REVERSING SWING

THE ONGOING INDIA-ENGLAND TEST SERIES MIGHT SEEM TO INFLUENCE THE MARKETS TOO. SIMILAR TO THE TEST MATCHES FORTUNES ARE SWINGING BY THE MINUTE.

THE SENSEX SEEMED TO BE IN PITS BY SHEDDING ALMOST OVER 600 POINTS IN A DAY,RESULTING IN FRANTIC ACTIVITY.MANY NEWBIES OR GREEN HORNS MAY HAVE ALREADY TAKEN A SHOCK OF THEIR LIFE ,BUT THE BULL IS AGAIN BACK IN THE RING WHICH MAY EASE MANY TENSE NERVES. AS MENTIONED EARLIER THE DWINDLING MARKET SHOULD BE SEEN AS AN EXCELLENT BUYING OPPORTUNITY AND THOSE WHO
EN CASHED IT WILL SEE THE PROFITS SOON.

A PERFECT EXAMPLE OF THIS CAN BE THE SHARE PRICES OF KOTHARI PRODUCTS (THE MAKERS OF PAN PARAG).IN JULY THE SHARE WAS HANDSOMELY PRICED AT ABOVE Rs 1100/- WHILE THE DELUGE HAS LEFT IT WITH A VALUE OF Rs 780/- ONLY.NOW THE JULY BULL RUN HAS GIVEN A FAIR IDEA ABOUT THE POTENTIAL OF THE SHARE AND IT WON'T BE ALL THAT A BAD IDEA TO TAKE THE PLUNGE RIGHT NOW .

I STILL INSIST THAT YOU USE THE INVEST LOGIC WE DISCUSSED BEFORE TO PICK YOUR SHARES.ONE MORE THING YOU SHOULD CONSIDER IS THE DURATION OF YOUR INVESTMENT . WHETHER YOU WISH TO HAVE A LONG TERM OR SHORT TERM INVESTMENT DOES AFFECT THE SHARES YOU BUY.