The markets are trading in a positive zone and comfortably above the 17K mark.The global cues have been good for the last couple of days particularly from Asian.But there is a sense of skepticism in the markets now.Better to book profits in stocks which have run away too high too fast.Earlier in the US markets , the stock market proved to be resilient Thursday, finishing moderately higher in the face of mixed economic news and high oil prices. Weekly Initial Claims were surprisingly better than expected, while new home sales reached their lowest level in more than seven years. Investors are betting that a big drop in new home sales and a weak reading on GDP growth will make the Federal Reserve more likely to cut interest rates further. F&O cues: Marketwide rollover at 84% Vs 82.3% Nifty rollover at 71% Vs 70%
Our call on CBOP for medium term yesterday is up 5% today.Just accumulate. We will be back by mid trading session for free intra day tips and more market insight. Adhere to strict stop Losses in order to safeguard your interests.For more stock specific buy and sell , subscribe to out free newsletter or join our paid service
Targets achieved !
Thursday, September 27, 2007
Targets for Nifty Futures as well as Allahabad Bank have been met. EXIT. Adhere to strict stop Losses in order to safeguard your interests.For more stock specific buy and sell , subscribe to out free newsletter or join our paid service
Free Intra day tips !
Free Intra Day tips for 27th Sep before 11:40 am BREAK :
Short sell Nifty futures September 5000-5003 . Stop Loss 5017.Target 4480. Short sell ALLAHABAD BANK Oct futures104.5-105.Stop Loss 106.Target 103.40.
MEDIUM TERM Buy CBOP 43-44. Stop Loss 37. Target1 52. Target2 60. JUST BUY. Exit Intra day if stop Loss Triggered or target achieved at all counts. Adhere to strict stop Losses in order to safeguard your interests.For more stock specific buy and sell , subscribe to out free newsletter or join our paid service.
Markets will open in green !
The Indian Stock markets will open in green following the global cues.It is a dangerous market now.No fresh longs recommended . Short sell but with stop losses and book small profits. Earlier in the US markets, stocks rose Wednesday after General Motors and its workers' union reached a deal that ended a two-day strike - and reports said that Bear Stearns is talking with Warren Buffet and other investors about buying a stake in the company. The Dow ended the session 122 points away from its all-time high above 14,000, which it hit in July. F&O cues: Marketwide rollover at 64%, Nifty at 59% Futures Open Interest up by Rs 775 crore Options Open Interest up Rs 707 crore Nifty Sep Futures shed 48 lakh shares in Open Interest Nifty Oct Futures add 61 lakh shares in Open Interest Nifty Sep at 18-point premium, Oct at 8-point premium Nifty Open Interest Put-Call ratio flat at 1.59 Nifty Puts add 7.7 lakh shares in Open Interest Nifty Calls add 5 lakh shares in Open Interest We will be back by mid trading session for free intra day tips and more market insight. Adhere to strict stop Losses in order to safeguard your interests.For more stock specific buy and sell , subscribe to out free newsletter or join our paid service
Sensex to touch 17000!
Wednesday, September 26, 2007
Indian Stock markets are expected to breach the 17000 levels today.Now whether it is maintained or not is a tricky answer.Anyways we expect a volatile session but more on the sideways volatility than a deep crack or a huge surge. Earlier in the US markets,a tech rally lifted the Nasdaq on Tuesday and helped the broader market stabilize, but gains were limited after profit warnings from a pair of retailers and a big drop in consumer confidences revived worries about the economic outlook.Still, the broader market ended the day relatively flat. Asian Markets are also trading flat but mostly in the green. F&O cues: Marketwide rollover at 49%, Nifty at 46% Futures Open Interest up by Rs 568 crore Options Open Interest up by Rs 1044 crore Nifty Futures shed 47 lakh shares in Open Interest Nifty Oct Futures add 51 lakh shares in Open Interest Nifty Sep at 4-point premium, Oct at 8-point discount Nifty Open Interest Put-Call ratio at 1.59 Vs 1.61 Nifty Puts add 8.9 lakh shares in Open Interest Nifty Calls add 8.5 lakh shares in Open Interest We will be back by mid trading session for free intra day tips and more market insight. Adhere to strict stop Losses in order to safeguard your interests.For more stock specific buy and sell , subscribe to out free newsletter or join our paid service.
