Posts Tagged: stock

 

8) There is a lot of cash on the sidelines.

There is always a lot of cash on the sidelines and that never changes. The buyer of a stock, thus taking cash off the sidelines, gives it to the seller who puts it back on the sidelines.

7) There are more buyers than sellers (or vice versa).

Maybe technically there are more bodies buying or selling than the other side but the number of shares traded has to be exactly the same as for every share bought is a share sold. It’s the aggressiveness of one side or the other that matters.

6) Stocks are attractive because they aren’t quite as overpriced as bonds.

If bonds are artificially priced, shouldn’t stocks be? Overpriced though can of course remain overpriced.

5) The higher stocks go the more attractive and less risky they are.

For long term investors, the more one pays in price today with respect to valuation, the less return they should expect in the future.

4) Stocks aren’t expensive because they are still cheaper than the valuations seen in March 2000.

Really?

3) There is no alternative.

In bull markets there is always no alternative to common stocks. In bear markets, there are always alternatives.

2) We’re going to get a rotation into stocks and out of bonds.

For every portfolio rotating out of bonds has to see someone rotating in and that buyer of stock has someone rotating out. Again, it’s the aggressiveness of the moves that matter.

1) The selloff in stocks was profit taking.

Does anyone refer to a rally as profit seeking?

India: Where’s The Cheese?

03 May 2015 - 7:53 am
 
We have increased the weight of IT stocks such as Infosys and Wipro by 100 bps, taking IT to a more neutral position versus underweight previously. Despite risks to near-term earnings from cross-currency movements (largely factored in our assumptions) and short-term demand issues in certain consumer sectors (energy, telecom), we believe investors may be better off keeping some USD hedges in their portfolio. The strengthening of the INR versus other currencies and stability versus the USD may reverse if crude oil prices go up further and if there is global volatility on renewed speculation on ‘Grexit’.  
We have increased Maruti’s weight by 100 bps, noting the company’s strong suite of new products, which are likely to drive volumes in FY2016E. Valuations are not cheap and overall market volumes may disappoint.

>> Read More

 
  • UK FTSE -0.4%
  • German DAX -0.2%
  • French CAC +0.3%
  • Italy MIB +0.6%
  • Spain IBEX +0.6%

Slight pullback in German shares after a record high on Friday. There’s nothing a 21st century stock market likes more than cheap money and a falling currency, especially if you’re in the business of exporting.

 

TREND-

The temptation when a market is making new highs is to think it is too expensive and you missed it. The problem becomes that over time as the markets makes new highs, the dynamics above continue to play out until the very last person who ever thought they might buy a stock does. That is the last point at which you want to be buying. 

ENJOYEDBLAST

As Expected :ARVIND MILLS……………….Zoomed Like ROCKET 

Dr.Reddy :Spurted Intraday sharply.

Wockhardt ,STAR ,IRB……………………Our Recommended Stocks to our Subscribers were on Fire 

Exide-

HOTBUY

48-hours

GRAB & Hold for 48 hrs…………………..Sell Tomorrow Morning or on Monday !

Thirsty Traders ,Above 183.50………………………Grab it !

Watch Rally upto 189——190.50 in hrs only.

APRIL Future

+Buy 200 Call…………………………of APRIL ,Today itself and Forget !

Today Between 182–179…………..if u get ,GRAB in TONS TONS ……

CAIRN-SELL NOW

Above 223.75………………………….!!

We see BLAST upto 227————————230 in hrs only.

(Huge short covering ? )More Details to our Subscribers

lt1

Slide Upto 1619——————-1595 is possible.

Yes ,101% Crucial Support at 1595.

MOTHERSON SUMI

Watch :470 level ,Crucial Support or Last Hope

Break with volumes and not crosses 476 will take to 456—-451 level in hrs only.

