Last week was not so good for our markets.Heavyweights like Reliance
had hit 52 week lows.In the past 10 trading sessions FIIs were seen
selling to the tune of about 3000 crores.World Markets rallied for the
week with thin volumes.Volumes this week may be low as well.With good
set of economic data coming from US, the markets across the globe are
rallying and we are left out.
With fiscal deficit widening and the decline in forex reserve by 93000 Crores in the past 7 weeks added fuel to the fire.Inflation for the week ended December 10th fell sharply giving room for RBI to cut rates in the next policy meet.The Rupee is still hovering around 53 mark and the OMCs are planning to raise the petrol prices soon will again have a negative impact.
Since November I have been writing about a possible attack on Iran which may send the crude prices to sky rocket(Analysts were talking about 175$ per barrel and even some were arguing about a possible 250$ per barrel),as Iran threatens to block the Strait of Hormuz through which 40% of the total world's oil trade takes place.Israel was planning an attack around Christmas time and the plan was delayed when the US drone was captured.The good news is that if the Hormuz strait is closed, the oil prices moving northward will be contained as the pipeline construction from Abu Dhabi's largest oil fields to Fujairah is complete.With this pipeline under operation the trade through Hormuz strait can be bypassed.The pipeline will be tested next month and it is a breakthrough for UAE's oil exports.
Tension between Syria and Turkey are escalating as US Defense secretary visited Turkey a week back and the Vice President of Syria visited Russia.
Kindly hedge your overnight long positions as a fully blown out war may send the equities down the drain and the commodity prices to sky rocket.As we have already witnessed the attack on Libya and Egypt this year, I strongly feel that the attack on Iran which is suspected to be equipped with Nuclear weapons and the attack on Syria equipped with Russian missiles will have worse impact than the former attacks.
The later part of the article is to throw some light on the events which may happen early next year and to equip our readers with the necessary prowess to tackle, if such a situation arises.
Enjoy the last week of this year.Volumes may be thin.Avoid leveraged positions.
Have a happy week ahead!!
Alex sir's Nifty(spot) view for the Day.
Supports for the day are at 4690, 4674, 4715. Resistances are at 4745,4771,4785
With fiscal deficit widening and the decline in forex reserve by 93000 Crores in the past 7 weeks added fuel to the fire.Inflation for the week ended December 10th fell sharply giving room for RBI to cut rates in the next policy meet.The Rupee is still hovering around 53 mark and the OMCs are planning to raise the petrol prices soon will again have a negative impact.
Since November I have been writing about a possible attack on Iran which may send the crude prices to sky rocket(Analysts were talking about 175$ per barrel and even some were arguing about a possible 250$ per barrel),as Iran threatens to block the Strait of Hormuz through which 40% of the total world's oil trade takes place.Israel was planning an attack around Christmas time and the plan was delayed when the US drone was captured.The good news is that if the Hormuz strait is closed, the oil prices moving northward will be contained as the pipeline construction from Abu Dhabi's largest oil fields to Fujairah is complete.With this pipeline under operation the trade through Hormuz strait can be bypassed.The pipeline will be tested next month and it is a breakthrough for UAE's oil exports.
Tension between Syria and Turkey are escalating as US Defense secretary visited Turkey a week back and the Vice President of Syria visited Russia.
Kindly hedge your overnight long positions as a fully blown out war may send the equities down the drain and the commodity prices to sky rocket.As we have already witnessed the attack on Libya and Egypt this year, I strongly feel that the attack on Iran which is suspected to be equipped with Nuclear weapons and the attack on Syria equipped with Russian missiles will have worse impact than the former attacks.
The later part of the article is to throw some light on the events which may happen early next year and to equip our readers with the necessary prowess to tackle, if such a situation arises.
Enjoy the last week of this year.Volumes may be thin.Avoid leveraged positions.
Have a happy week ahead!!
Alex sir's Nifty(spot) view for the Day.
Supports for the day are at 4690, 4674, 4715. Resistances are at 4745,4771,4785