NO TRADES PLEASE !
Tuesday, September 25, 2007
Our subscribers and clients have not been given any calls due to sheer volatility in Indian Stock Markets.Only Clients who had specifically asked for recommendation during these 4 trading sessions were entertained.We will be back with our regular updates from tomorrow onwards as we feel that sanity will come back in the Indian Markets. Our last article said " No technicals in these markets and we were proved right hands down ". Adhere to strict stop Losses in order to safeguard your interests.For more stock specific buy and sell , subscribe to out free newsletter or join our paid service.
Fed rate cut leads us beyond 16K !
Wednesday, September 19, 2007
The Indian stock markets followed strong global cues to reach 16000 for the first time in its history.All due to Fed's policy on interest rates.Yesterday we said that a 50 bps cut will lead to a massive rally.Today we reiterate what we followed up with that the US economy is going into a recession and that doesn't argue for any of the world's equity markets. Earlier in the US , The Federal Reserve cut the target on a key short-term interest rate by half of a percentage point Tuesday to 4.75% in a bold acknowledgement that the central bank is concerned the mortgage meltdown plaguing Wall Street and Main Street could hurt the economy. Such a big decision by the Federal Open Market Committee fueled a big day for the stock market. NO TECHNICALS IN THESE MARKETS! We will be back by mid trading session for free intra day tips and more market insight. Adhere to strict stop Losses in order to safeguard your interests.For more stock specific buy and sell , subscribe to out free newsletter or join our paid service.
Markets to open in red !
Tuesday, September 18, 2007
Indian Markets will open in red following weak global cues and rising crude prices.Earlier in the US , Stocks slipped Monday, one day ahead of a key Federal Reserve policy meeting, as investors worried that the central bank won't cut interest rates by as much as they had hoped.Tuesday's Fed decision, expected around 2:15 p.m. ET, is the big event of the session. Ahead of that, the government releases its producer price index for August. This is what we feel : Fed doesn't' cut rate :Markets will tank. Fed cuts rate by 25bps : Small time downtrend. Fed cuts rate by 50bps : Markets will be bullish. But Only for the time being.Read this! Former Fed Chairman Greenspan reportedly told news outlets that a risk of recession is greater now than it was at the beginning of the year. In an interview with Fortune, Greenspan also said that the sub prime mess was an "accident waiting to happen," and that the Fed is in a tricky situation now where they can't just cut rates anymore without risking boosted inflation. NO TECHNICALS IN THESE MARKETS! We will be back by mid trading session for free intra day tips and more market insight. Adhere to strict stop Losses in order to safeguard your interests.For more stock specific buy and sell , subscribe to out free newsletter or join our paid service.
Markets to be Edgy !
Monday, September 17, 2007
The Indian markets will show nervousness especially at the start of the week.Its going to to be volatile but a range bound trade till 18th Sep with a negative bias.The global mortgage crisis has reared its ugly head again, this time in the UK and the Indian markets too felt the jitters.Northern Rock, UK's largest mortgage lenders, have fallen by 24% after the Bank of England decided to offer it emergency funding. Northern Rock has £113 billion in assets.Earlier in the US markets on Friday,a day that started on a bearish note ended up sending the bulls into the weekend on a feel-good note. Consistent with this week's bias, though, stocks caught a bid and recouped just about all of those losses before mid-day. They then held their ground throughout the session and finagled a positive finish on some late-day buying interest. FINALLY THE WAIT IS OVER AS FED RESERVE MEETS THIS WEEK TO DECIDE ABOUT THE INTEREST RATES. No matter what the outcome, the stock market could be in for a wild ride. F&O cues: Futures Open Interest down by Rs 1183 crore Options Open Interest up by Rs 743 crore Nifty Sep Futures shed 7.5 lakh shares in Open Interest Nifty Oct Futures add 3.3 lakh shares in Open Interest Nifty Open Interest Put-Call ratio at 1.52 Vs 1.53 Nifty Puts add 6.1 lakh shares in Open Interest Nifty Calls add 5.5 lakh shares in Open Interest Technically, the support for the Sensex is at 15400 and the resistance to the up move at 15869 where as the support for the Nifty is at 4445 and resistance to the up move at 4580. We will be back by mid trading session for free intra day tips and more market insight. Adhere to strict stop Losses in order to safeguard your interests.For more stock specific buy and sell , subscribe to out free newsletter or join our paid service.
