- The market is never crazy. It is the way we look at the market, with our biases, that gives us the impression of madness
- Lots of people have called S&P500 rally over last two months as totally crazy.
- Good News continues: Employers in the U.S. added 321,000 jobs in November. This was the biggest job gains since January 2012. It resulted in USD Index Breakout above 89.
- This is just the beginning of a multiyear dollar cycle and there’s still plenty of room for the rally to run…….Faros Trading LLC
- How is INR going to respond to Dollar Index breakout? The Chart says - steady depreciation from current levels to 62.4 in near term.
- The Dollar strength means more declines for Gold in Dollar terms.
- US market did not go up sharply on Friday despite good jobs data because now the talk: - Is the Fed now more likely to raise rates sooner than later?
- The Fed’s new “optimal control” study finds that the best time to start lifting the fed funds rate from near zero is right now, in the fourth quarter of 2014, followed by increases to 1.4% by the fourth quarter of 2015, 2.6% by the fourth quarter of 2016 and 3.5% by the end of 2017
- The next meeting of the US Fed’s Open Market Committee is on Dec. 16-17
- In India, the government will release inflation data based on the Whole-sale Price Index on Monday, December 8.
- I covered Ambuja Cement in previous post, point # 11 as stock waiting to move out of tight range. Well, luckily that's what stock did on Friday
- Market Leaders continue to surprise on the upside. That's what ITC did last week - made new high with huge volumes
- Jubilant Foodworks made a new high above 1380 four weeks back. Now, stock has pulled back. Is this a buying opportunity?
- Stocks of Capital Goods sector made a big move last week. Keep an eye on stocks like ABB, Siemens, Bharat Electronics, Punj Lloyd and Crompton Greaves for any follow through move
- KPIT has been stuck below 190 for entire 2014. What does the big volume move last week signify - Breakout on cards?
- Carborundum Universal: I covered stock on Dec 02 (Point 16) as 200 dma bounce play when stock was at 169. It seems the strategy worked and stock on Friday closed at 185
- Bangalore based Real estate players like Sobha and Brigade doing very well. Will this impact Purva too? Will stock bounce from 200 dma? Last time it did.. Exit if stock closed below 200 dma.
- Every stock is not a rewarding investment in Bull market. Some just move completely in opposite direction. Example: Jindal Stainless
- Stocks are cheap for a reason: A common mistake a lot of investors make is to buy a stock solely because the PE ratio looks cheap.- O'Neil
- There is no point finding a pattern where no pattern exists. Some charts are impossible to read. Example: Delta Corp
- When a pattern does not work out the way you envisaged, it leads to lot of disappointment - but then that's market for you. Exit and move on. Example: Snowman Logistics. We don't know where the support is now
- Low Crude Oil prices are for real: According to a report by the International Energy Agency last month, most producers in North Dakota's Bakken formation, an area that's been a key contributor to the shale revolution, can remain profitable even if oil falls to $42 per barrel
- Cheaper oil should act like a shot of adrenalin to global growth. A $40 price cut shifts some $1.3 trillion from producers to consumers.
- To say that you can predict the future from past data is patently untrue. - Steve Clark
- All opportunities in life are created because people are uncertain about almost everything in their lives.
Please share your comments on what you think of market observations, market and trading in general
Disclaimer – The state of the market notes is Deepak’s perspective on the market. The column is purely for educational purpose. Nothing contained herein is a solicitation to trade or a recommendation of a specific trade. By reading this publication you agree to make no trade relying in whole or in part on the comments of the writers