morning thoughts...
The new august series started on a weak note and rested on the crucial support zones on the nifty front.
Technically the markets can bounce from the current levels but we dont expect much activity in the coming session and its likely to trade subdued and in a consolidation mode.
If we notice prices of commodities are up by about 40% since 2009, double the usual commodity price rebound witnessed in post war recoveries. The rising prices of staples will definitely affect people forming part of the lower income group considering that they spend about a third of their incomes on such items. Not to mention that the median prices of homes in the US have risen at their sharpest pace since the lows of 2011; in the process putting homes out of reach for first time buyers.
Then there's the point related to how the low interest rate regime has led many corporations to take on higher debt levels, a significant part of which has gone towards financial engineering - in other words, towards buybacks and mergers - in recent times.
Readers may do well to recall that not so long ago, value investing legends had started raising red flags over how the Fed's policies are distorting asset prices in various parts of the world. But with the way the markets have been moving, they seemed to have been proved wrong.
On the lower side 7635 will act as crucial support zones for the markets whereas good resistance will be visible around 7750 levels.
Coming to the commodity markets all of the them are likely to trade volatile with a positive bias and would give an oppurtunity to buy dips and sell rallies.
Monday wealth creators
Buy gold , silver , crude , copper , aluminium
Jackpot and fii calls - Buy Garware offshore , Tv today
Double and triple bumper options - buy Idea 160 ca , Cesc 660 ca , Infosys 3400 ca
Fii and cash calls - buy Hpcl , beml , hcl tech
Buy Nifty and bank nifty on dips
The new august series started on a weak note and rested on the crucial support zones on the nifty front.
Technically the markets can bounce from the current levels but we dont expect much activity in the coming session and its likely to trade subdued and in a consolidation mode.
If we notice prices of commodities are up by about 40% since 2009, double the usual commodity price rebound witnessed in post war recoveries. The rising prices of staples will definitely affect people forming part of the lower income group considering that they spend about a third of their incomes on such items. Not to mention that the median prices of homes in the US have risen at their sharpest pace since the lows of 2011; in the process putting homes out of reach for first time buyers.
Then there's the point related to how the low interest rate regime has led many corporations to take on higher debt levels, a significant part of which has gone towards financial engineering - in other words, towards buybacks and mergers - in recent times.
Readers may do well to recall that not so long ago, value investing legends had started raising red flags over how the Fed's policies are distorting asset prices in various parts of the world. But with the way the markets have been moving, they seemed to have been proved wrong.
On the lower side 7635 will act as crucial support zones for the markets whereas good resistance will be visible around 7750 levels.
Coming to the commodity markets all of the them are likely to trade volatile with a positive bias and would give an oppurtunity to buy dips and sell rallies.
Monday wealth creators
Buy gold , silver , crude , copper , aluminium
Jackpot and fii calls - Buy Garware offshore , Tv today
Double and triple bumper options - buy Idea 160 ca , Cesc 660 ca , Infosys 3400 ca
Fii and cash calls - buy Hpcl , beml , hcl tech
Buy Nifty and bank nifty on dips
