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Wednesday, March 26, 2008

B Gr will be King again...

Nothing has changed except two factors. Global markets recovered substantially provided much required vitamin for Indian markets. AMC’s which have got huge cash but much shit valuations is making Fund manager’s life miserable. We know for sure if this attempt is only for saving their Balance Sheet then supply will come in the first week of April in A gr shares. Therefore we do not advise to go long in F & O in these set of circumstances.

As far as delivery is concerned investors looking for 30 to 50% returns may enter quality A gr shares. Investors who are looking 200% plus returns with some appetite of risk must enter B gr shares which have corrected by 75% plus. The price restoration will give you nothing less than 200%. Prices will be restored being no option because the entry of stock specific operators is at too high rates. Whether you call this manipulation or otherwise but this is realty. If money power can bring down or take up the stock prices in any direction then I think even vested investors who have spent life in investing stocks of their choice have right to invest more and take the prices up.

You can’t have 2 set of rules for market investigation. When the share prices goes up by even 15 to 25% exchanges come into play to find out why the prices have gone up unusually. The same exercise is not done when the prices have gone done.

TO safeguard you from the market conceptions I would suggest buy B gr shares simply because those who wanted exit have got exit and those who have bought at higher rates will not sell till their rates come. It is very easy to make killing money in B gr shares now. From 28th March the vallan will be funding vallan and limits will open for operators. They will ramp up their stocks come what it may. Take advantage of this situation and use for your profit which will give nothing less than 50 to 500% returns from 1 month to 24 month horizon.

This is only way remained for you to recoup your losses. For A gr traders I think should think to start trading only when Nifty crosses 5400. Tomorrow again a great day is seen where Nifty may travel towards next psychological barrier 4910 and 5050. Post 5050 bears will come forward for squaring off till 5300.

It is in virtue that happiness consists, for virtue is the state of mind which tends to make the whole of life harmonious.

1 comment:

Anonymous said...

thats really great article . just loved reading it and amazing info , def gives lot of directions to small investors like us . since u ahve suggested to make the buying in b grade shares . can u plz suggest few names whrerwe can considr the buying opprtunities and keep a watch on them . thanx

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