Here i am trying to time the market, using some innovative technical tools,acepting by heart that market is supreme,i always have to follow it
Saturday, September 13, 2008
logic of big players and media
want to express my thoughts on logic of {sometimes very confusing and even seemingly funny logic},big market players and media........when oil was shooting up from around 110 usd levels,concerns were expressed that high oil prices will adversly affect the economy,,viz..high inflation-------higher interest rates----so higher cost of mony for the companies-----lower profits----slow down of the economy,,,oil reached 140s and fear gripped even the analysts...in the meantime oil started its southward journy---but within a period of 2-3 months the central bank tightened its measures,,,resulting in higher interest rates,,,so now every one said it will be a very heavy slow-down,,,economic figures responded this thought briefly during may-june..but bounced back smartly as per the figures released yesterday...now intersting things started to happen,,,oil tanks to 100 usd...a massive erosion of 47 usd per barrel in a short 2-3 months period,,,comments from media ???? economies world over are so much in bearish mood that they will consume lesser oil..so lower demand and lower price..naturally !!!!!!!!!....untill almost yesterday media expected the economy to slow-down ,,right ??? suddenlY the IIP data showed that they were much stronger THAN WERE EXPECTED !!!!!!!!!!...after the data were released the markets bounced back from their intraday lows very smartly...untill 2:45 pm picture looked quite rosy..that markets are welcoming good iip numbers...last funny act starts here...banks which were up smartly from their lows of the day..suddenly started crashing..and so were the indices....thoughts of big players and media ??? very very intersting.....now that economy has showed its so called underlying strenth ,,,the central bank CAN take more steps in the direction of tightening..ANOTHER HIKE IN THE INTEREST RATES..{economy is so strong it can withstand it}...and so more pressure on banks ..so they are tanking !!!!!!!!!!...intersting and funny ,isnt it ???
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