More Stocks ,More News to our Subscribers ,Updated at 8:59/26th March/Baroda

Trading & Marriage

19 March 2015 - 21:15 pm
 
  1. There are people that are fun to date but are not marriage material. There are stocks that have great momentum that you can trade, and others with growth and earnings that you can invest in over the long term.
  2. When dating, you have to have a ‘deal breaker’ reason to end the relationship. When buying a stock, you always need a ‘stop loss’ price level that tells you the trade is just not working and you should exit.
  3. You have to find the right person for you. Someone might be a great person, but not be the right person for you. Some stocks could be too volatile or too slow moving for you to trade. You have to find one that works for you.
  4. When you marry the wrong person, the longer you wait to divorce them, the more expensive the divorce will be. The longer you let a losing trade run, the larger your loss will become.
  5. The biggest predictor of future behavior is past behavior for both people, and stocks. The definition of insanity is expecting different results from either, despite past behavior.
  6. You should devote time and attention to your spouse, because that is the key to a successful marriage. In trading, you need to devote yourself to your trading plan and risk management in order to be successful.
  7. Successful stock traders do not marry their stocks, they only date them for as long as they are profitable.
 

Closing changes for the major European bourses:

  • UK FTSE -0.2%
  • German DAX -0.5%
  • French CAC -0.3%
  • Spain IBEX – flat
  • Italy MIB -0.3%

Despite the declines it was a good week for European stocks as the market gets excited about QE:

  • UK FTSE +1.3%
  • German DAX +1.4%
  • French CAC +1.9%
  • Spain IBEX – +1.6
  • Italy MIB +1.2%

CME Hikes Silver, Brent, RBOB Margins

06 February 2015 - 6:27 am
 

In case algos still haven’t gotten the message to jump all aboard into the S&P, here comes the CME with a gntle nudge in the form of 90 pages of margin hikes including Brent, RBOB and, just in case there is still anyone who wishes to trade paper precious metals against the BIS, silver. In fact, at first glance it appears the only future  whose margin was not hiked was stocks: apparently stocks are never volatile enough for a margin hike.

 

European stocks have been generally lower every day this year but they staged a modest rebound on Wednesday.

  • UK FTSE +0.7%
  • French CAC +0.6%
  • German DAX +0.3%
  • Italy MIB +0.1%
  • Spain IBEX +0.4%

14 Meaningless Stock Market Phrases

05 January 2015 - 15:37 pm
 

14 Meaningless Phrases That Will Make You Sound Like A Stock-Market Wizard

“The easy money has been made.”
“I’m cautiously optimistic.”
“It’s a stockpicker’s market.”
“It’s not a stock market. It’s a market of stocks.”
“We’re constructive on the market.”
“Stocks are down on ‘profit taking.’”
“The trend is your friend.”
“More buyers than sellers.”
“There’s lots of cash on the sidelines.”
“We’re in a bottoming process.”
“Overbought.”
“Buy on weakness.”
“Take a wait-and-see approach.”
“It’s a show-me stock.”

 
  1. The easy money has been made

When to use it: Any time a market or stock has already gone up a lot.BLUE CHANNELS IN INDIA

Why it’s smart-sounding: It implies wise, prudent caution. It implies that you bought or recommended the stock a long time ago, before the easy money was made (and are therefore smart). It suggests that there might be further upside but that there might also be future downside, because the stock is “due for a correction” (another smart-sounding meaningless phrase that you can use all the time). It does not commit you to any specific recommendation or prediction. It protects you from all possible outcomes: If the stock drops, you can say “as I said…” If the stock goes up, you can say “as I said…”

Why it’s meaningless: It’s a statement of the obvious. It’s a description of what has happened, not what will happen. It requires no special insights or powers of analysis. It tells you nothing that you don’t already know. Also, it’s not true: The money that has been made was likely in no way “easy.” Buying stocks that are rising steadily is a lot “easier” than buying stocks that the market has left for dead (because everyone thinks you’re stupid to buy stocks that no one else wants to buy.)

2.I’m cautiously optimistic. >> Read More

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Technically Yours,
Team ASR,
Baroda, India.