Special Market Comments -Gone with the Wind

I know that you must be waiting to see my comments and it will be too late for my comments in the morning when a sensational run by Bulls takes past my destination 18K. That is why I am posting my special comments in the evening. After 18K what next. It is Destination 20K but not so early. We will have to wait quiet sometime on this.

Those who bought IFCI, RNRL, RIL, GMR Infra, SBI, IDBI after reading my market comments must have enjoyed the rally today. IFCI was a gem giving a great opportunity for those who bought it after market opened as I had said that IFCI had bottomed out. More than 12% returns in a single day. That is punters at their best in this bull market.

Their seems to be some huge activity happening there and leave worry for some time aside and enjoy the rally. However you should be very fast and make exits with small gains. Those who have exited earlier and have not entered yet can try to make stock specific entries like I had given today morning. When markets can rise 800 points in a day they can even fall 1500 points in a day. Be cautious and play with the punters.

Markets have run up substantially on account of pure speculation and way ahead of fundamentals when FY09 expected EPS is 1000 which means sensex PE is very high and so the volatility will remain high.

The reason I am giving cautious signals is to be on the safe side rather than get caught on the wrong side. The returns will give more joy to those who followed my zero cost price stock concept. They must be jumping in joy on seeing sensex make such moves. RIL alone contributed 185 points and Infosys scored a century.

Relax for the time being. I will keep you guiding on markets.