Jump Up!

Okay, its going to be too much of fluff.

Yesterday, when markets rose around 600 points on the back of tremendous short covering, for a moment, I was praying such thing should happen again. And again. And again…

Yet part of me, knew looks are deceptive and stock markets are past masters of this game. Putting some humor, into my chats, I punched in these lines at, my status message.

Today, it tanked at an intraday low of 700 points before recovering some of it, in a 200 points upward rally. It closed at 500. Nice!

At these times, volatility in such small time frames is the least thing to expect. But then, the big question is till when will it last? 3925 levels of Nifty looks extremely oversold.

Somebody was telling me today, that government is trying to incorporate Sensex and NIFTY in the Wholesale Price Index in order to cool down the inflation! [okay that was meant to be a joke].
But I think you get the point. Both are zooming deep inside the oversold territories, thus confirming a bull run, in a very intermediate state.
Analysts on the street are even mentioning the levels of 2700 as the levels to talk about.But thats increasingly negative. It looks really pessimistic.

August, I believe is the time to watch out for. And you may probably think of offloading dud stocks in this next upcoming rally.

Just a parting point though. In April, when the stock markets were staging a recovery, Jhunjhunwala stunned every bull in the market, talking about his ‘more-pains-left’ theory. I don’t know, if he visits any traders forum or not, but definitely, he received a lot of flak. Sensex was hovering at 17k levels in those times.
So,you got the point?

The lady in tank tops and jeans was muttering something, looking at the flight departure schedule. Cursing the long wait for her delayed flight? Possibly.
She edged past in the waxing and waning crowd of fliers to the Kingfisher counter. Hmm.
Nice looking,svelte, aged say 24 and definitely hot. Wait a minute, did I see her, go to Chn-Delhi Kingfisher flight?
I like that.
I like that coincidence
Pushing my trolley past newly weds, sauntering kids, I stood on the next counter.
“Hey Lina, how are you doing?”. Advantages of flying twice a week for extended periods of time
“Hi Mr.Das, doing good. So Delhi this time?” Small talk. Do Kingfisher pay them for this too?
The girl in jeans looked up for a moment and then went back to strapping the tag to her handbag.
(more…)

Okay,its going to be a real short one. [ My boss is expecting me in lab to design the latest fuzzybulator to take on the world]

Given the delicate nature of the markets and the volatility, what should be the strategy to buy? Do you buy those stocks which are still in green, as per your portfolio? [Yes, I do have some]  Any green ticker in a situation like this does indeed mean two things : one, you picked it up in a real bottom and second it has shown remarkable resilience to any downside. Now the question is, do you build up your portfolio on those winners and go underweight on them?

C’mon, they are winners aren’t they?

Or, you go for the stocks which are dead cheap, beaten black and blue and up for grabs?

Of course, the stocks I am talking about are perceptibly attractive ones. So if you think that you are in a situation for catching hold of some bottomed out catch, then optimism tells us, it has only one way to go, up. Isn’t it? I understand its confusing, but take a look at the year high charts of Mercator Lines[MERCAT] or for that matter, Great Eastern Shipping [GESHIP]

What do you say?