oppn parties Beware of Fresh Highs in Stock Indices

News Snippets

  • Calcutta HC said that an accused in a NDPS case is not entitled to default bail if a charge sheet, even without the chemical report, is filed within time
  • 21 killed in a hooch tragedy in Amritsar. Police arrested 10 persons
  • Incoming CJI Justice B R Gavai said that he will always strive for social and political justice
  • Although US Prez Donald trump once again claimed his administration brokered the ceasefire between India and Pakistan, India clearly refuted the claim and said it was workd out by the DGMO
  • Centre tells the Supreme Court that since women are not in combat roles, there has to be a separate selection board for them
  • India briefs 70 nations on Operation Sindoor
  • PM Modi asks Pakistan to vacate illegally-occupied portions of Kashmir
  • PM Modi tells Pakistan that it faces annihilation if it does not stop supporting terror
  • PM Modi visits Adampur IAF base, poses before the S-400 surface-to-air defence system to destrot Pakistan's claim that it had bombed the base and destroyed the defence system
  • 5 US companies make offers to GAIL for stake in LNG projects
  • Retail inflation dipped to 3.2% in April, the lowest since July 2019
  • Stocks tumble on Tuesday: After the all-time single-day gain on Monday, stocks lost heavily on Tuesday - Sensex went down by 1281 points to 81148 and Nifty lost 346 points to 24578
  • Indian tour to England: A new look Indian team with a new skipper will be announced when the selectors meet later this week in view of the retirement of Virat Kohli, Rohit Sharma and R Ashwin
  • IPL: Most overseas players to return and teams likely to be full strength
  • Sharad Pawar calls for an all-party meet to discuss Operation Sindoor, says such matter cannot be publicly discussed in Parliament as the Congress had earlier demanded
PM Modi warns Pakistan - stop supporting terror or face annihilation /////// Also asks Pakistan to vacate illegally-occupied portion of Kashmir
oppn parties
Beware of Fresh Highs in Stock Indices

By Slogger
First publised on 2017-10-17 08:37:22

About the Author

Sunil Garodia Holding an extreme view and carting the ball out of the park is what interests him most. He is a hard hitter at all times. Fasten your seatbelts and read.
Are the Nifty and the Sensex the true barometer of the Indian stock exchanges? Then how do you reconcile the fact that while the two indices broke fresh ground and registered new highs on Monday, the 16th of October 2017, the breath of the market was negative as more shares declined than rose? The NSE reported 813 advances and 920 declines while the BSE reported 1279 advances against 1420 declines on the day. Hence, an investor would be foxed if he buys some stock after careful research only to find that the price fell despite the Nifty and the Sensex riding high.

Investing in stock markets is becoming trickier by the day. A part-time player is more likely to lose money than make the promised big bucks if he dabbles half-heartedly in stocks. The main reason is that the stock markets are now, more than ever, being driven by a handful of players playing around with the stocks of a handful of companies. Even IPOs are becoming highly overpriced where companies are trying to squeeze out the maximum premium. Rumours and loaded tips rule the roost and gullible investors are burning their fingers.

The best option for investors is to either invest in blue chip companies on a long term basis or go for mutual funds that have a proven track record. That way, they will encounter less risk. If they wish to get into the action themselves, they would be well advised to start small by building a portfolio over a period of time. If one wishes to get rick quickly, the stock market is not an option. The best way to start is to first ignore all unsolicited tips and find good companies or mutual funds to invest in by spending some time researching and learning about track records of companies. Day trading is an absolute no-no for the uninitiated. Do not let the banner headlines of Nifty and Sensex hitting fresh highs get to your head. You are more likely to lose money if you rush into investing now.