Red Holi...Sun outage to cast a shadow
Bright colors, water balloons and melodious songs are the ingredients of perfect Holi. For the market participants, the color red is all around. Holi marks the beginning of summer season and so water balloons are burst to beat the heat. But indices seem to be cooling more than most players expect it to. And don't be surprised if doomsday prophets come and talk of levels below 11,000. That may seem a bit exaggerated now. But a few bad days are enough to reduce the Sensex by over a thousand points.
We hear that many market participants had hoarded shares expecting FIIs would lap them up post budget. However, the sentiment turned extremely negative and these 'players' were forced to let go. But then, the blood bath, could have more to do with the turbulent global cues rather than much-hyped Union Budget. The latest development in US regarding regarding case of biggest insider-trading since 1980’s may also cast it dark shadow on markets in India. Talking about shadows, sun outage will begin from next week, which sets in boredom to say the least. So, one should stay cautious and guarded as trading at this juncture is fraught with a lot of risks. With Budget out of the way, more will now depend on the Advance tax numbers by the corporates, to guide the markets further along with the overseas markets.