Watch out for 7800. Thats a more important support that needs to be broken first.

Regards...

Dear BSR,

Who are those `TWO` BIggies??

Regards...

I like the way you accept the movements of markets and come to terms with the markets as the first guy!!!.
I see 7800 will hold for DOW tonight also the all important 3 day of the bailout meeting is today. Its outcome will ensure how fast the fall / recovery will be.

Regards...

DUji,

What ensued after 2 20 PM was, to put it in simple terms, `A minor crash`.
In the bigger picture a crucial support level at 2650 was broken very decisively. RIL contributed genorously by falling 80 rs in little more than 40 mins[though it was the only factor averting a crash in the past two sessions]
DOW which was living out of oxygen cylinders for the past 2 sessions will be the only factor to save from further crash for sure. Hope it does not run out of gas.

Regards
...

Hi DUji,

Markets at 2700 an RIL up by 5%. Just cant comprehend how the market patterns change so swiftly and so unpredictably. No wonder why the quest for an ultimate tool [ Charts, Pivots, Waves, SOTs] to gauge markets is still on. I think this one will go for eternity.

From 2 10 PM to 2 20 pm nifty fell by 45 points. Somebody is having a blast by shorting.

Regards...

Hi DUji,

Right from Nov-7, when nifty closed at 3148, it has been going one way, the southern way. Till now it has lost 14.77% in a matter 6 trading sessions. Do you think whether is it the right time to cover the shorts ??[The charts may shout Oversold, but the ground reality has always been different in these unpredictable times].

Regards...

A very Interesting and informative piece of message.. a rarity in this board now a days. Thanks for sharing here. Please provide me the actual link, if you still have it with you.

Regards...

Dear Karthikn, DOW has gone below 7800 to 7774.58 so far. Gud to see DOW with some GREEN DOTs now! Let us hope that remain the situation for time being as expextec by bond5455! DOLALR YEN ratio went below 95. As per some Forex Currency experts, their BEARish targets for that ratio is 80! Let us hope that ratio move to 99! Gud luk & happy investing! :)...

Dear Karthikn, TWO Biggies = DIIs / FIIs! Gud luk & happy investing!...

Yep Karthikn, Looking at the way DOW falls, it seems outcome is priced in as NEGATIVE by some BIG PLAYers! -- November 20, 2008 - 5:40 AM Prospect for auto bailout dims WASHINGTON (Reuters) - Chances dimmed that a last-minute plan being crafted by Republican U.S. senators, with White House support, to provide billion (16 billion pounds) to bail out U.S. automakers would receive enough backing from Democrats to pass before the end of this week. As the hours ticked down on this year`s legislative session, Democratic leadership expressed deep scepticism the talks would lead to a compromise acceptable to all parties. Congress has at most two days remaining in its post-election session. Without a deal in that time, any bailout is likely to have to wait until the new Obama administration takes over in January. `I won`t say it`s completely over. I`m still having conversations with people. But it doesn`t look good,` Sen. Robert Bennett, a Utah Republican, said of chances lawmakers would strike a deal that could pass. Failure to craft a deal carries the risk that one or more of the U.S. automakers -- General Motors, Ford Motor or Chrysler -- could be forced into bankruptcy. Senate Minority Leader Mitch McConnell said in remarks on the Senate floor that the compromise `is the only proposal being considered` that has any chance of becoming law now. The approach, spearheaded by Republicans Christopher Bond of Missouri and George Voinovich of Ohio, would amend a plan that extended billion approved in September for helping Detroit retool factories and make more fuel-efficient cars. -- Gud luk & happy investing! :)...

Automakers in USA are in doldrums. Finance companies and banks are in tatters. Dow may see 7500 in coming days. If recession prolongs then it would come down to 6000. So for us the right time to enter the market would be Jan to March 09. Nifty would touch 2300 in Jan 09 and will remain there depending on election results. Daryl Guppy Fund today said that if RIL breaks 1000 it can go down to 500. Even if we presume that it comes down to Rs. 800 our market would tank. This fear is now dogging all investors. So Nifty 2300 is a self fullfiling prophecy. With commodities and metals falling globally, RBI is reluctant to reduce interest rates and FM rightfully wants industry to absorb the high cost of inventory, as they would be beneficiary of low input cost. MNCs are willing to dump their inventory to remain liquid, while Indian industry wants to see selling prices above their production cost. I clearly see a possibility of industry compelling to absorb losses. Otherwise their future sales would be hit and working capital get eroded. Most of them are on high debt leverage....

DUji, What ensued after 2 20 PM was, to put it in simple terms, `A minor crash`. In the bigger picture a crucial support level at 2650 was broken very decisively. RIL contributed genorously by falling 80 rs in little more than 40 mins[though it was the only factor averting a crash in the past two sessions] DOW which was living out of oxygen cylinders for the past 2 sessions will be the only factor to save from further crash for sure. Hope it does not run out of gas. Regards ...

Hi Karthikn, as you`re aware I`m a total dud when it comes to technicals. I`m guided more by conventional wisdom - and it says there is almost always a pre-Christmas sell-off by FIIs - this may come anytime between NOW and 15th-20th of December, 2008. I have some long positions in IFCI, ABAN and TISCO. In case the market does rally beyond my acquisition levels, I will exit ... and will acquire new(er) longs only whenever NIFTY strikes 2500 or below ... I do anticipate such opportunities between now and the election time ! Of course my intraday trades continue as they do. Regards, DU....

Hi Karthikn, as I have noted at the bottom of the post, this article was spotted by me at rediff dot com three days ago ... articles keep disappearing there, and it is indeed difficult to keep a track ... that is precisely why I reproduced the entire thing right here at MMB. Regards, DU....