Nifty view from my friend
Week after week the Bear phase( Not a Bear market) is becoming intolerable to a Long term Investor.I am inclined to use the term bear phase and not bear market as technically we haven't corrected more then 32.3% in the major indices.Most of the momentum stocks fall into the second category as losses in them range between 55-84%.I believe that in the current market pattern the technicals and the fundamentals have taken a back seat.Most of the stocks have been hammered with a Bear stick.The biggest curse or the biggest boon for a stock i.e liquid and illiquid volumes have found similar fate with bears.The liquid stocks have been hammered because one can create shorts in the same.While the illiquid lot has been hammered thanks to the distress selling observed in these stocks.People are selling the stocks from there Long term folio as if there is no tomorrow to the stock Markets.
I remember the golden words of one of the most respected fundamental analysts in our markets."The markets always remain alive,Its only the traders that change".Our stock market will continue to give 20-30% returns on an annual basis.I believe the problem now is that of Trust,belief and news-flow.
Week after week the Bear phase( Not a Bear market) is becoming intolerable to a Long term Investor.I am inclined to use the term bear phase and not bear market as technically we haven't corrected more then 32.3% in the major indices.Most of the momentum stocks fall into the second category as losses in them range between 55-84%.I believe that in the current market pattern the technicals and the fundamentals have taken a back seat.Most of the stocks have been hammered with a Bear stick.The biggest curse or the biggest boon for a stock i.e liquid and illiquid volumes have found similar fate with bears.The liquid stocks have been hammered because one can create shorts in the same.While the illiquid lot has been hammered thanks to the distress selling observed in these stocks.People are selling the stocks from there Long term folio as if there is no tomorrow to the stock Markets.
I remember the golden words of one of the most respected fundamental analysts in our markets."The markets always remain alive,Its only the traders that change".Our stock market will continue to give 20-30% returns on an annual basis.I believe the problem now is that of Trust,belief and news-flow.
