Double digit Inflation?? June 05 2008

Fuel price hike pinches our pockets and is looking now to drive inflation towards and above the double digit mark. So there is more bad news coming in for a market which is already reeling under selling pressure. Selling will continue for today and possibly tomorrow as well. But then...see now everyone is talking about market going down lower...(including our TV analysts :) ) n when this happens you know that the end is around the corner. Yes ready your shopping list now for purchasing in this discount sale. I will try to pick up some good stocks for short term buying and post tonight and over the weekend. However do not rush into buying today itself, its still a short at rise market. Buying can come in from tomorrow or next week as market gets oversold.

I have covered 75% of all NIFTY short positions and the remaining 25% will cover today or tomorrow. I might try to flip long sometime tomorrow. Look out for the post tomorrow to get an update on views. Downside supports are here for your reference, use these levels to book profits in shorts you may hold

4530 - 4540, 4480, 4440-4450(biggest support)

While buying may come in tomorrow, the other scenario could be break of 4440 which will be disastrous for market as we might just go and hit 4000 then. (However this possibility looks bleak as of now). Lets play the waiting game and buy later.

Again play NIFTY for today as individual stocks can still move against market direction. Look at NIFTY chart, I have marked various supports for your understanding..


P.S: If you have benefited through this blog by shorting last week and holding through the fall, just leave a comment. There is nothing to lose for you, and it brings in a dose of satisfaction for all the hardwork put in :)