Markets follows Wall street!
Friday, September 14, 2007
Indian stock markets opened in green following the global markets.It was another gap up opening in a series of gaps ups and gap Downs .Heavy buying was seen across the sectors led by power, realty, capital goods and banking.Meanwhile in the US markets, Blue chips led a broad advance Thursday, as investors eyed upbeat news on GM, McDonald's and Countrywide Financial - and continued to bet that the Federal Reserve will cut interest rates next week.The jump in stock prices came in the face of a new record close for oil prices, which were down modestly most of the day before getting an upside push late in the session to close at $80.09 per barrel.The Asian markets are trading smartly in the green as well. F&O cues: Futures Open Interest up by Rs 1,622 crore Options Open Interest up by Rs 840 crore Nifty Sep Futures add 2.6 lakh shares in Open Interest Nifty Oct Futures add 4.7 lakh shares in Open Interest Nifty Sep Futures discount at 1.6 points Nifty Open Interest Put-Call ratio unchanged at 1.53 Nifty Puts add 7.9 lakh shares in Open Interest Nifty Calls add 5.2 lakh shares in Open Interest Technically, the support for the Sensex is at 15675 and the resistance to the up move at 15869 where as the support for the Nifty is at 4501 and resistance to the up move at 4580. We will be back by mid trading session for free intra day tips and more market insight. Adhere to strict stop Losses in order to safeguard your interests.For more stock specific buy and sell , subscribe to out free newsletter or join our paid service.
Free Intra Day tips for 13th Sep!
Thursday, September 13, 2007
Free Intra Day tip for 13th Sep for the last one hour: Markets below 4500 will turn weak. Short sell Nifty futures 4535-4540.Stop Loss 4547.Target1 4525.Target2 4501. Buy RelCapital Futures 1392-1395.Stop Loss 1385.Target1 1401.Target2 1415. Exit Intra day if targets achieved or stop losses hit. Adhere to strict stop Losses in order to safeguard your interests.For more stock specific buy and sell , subscribe to out free newsletter or join our paid service.
Markets Sluggish yet in Green !
The Indian bourses are trading in green though the rally is not convincing for one to go long.Broader markets have outperformed the benchmark indices.Earlier in the US markets , stocks slipped Wednesday, after a volatile session in which investors mulled record oil prices and a falling U.S. dollar ahead of next week's Federal Reserve policy meeting.The weakness in the housing market could push the economy to near-recession levels over the next year, before growth gets back on track in 2009, according to a quarterly forecast released Wednesday by the University of California at Los Angeles.Asian markets are as usual a mixed bag. F&O cues: Futures Open Interest up by Rs 584 crore Options Open Interest up by Rs 482 crore Nifty Futures Open Interest,Put Call Ratio unchanged Nifty Futures discount at 11 points, PCR at 1.53 Stock Futures add 3.8 cr shares in Open Interest Nifty Puts add 2 lakh shares in Open Interest Nifty Calls add 1.9 lakh shares in Open Interest We will be back by mid trading session for free intra day tips and more market insight. Adhere to strict stop Losses in order to safeguard your interests.For more stock specific buy and sell , subscribe to out free newsletter or join our paid service.
Markets Steady !
