India is well positioned….and in many major ways arguably in a completely different Queque…so don’t overestimate any mini meltdown or accompanying panic on global cues in our Sensex or Nifty….maybe new long positions may not be forthcoming but there should not be any serious shorts even though we see a 400 + correction in the Sensex today to 19500 levels
…..but the Ireland Bailout expected at @ US $ 100 Billion,mixed views on China’s economy and the QE2 Measures by USA and right now the direct military provocation by North Korea against it’s neighbour South Korea clearly is spooking World markets and India is part of this….so we will be affected and pushed….but even if you argue we are in the same Queque,we are way behind….the upfront tormented Countries,like USA,Spain,Greece,Ireland,UK and Portugal and troubled hotspots like the Koreas will have a direct impact…being way behind,our Sensex will merely be pushed by the impact upfront…ofcourse we have our own issues like 2G Telecom Scam political imbroglio to deal with….but India is on the strong upmove for the next few decades…we are already living this…adds conviction to this belief…don’t let anyone shake you from this
…..so don’t panic….two days ago I advised to stay away….no speculation and no trading…. and go smell the grass…..any significant correction will offer opportunities to buy cheaper for the long term….don’t get spooked by the increasing volatility…you have to live with this……Record FII Inflows actually lifted our Sensex back to 21k levels….a few billion dollar outflows coupled with World Economic and political tensions will correct the Sensex….that is what is happening
….so don’t try second guessing where the Sensex will end today or tomorrow !…even the Sensex itself does not know !…..traders and speculators need to do this for they hold short or long positions to flip quickly…….Increasing Volatility makes this a risky and dangerous exercise best avoided till some stability or firm trend is seen
Our Sensex ,currently at 19500 levels is headed towards 30000 in the next few years…but may revert back to a 16000-18000 range before continuing the march upwards
I’m observing a whole lots of specific stocks on my horizon also reacting….splendid….lower price levels will lower risk levels when bought into….will make my workshop on Equity Portfolio Structuring at BSE Training Institute this Friday and Saturday that much more fun…do come…blogged seperately on this earlier today
Cheers !