While options are always a good way to trade in any markets, it makes more sense today than ever because of several reasons. Whether you want to go long or short, using the options strategy is recommended for the current season. When you buy an option, be it a call option or a put option, your risk is limited to the premium amount you have paid whereas the upside remains open. So no matter where the stock or the index goes, you can't lose more than the premium paid.
Shanghai is the worst performing stock market of the world in CY 2008. It has just replaced Vietnam at the top of the ladder among the worst performers with a 48.97 per cent fall.
The agony of investors is likely to continue well into the middle of July. It is not certain how the monsoon precipitation will fare this month, but we are likely to see a dearth of buyers in the markets.
Outside Saudi Arabia, there is no spare capacity. Sanctions on Iran have meant that no new outside funds have come to bolster the current production of around 4 million barrels a day. Outside Saudi Arabia, there is no spare capacity. Sanctions on Iran have meant that no new outside funds have come to bolster the current production of around 4 million barrels a day.
Housing is not the sole problem. Instead of sub-prime, it is the Alt A loan portfolio that is at risk. Banks are not recognising the second lien on homes and mortgage rates have not fallen to the extent of interest rates. Taxpayers are borrowing more against their 401(k) savings. High crude prices are giving markets a rude shock. Outstandings in the derivatives segment are higher compared to earlier months and we happen to be in May, a notoriously bad month for equities.
Beginning May, as temperatures rise in the North Atlantic Ocean, tropical disturbances are formed. These travel westwards and some of them take the form of tropical depressions, which then graduate to tropical storms when they achieve a speed of 39 miles an hour. Not every tropical depression becomes a storm or a hurricane. But even those that do may not bring harm if they do not make a landfall.
Investors must remember that merely investing through SIPs will not deliver the results.
The Fed will not be able to halt this recession by merely easing rates, something it had successfully done in the past.
Hectic investors' counselling at the beginning of the week brought home the extent of the loss suffered in this January-February slide. That made us go back to our desks and compare the dents received during this period to a full-fledged bear market from February 14, 2000 to September 28, 2001.
There is one malady for which Dr Bernanke may also have no prescrip
Traders looking for quick gains were in for a rude shock as Nifty and its derivative stocks plummetted. Apart from educating retail investors, there are some systematic flaws that need to be plugged.
Education as a sector is rising up on the investment charts, at a slow but sure pace. For investors, researching on this sector is an up-hill task.
If the greenbacks don't pour in, our markets can't do the Indian rope trick. That has been very evident last week and all of November. The FIIs have just sold stocks worth close to a billion dollars and our markets have taken a 10 per cent or 2,050 point correction.
Fourteen stocks have appreciated by more than 1000 per cent this Samvat, with Walchand and MMTC being the only better known stocks.
India has about 33 lakh km of roads, which is the second largest network in the world.
My first suggestion is that having already belled the cat, there is no need to feel apologetic about it. RBI has been long concerned on this front and SEBI has done an excellent job in terms of reducing the instances of PN use, though holes remain. And these holes may have been deliberately left open so as not to snub this segment of investors.
In each public issue, 25 per cent of the shares on offer are reserved for the retail investor.
PGCIL has a monopoly in the interstate power transmission business and owns and operates most of India's interstate and inter-regional electric power transmission system.
And the ones who remain either close their eyes like the pigeon when faced with a ferocious feline, or go bonkers trying every trick in the trade to prevent an erosion in their portfolio.
While selling what you don't have is a rare art that is not in vogue these days.