Wednesday, September 12, 2007
As expected , the markets opened in green following strong global cues but still left a lot to be desired.Markets are steady as of now but strength is yet to be seen.Fresh longs or shorts are not advised at all costs till picture becomes clear.Earlier in the US markets,the stock market had a good day on Tuesday with the major indices scoring sizable gains in a low volume rally that saw 1.3 billion shares change hands at the NYSE. The low volume reflected a sense of reserve ahead of next week's FOMC meeting, but nonetheless, profits are just as green on a low volume day as they are on a high volume day. They were all the more pleasing today, too, considering it was the sixth anniversary of the 9/11 attacks.Asian Markets are also trading in the green. F&O cues: Futures Open Interest up by Rs 539 crore Options Open Interest up by Rs 835 crore Stock Futures add 1.6 crore shares in Open Interest Nifty Futures Open Interest unchanged Nifty Futures discount almost unchanged at 12-points Nifty Open Interest Put-Call ratio at 1.53 Vs 1.58 Nifty Puts add 4.7 lakh shares in Open Interest Nifty Calls add 8 lakh shares in Open Interest Low Volumes are a big worry in The US as well as Indian Stock Markets. Mantra for the Day : Sit back and Relax.Patience is a virtue.Bigger and Better times will come. We will be back by mid trading session for free intra day tips and more market insight. Adhere to strict stop Losses in order to safeguard your interests.For more stock specific buy and sell , subscribe to out free newsletter or join our paid service.
Markets Rangebound !
Tuesday, September 11, 2007
Indian Stock markets are range bound after opening in the green with impressive market breadth.Its going to be volatile till the Fed's meet on 18th Sep.Earlier in the US, the major gauges ended little changed Monday, masking a volatile session in which investors weighed worries about the economy with the wish to scoop up stocks battered during the previous session's big sell-off.The weak jobs report raised bets that the Federal Reserve will need to cut a key short-term interest rate when it holds its policy meeting next week. Also, over the weekend, Fed president Charles Plosser said that although the weak August jobs report was not encouraging, it was not reason alone to cut interest rates.So its any body's guess. The Asian markets are trading in a mixed zone with more green than red. F&O cues: Nifty Futures discount at 8 points Vs 31 points Nifty Futures add 12.6 lakh shares in Open Interest Stock Futures add 3.5 crore shares in Open Interest Futures Open Interest up by Rs 2,322 crore Options Open Interest up by Rs 792 crore Nifty Open Int Put-Call ratio at 1.58 Vs 1.56 Nifty Puts add 9.5 lakh shares in Open Interest Nifty Calls add 3.6 lakh shares in Open Interest We will be back by mid trading session for free intra day tips and more market insight. Adhere to strict stop Losses in order to safeguard your interests.For more stock specific buy and sell , subscribe to out free newsletter or join our paid service.
Laxman Rekha Not Broken !
Monday, September 10, 2007
Nifty futures touched a high of 4498 after our call to short sell them.Update at 2:27 pm. Stop Loss of 4501 still stands. Don't put your stop loss till 3.10 pm. If Nifty Futures are above 4501 at 3.10 pm, Exit your positions. We still reiterate "Exit Intra day if stop Loss Triggered or target achieved at all counts." Adhere to strict stop Losses in order to safeguard your interests.For more stock specific buy and sell , subscribe to out free newsletter or join our paid service.
Free Intra Day tips !
Free Intra Day tip for 10th Sep at 1:40 pm :
Short sell Nifty futures 4477-4482.Stop Loss 4501.Target1 4445.Target2 4420.
Exit Intra day if stop Loss Triggered or target achieved at all counts. Adhere to strict stop Losses in order to safeguard your interests.For more stock specific buy and sell , subscribe to out free newsletter or join our paid service.
Volatile week Ahead !
