Decoding the Market through Ground Realities & What Should You Do?

August 8, 2013

Decoding the Market through Ground Realities & What Should You Do?

Greetings from Hitesh! Another eventful week is over. I take this opportunity to wish “Eid Mubarak” to my Muslim friends. Coming back to the market…..you must be hearing some of the following sentences.

We are in Bear Face /  There is a small bull in bear phase / Economy is going to perform worst in coming time / Market is going to go down further / Everything is uncertain at this moment / Government is 100% ineffective in dealing with the economic issues of the country.

In short there is no clarity regarding the market and coming period. Disclarity always leads to No-actions or Wrong-actions. Today I am going to deal with the Ground Realities of our market. I am sure; it would give you a perspective to look at the situations from a difference angle.

The Election Year

In our article titled “Inside Story of Dollar Appreciation/BSE Sensex & Union Elections” dated 22^nd June,2013, we had studied last 14 years data and proved to you following points. (If you have missed, you can read the same on http://bestofhiteshparikh.blogspot.com)

1. Before Election USD has always moved up against India Rupee.

2. Before Election Indian market has always been down…..and it moved up dramatically, after the results are out or the government is formed.

3. There have always been uncertainties in past 14 years before elections.

What is happening Now:-

Just see, the above 3 things are happening now also….USD is heading towards Rs.65 / Market is down / and we are having uncertainties. In short there is no difference this time also.

Hint for the Smart Investors: -

When the situations were seemingly uncertain before all the elections….who was buying before all the elections? The only thing media talk is about selling e.g. so and so sold so much shares or so much % of holding was offloaded.

Unfortunately, they are not asking the buyer, why he is buying? 

There can be many reasons for selling (booking profit, need money for marriage, education or some other purposes like to pay for the losses )…..but any buyer will only buy, if he sees that the price will move up in foreseeable future.

Most of the stocks are at 2008 levels or below 2008 levels….if situations are so bad as media is making it out….who is buying?

Our Personal Call:-

Knowing above secrets we are not surprised by the market moves…..in fact, on 31^st Dec.,2012, in our final call for 2013, we had given you the downside market target of 15700. So, we are well prepared to focus on the opportunities market is going to give us. Just see what we did last week.

Our Last Week’s Performance:-

	6th Week Performance :- 5th August to 9th August
Sr.No.	Company Name	Reco.Date	Recom.  Price	High Made After Our Call	Date on Which It Made This High	Absolute Profit in %
1	HCL Tech	5th August	941	961	5th August	2.13
2	Biocon	5th August	318	340.6	8th August	7.11
3	Dabur	5th August	162	165	5th August	1.85

What Next?

If you have a passion and purpose to make money, we have many profitable opportunities daily, weekly, monthly and yearly. You just need to approach us. Will you do that?

Have a Great Weekend.

You can follow me @hiteshmparikh on twitter.

Live With Passion…Invest With Passion.

Hitesh Parikh.