Global equity markets plunged again on Tuesday with the fall starting from Wall Street on Monday. Indian markets with F&O expiry closing on Thursday will be interesting to watch for the next 2 days. While the option "Max Pain" is predicting Nifty close to 5000 levels by thursday, global cues are not saying so.
We are not comfortable with equity markets for the next 2-3 months. Though intermediate upswings are possible in this 2-3 month period, it is better to stay away from the markets and enter at lower levels. We do not buy Analyst comments that Indian markets are ready for an upmove.
Mr. Singh's comments that he is expecting inflation to come down to 5% might not have any impact on the markets. Ambani's truce failed to give a boost to the markets. One should understand the power of global crisis instead of slow.
Patience will definitely pay but by not holding to your stocks...Do not jump and invest that markets have already tanked. More pain in the coming days....Midcaps will shed more weight due to unwinding.
June should month to do some bottom fishing