As expected , the Indian Markets opened deep in red but recovered quite a bit in the first couple of minutes of trade.Asian indices are also in deep red but have recovered from their day low's. Meanwhile the reason for this turmoil , the US markets have still six and a half trading sessions until the Federal Reserve says for certain whether it's lowering interest rates.Investors have been hoping for weeks for a rate cut from the Federal Reserve, which meets Sept. 18. But now, after last week's disagreeable jobs report, Wall Street is more nervous than ever over the possibility that even the expected quarter-point rate cut next week may not be enough to save the economy from slipping into recession and stocks from sliding into negative territory for the year. Technically, the support for the Sensex is at 15275 and the resistance to the up move at 15700 where as the support for the Nifty is at 4440 and resistance to the up move at 4560. F&O cues: Futures Open Interest down by Rs 346 crore Options Open Interest up by Rs 1,219 crore Nifty Futures shed 4 lakh shares in Open Interest Nifty Futures discount at 31.55 points vs 17 points Nifty Open Interest Put-Call ratio flat at 1.56 Nifty Puts adds 12.80 lakh shares in Open Interest Nifty Calls adds 9.21 lakh shares in Open Interest We will be back by mid trading session for free intra day tips and more market insight. Adhere to strict stop Losses in order to safeguard your interests.For more stock specific buy and sell , subscribe to out free newsletter or join our paid service.
Stocks pulverised in US!
Sunday, September 9, 2007
Stocks slumped Friday after a surprise drop in August payrolls raised worries that the problems in the housing and financial markets are spreading to the rest of the economy.The stock market gapped aggressively lower off the open following the much weaker than expected Non-Farm payroll data.Whether Ben Bernanke and the other bankers will cut the fed funds rate at the next meeting - and by how much - has been in debate over the last few weeks as investors mulled the credit crisis versus signs of a still-strong economy. Till than, wait for a gap down opening in the Indian Stock markets too.
REL Target achieved !
Friday, September 7, 2007
Target for REL futures achieved.Don't carry your short positions.Book Profits and Exit. Nifty futures target also quite near to target price.Investors with high risk appetite can wait a bit longer to book profits ( 4465 looks achievable ).Others can book profits at 4480.
Adhere to strict stop Losses in order to safeguard your interests.For more stock specific buy and sell , subscribe to out free newsletter or join our paid service.
Directionless markets !
Free Intra Day tips for 7th Sep : Short sell Nifty futures 4510-4512 . Stop Loss 4525.Target 4480. Short sell REL Futures 868-870 . Stop Loss 875. Target 855.
Exit Intra day if stop Loss Triggered or target achieved at all counts. Adhere to strict stop Losses in order to safeguard your interests.For more stock specific buy and sell , subscribe to out free newsletter or join our paid service.
Markets to Trade in Green !
The Indian stock markets will have a gap up opening following the surge yesterday and good global cues. All is not rosy though with the Asian Indices being a mixed bag. Earlier in the US markets ,After running into some headwinds early on, amid more news tied to lingering credit concerns, additional evidence to suggest Wednesday's widespread sell-off was overdone helped stocks recover some ground.However, the major averages closed off their highs, volume was light again, and market gains were modest at best as investors weren't willing to place huge bets ahead of tomorrow's influential jobs report.Among the handful of encouraging news items giving participants a reason to recoup some of yesterday's losses, the bulk of back-to-school sales results checking in better than expected offered some reassurance that the consumer is holding up rather well.The The Dow Jones industrial average (up 57.88 to 13,363.35) and the broader S&P 500 (up 6.26 to 1,478.55) index both gained around 0.4 percent.The tech-fueled Nasdaq Composite (up 8.37 to 2,614.32) gained 0.3 percent. Technically,The support for the Sensex is at 15490 and the resistance to the up move at 15879.The support for the Nifty is at 4477 and resistance to the up move at 4550. F&O cues: Futures Open Interest up by Rs 1,674 crore Options Open Interest up by Rs 1,251 crore Nifty Futures add 2.5 lakh shares in open Interest; discount at 17-points Nifty Open Interest Put-Call ratio at 1.57 Vs 1.46 Nifty Puts add 19 lakh shares in Open Interest Nifty Calls add 2.8 lakh shares in Open Interest A special Newsletter is on the on the cards " Impact of US Economics on Indian Markets ". We will be back by mid trading session for free intra day tips and more market insight. Adhere to strict stop Losses in order to safeguard your interests.For more stock specific buy and sell , subscribe to out free newsletter or join our paid service.
