the session. The markets set a downward direction ultimately. Political uncertainty and huge long positions in the market will put further pressure on the stocks. Those stocks which have made new highs recently will see long unwinding as the expiry is approaching next week. There are so many challenges for the Government to reduce the fiscal deficit. The Government also sees that the FDI bill is not easy for it. All these things are not positive for markets. There are hardly any good news from the global markets. Analysts are predicting that Nifty & Sensex can correct up to 4-5% as a whole and individual stocks can correct 8-10% individually. In such a situation, it is advisable to buy puts for individual stocks and Nifty. Buy Nifty put for 5600 strike between 50-60 range and wait for the market to correct. It can give you handsome returns (2 to 3 times of premium paid) with a very small capital. Keep a stop loss at 5620 spot or 20-25 of the put price.
ReplyDeleteThanks MG, Don & Selva, a very good insight of the market.
ReplyDeleteBefore Diwali I was guessing the post Diwali may lead to market correction, but Thursday & until last hour of the Friday market was showing resilience compare to other global markets. I was expecting some minor rally on Diwali so held my 59CE, but went against so lost all.
The Friday broke down can this lead to 55 or 54 need to watch. As you guys mentioned there is no local & global positive news near term that means very little chance for the upside?
Market is so unpredictable. The more I tried to understand it the more I got lost. Just understood one thing. Be a investor and not short term trader. Choose your stocks on fundamentals. Buy in cash on dips(especially when the market is very bearish) and sell once your targets achieved.
ReplyDelete