Comments on: Technicals 31st Jan 2012

By: Jai

Jai — Thu, 02 Feb 2012 07:30:07 +0000

In reply to paragj.

At the moment no. But I’m thinking Gold will not cross 1765. AND NO, its not a double bottom in gold unless it crosses 1807. Silver some 34ish cap.

Cheers,
Jai

By: Jai

Jai — Thu, 02 Feb 2012 07:28:23 +0000

In reply to shivakn.

Shiva,

The important thing was extinguishing 97% of the shorts at 4530 support.
We may even end up not seeing 4800 but the most important thing is to take action only when the market agrees with the view one holds. Imagine if one had been short in this market – the market would have delivered a knock out blow. The market is going up bcos of those trying to stand in front of this market. The important thing in this business is to survive for the long term. Always play extreme defense, the rest will fall in place.

Best,
Jai

By: Rut

Rut — Thu, 02 Feb 2012 06:44:47 +0000

In reply to Jai. Real surprised that bad news is getting sucked in easily. Lot of strength in the market. I personally felt that today's news was as bad as you get for the FII community. REgards

By: paragj

paragj — Thu, 02 Feb 2012 05:50:25 +0000

Hi Jai,

Do you see Gold & Silver also coming down along with all other asset class? Or Gold/Silver could hold its ground?

By: shivakn

shivakn — Thu, 02 Feb 2012 04:55:56 +0000

Sad we missed the 700 point rallly that started on Jan 2nd (400 from 14th Jan) with the anticipation of reaching 4800 🙁

I am sure we might see 4800 in future but current trend seems to be positive till there is a clear southside indication.

Though Baltic is showing global economic weakness we seem to get more and more money from FII’s. Not sure when the party will end though.
-Shiva

By: Jai

Jai — Wed, 01 Feb 2012 23:52:58 +0000

In reply to shabbirsp.

Hi Shabbir,

It is quite possible it is a sucker rally – the more important thing is even if this turns out to be a bullish set up we would expose ourselves to tremendous risk at this point in time. Preserving cash at this point makes a lot of sense. 5275 or little over that should reverse the market, atleast for the short-term

I’m amused when I hear commentators say Europe is close to being solved and markets are rallying because of that. Solving europe is a mathematical impossibility. At best the inevitable will get postponed.

By: shabbirsp

shabbirsp — Wed, 01 Feb 2012 10:25:16 +0000

hi jai
i have a gut feeling that this is a sucker’s rally, as the markets are discounting all the bad news, if that’s the case how much upside one can see from here?
regards

By: Jai

Jai — Wed, 01 Feb 2012 09:10:15 +0000

In reply to jayaramg. I do not know, how far down it will come during the pull back. BUT the risks of being long now is VERY VERY high. Patience is a virtue

By: ajayS

ajayS — Wed, 01 Feb 2012 08:47:29 +0000

Dear Jai,

Nifty is above 5200, what is your mid market view

Ajay

By: jayaramg

jayaramg — Wed, 01 Feb 2012 08:23:47 +0000

Jai…

Any update.. its been a battle of nerves for some days.. Do you really see at 4800 coming..?

Regards

Srikanth