Markets Quiet!
Thursday, September 6, 2007
The Indian stock markets are trading very quietly but in the green after a gap down opening.As is the norm nowadays, weak global cues are halting our progress.Also , Volumes have been very low in the last three trading sessions.That doesn't argue well fro the markets. Earlier in the US markets,Stocks closed off their lows Thursday but still finished with widespread losses. Renewed worries about credit markets and data that failed to fuel rate cut hopes left the major indices looking overbought on a short-term basis, especially after averaging gains of more than 4.0% over the prior four sessions. ITS ALL ABOUT THE FED RATE CUT. Also dragging on stocks: the afternoon release of the Federal Reserve's 'beige book report on the economy, which added to confusion about whether the central bank will cut short-term interest rates anytime soon. Technically,The support for the Sensex is at 15305 and the resistance to the up move at 15675.The support for the Nifty is at 4450 and resistance to the up move at 4520. F&O cues: Futures Open Interest up by Rs 952 crore Options Open Interest up by Rs 926 crore Nifty Futures add 12 lakh shares in Open Interest; discount at 43 points Nifty Open Int Put Call Ratio at 1.46 Nifty Puts add 6 lk shrs, Calls add 7 lakh shares in Open Interest We will be back by mid trading session for free intra day tips and more market insight. Adhere to strict stop Losses in order to safeguard your interests.For more stock specific buy and sell , subscribe to out free newsletter or join our paid service.
Markets to open Gap up !
Wednesday, September 5, 2007
The Indian bourses would open in the green following the impressive performance in the US markets.Yesterday was another lacklustre trading day as predicted with only sectoral outperformances. The volumes were very low.Today is going to be an exciting day for traders. Earlier in the US Markets, Stocks surged Tuesday after early economic reports supported hopes that the Federal Reserve may cut interest rates soon, while Apple and Yahoo! led a rally in tech shares. After initially taking a breather, as investors returned from the Labor Day weekend reassessing the sustainability of recent market gains, it didn't take long for the major averages to regain momentum and extend Friday's relief rally.Today's weak economic data gave investors another reason to price in an increased likelihood that policy makers will cut the Fed Funds rate at their September 18 FOMC meeting. The Asian Indices are a mixed bag but none with a deep negative bias.
Mantra for the day :Don't go short.Buy at sharp dips and book profits. Technically,The support for the Sensex is at 15305 and the resistance to the up move at 15675. The support for the Nifty is at 4450 and resistance to the up move at 4520. F&O cues: Futures Open Interest up by Rs 1,481 crore Options Open Interest up by Rs 1,275 crore Nifty Futures add 13.5 lakh shares in Open Interest Stock Futures add 69 lakh shares in Open Interest Nifty Open Interest Put-Call ratio at 1.50 Vs 1.53 Nifty Puts add 10.8 lakh shares in Open Interest Nifty Calls add 9.6 lakh shares in Open Interest We will be back by mid trading session for free intra day tips and more market insight. Adhere to strict stop Losses in order to safeguard your interests.For more stock specific buy and sell , subscribe to out free newsletter or join our paid service.
Flat Markets !
Tuesday, September 4, 2007
Markets were trading flat in the opening trades with a positive bias.We feel its not a right time to go long.There was not much buying or selling by FII's yesterday.It was a lacklustre trading session.With the trading volumes at such low levels,its a dicey situation.As the US markets were closed yesterday, range bound trading will be the norm again.The Asian Indices are also a mixed bag today.Sector based buying and selling will be prominent today.
