Markets Ahead

The replies received on the Sharebazaaronline's Budget View shows that majority of the people

are not happy with the budget in the broader perspective but are happy about with the tax

slabs which have been revised, this means the FM has achieved the target of making masses

happy. Will this happiness convert into votes have to be seen after the elections.

- We saw some tired looking recovery on Wednesday. Will this sustain is another

question. The FII's have been continuously selling for the sake of meeting the redemption

pressures from their investors. Many call up ask me why are FII's selling? Dont they find

value in this mkt? The answer is that they do find values but the investors for the sake of

safety and in panic keep redeeming their investments and hence FII's have no other option

but to sell at what ever levels they can.

- The next obvious question is when will this money return? Like the previous

crashes we may not have sharp recoveries. We always have been seeing a V shaped fall and

a recovery this time it would be a U shaped and that too a U with a flat bottom, something

like this... “ I_I “ and how long will this bottom be depends on the state of US economy. As

of now we are not falling or rising on out own fundamentals or technicals we just see how

US and Asia and EU mkts are doing and react to them.

- We are suffering since our neighbours are suffering. Our house is never safe if

neighbours house catches fire! Internally our fundamentals are still strong.

- People are now realising there is value in the market but theres no money to buy. Nifty has tested 4800 twice and bounced. Hope we dont fall below - it else the U would become even more flatter. We sees a recovery only in April and after