Listless at best!

Today’s market was listless at best. There was no sense of purpose in the way stocks moved. It wanted to get ahead and went up; while it had opened like it wanted to go deep down. I am calling it listless though volatile could also be the word used, since volume fatigue seems to have set in. Also, the ones that have sunk in deep have seem to settled there accepting the battering as fate. The ones that seem to go up higher also do not show any promise. RIL for one is a case in point. Many BUY recommendations, positive news flow and above all looks well positioned to move up. Fundamentally and technically. However, on a daily basis the movement appears not to be very convincing, appears completely tentative to touch back to INR700 levels at the drop of the hat.

That only serves to tell, that it is only about sentiment for the moment. It would not take long for this thing to reverse therefore. Then, RIL moving smartly to INR900 would appear a cakewalk. Just that at this moment the time is just not perfect. RIL was being used only as an example. Take any stock, of the index which has steady fundamental outlook in the medium term, the same logic would apply.

And yes this is not limited to index stocks alone.

Finally, we enter the last week of 2011 next week, where the world would slow down materially; and would go about merry making. On the other side of December 31, 2011 lies hope and of course the earnings season for Q3 for us. Will that change course for the battered markets? It could be 50:50.

Let’s wait and watch. For now, Christmas is upon us. Season to be Merry and season to be Happy for what GOD has bestowed upon us. Will wish one and all today, tomorrow and on Christmas eve – A fun filled season ahead. GOD Bless.