F&O cues for 3rd September: Futures Open Interest up by Rs 2,232 crore Options Open Interest up by Rs 1,446 crore Nifty Futures add 6 lakh shares in Open Interest, discount at 32-points Stock Futures add 7.5 cr shares in Open Interest Nifty Open Interest Put-Call ratio at 1.53 Vs 1.45 Nifty Puts add 17 lakh shares in Open Interest Nifty Calls add 5.5 lakh shares in Open Interest Technically , the support for the Sensex is at 15305 and the resistance to the up move at 15675. The support for the Nifty is at 4450 and resistance to the up move at 4501. We will be back by mid trading session for free intra day tips and more market insight. Adhere to strict stop Losses in order to safeguard your interests.For more stock specific buy and sell , subscribe to out free newsletter or join our paid service.
Markets to open in green but Edgy!
Monday, September 3, 2007
The Indian stock markets are likely to open in green.But it would be a range bound trading session in the first half an hour of trade.Don't take positions till 10.30 am.We feel a direction is round the corner but not just as yet! Technically, the support for the Sensex is at 15185 and the resistance to the up move at 15410.The support for the Nifty is at 4425 and resistance to the up move at 4500. F&O cues for 3rd September: Futures pen Interest up by Rs 2,478 crore Options Open Interest up by Rs 2,563 crore Stock Futures add 10.3 cr shares in Open Interest Nifty Futures add 7 lakh shares in Open Interest Nifty Open Interest Put-Call ratio flat at 1.45 Nifty Puts add 2 lakh shares in Open Interest Nifty Calls add 17.6 lakh shares in Open Interest We will be back by mid trading session for free intra day tips and more market insight. Adhere to strict stop Losses in order to safeguard your interests.For more stock specific buy and sell , subscribe to out free newsletter or join our paid service.
No Respite from the US Markets !
We are back from our weekend holiday and as usual will provide you with all the happenings in the US markets on Friday and the subsequent developments.These are important issues as they would lay the road map for the Indian markets.we reiterate that we are not a secular market like shanghai as yet and we need the knowledge of the happenings of the US markets and the Asian indices if not as guiding forces but as an indicator of the global economic viewpoint. Earlier in the US markets on Friday ,Stocks rallied Friday after investors got some reassurance that forces are at work to help stem the contagion effect of the subprime mess on the world's largest economy.However, with September earmarked as the worst month of the year for all three of the major averages, according to The Stock Traders Almanac, another light volume day left stocks vulnerable to some late-day profit taking that closed stocks at afternoon lows.Investors on the wrong side of the tape continued to run for cover.
What the fed and President Bush had to say :According to Federal Reserve chairman Ben Bernanke described the recent housing downturn as "sharp" and added "that further declines in homebuilding are likely" in a highly anticipated speech Friday morning. But he also hinted that the central bank was prepared to cut rates if necessary, news that may soothe jittery investors.He said that "if current conditions persist in mortgage markets, the demand for homes could weaken further, with possible implications for the broader economy." He added that the Fed was "following these developments closely." Also, Offering federal aid for strapped mortgage holders, the White House outlined proposals Friday to help borrowers hard hit by credit problems and the housing slump.The initiatives unveiled by President Bush, are intended to help homeowners with risky mortgages keep their homes. Bush also discussed efforts to prevent these kinds of problems from arising in the future. But The White House said the plan was not a bailout for lenders or speculators. What we feel : We feel that the Sub Prime issues are here to stay for some more time.They may not end the Bull run but they will definitely have a significant impact.Also the housing boom has left millions of low income working families worse off.The market has been in better spirits, for the most part, over the past two weeks than in midsummer, when fears that lending troubles would freeze up credit sent stocks tumbling.But fresh cash injections into the system and the Fed discount rate cut helped markets regain lost ground.Investors still want more evidence that rates are indeed about to come down.Lots of Economic data scheduled so keep your fingers crossed.
Disclaimer:
While this section spares no effort to come out with market calls, it is made clear that all these calls are given based on information collected at that specific point of time. Subscribers are advised to keep in mind the uncertainty of the market and use their own discretion in exercising their preferences. Nobody from Nsestockstips.com can be held legally or otherwise responsible for any losses or damages the subscribers may incur acting upon the recommendations made in this section.
