Short India
While the developed markets, lead by the US, have been making highs upon highs, things are not so hunky dory in EMs.
See my commentary on global risk in related risk on 12-Sep-17 in related ideas below.
It worked out rather well.
The Indian stock market has been under performing global one for some time now.
It was not too bad as long as the Nifty 0.09% was range bound while the Dow and SPX -0.08% and DAX 0.16% were making high upon highs.
The problem is the rally in the developed markets looks stretched. Correction is due.
That does not translate well for India at all.
Prudent investors would do well to take money off. Adventurous speculators may consider shorting this fading bull. See the picture below.
To be sure, I do not think this is structural by any means. In fact, I look forward to the correction just so I can buy on the dip.
But in the meanwhile, it would be criminal not to make money on the downside.
Look for high beta stocks to short. At this point these are..
1 DIVISLAB
2 TAKE
3 ICIL
4 MARKSANS
5 RELIGARE
6 JINDALSTEL
7 HFCL
8 BASF
9 JAICORPLTD
10 IPCALAB
I am sticking my neck out and predicting 9300 level for Nifty 0.09% from ~10000 now relatively shortly.
That is 7% down. And right about now there is absolutely no one who shares my point of view. So be careful.
See my commentary on global risk in related risk on 12-Sep-17 in related ideas below.
It worked out rather well.
The Indian stock market has been under performing global one for some time now.
It was not too bad as long as the Nifty 0.09% was range bound while the Dow and SPX -0.08% and DAX 0.16% were making high upon highs.
The problem is the rally in the developed markets looks stretched. Correction is due.
That does not translate well for India at all.
Prudent investors would do well to take money off. Adventurous speculators may consider shorting this fading bull. See the picture below.
To be sure, I do not think this is structural by any means. In fact, I look forward to the correction just so I can buy on the dip.
But in the meanwhile, it would be criminal not to make money on the downside.
Look for high beta stocks to short. At this point these are..
1 DIVISLAB
2 TAKE
3 ICIL
4 MARKSANS
5 RELIGARE
6 JINDALSTEL
7 HFCL
8 BASF
9 JAICORPLTD
10 IPCALAB
I am sticking my neck out and predicting 9300 level for Nifty 0.09% from ~10000 now relatively shortly.
That is 7% down. And right about now there is absolutely no one who shares my point of view. So be careful.
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