Market Comments - Sense Prevails

Finally some 'sense' has prevailed and markets corrected meaningfully. Reliance industries results were above market expectations but there was no bonus or stock split ie scenario 2 which I guessed correctly. The results came in the evening and not during market hours but I believe the news was sensed by market and so came the correction.

This was bound to happen as I had said that we had seen on wednesday was only a trailer.

What happens next ? Markets may open with a gap up opening again which may give wrong signals that recovery is imminent but selling should come at every rise now.I feel there is still lot of pain is left in the system. Markets will correct further and based on past experience it will take some time before markets recover and they are back on the way to destination 20K.

GMR Infra posted a consolidated net profit of 49 crores but these results are not significant now as the future profits are going to count. Buy GMR Infra from below 150 levels onwards.

Powergrid touched close to 150 as I had said and now see where it goes.

IFCI is giving another opportunity make free shares. Buy at lows and make some more free shares in this.

Rel Comm is one stock to watch out for. This stock did not rise as much as the other reliance pack and is now available at good price. Keep a track on this and buy for a target of 1000 Rs in next 3 months.

Oil prices have touched $90 per barrel and market cannot continue ignoring this. When there is rally all bad news are set aside but when the markets start tanking even a slight negative news is taken in a big way.

Wait for some stability before you buy. Enjoy the show from sidelines !!!!!!!!!

"To bear failure with courage is the best proof of character that anyone can give."

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