Well, the markets continued their slide this morning as well.. Oh, well, I guess slide isn't a proper word for it.. I guess free-fall sounds much better, what do you think?? That is, assuming you can still think after witnessing such carnage, a carnage I've been witness to three times in the recent past! The slide today can be attributed to panic selling; everyone is selling in this market, even the brokerage houses were the culprit today! These firms had accumulated large positions and consequently large debit positions. So, due to margin calls, they had to square off their positions. This led to a bout of short-selling which quickly spread to the retail investors and wham bham wham.. Here we are, we've just begin .. (Just a few lines of Bryan Adam's Here I'm .. )
The best advise which will come in handy will be: DO NOT PANIC and SELL ANYTHING! HAVE PATIENCE.. A similar message to the one my Dad messaged me a few minutes back! Traditional advise but how so true!! Anyways, for those of you still looking to trade, why don't you indulge in some future trading? Buying a miniNIFTY Jan future (margin required only Rs. 12k) at the current levels should pay off in the next 2-3 days.. Anyways, this is only a specualtive guess at the moment..
Trading remains risky, the market may have some more bottomside left in it; so please, those with a weak heart and blood pressure problems, stay away from the markets until we see clear signs of a recovery! You may miss out on some profits but hell, giving away a bit of your gains in favor of reduced health risks is always preferred and advisable!
So, riders, do not worry!! Stay invested and continue tuning in to the SenseXXXational Ride!!
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