Tag Archives: Stock Market

Electronic Herds and their behavior

Now a day, everything in the market is online. This gives extra advantage to the investors around the world to invest in a place where they like to do. An investor in America can buy shares in Indian markets and similarly an Indian investor can invest in American markets. That is how things are in today’s world. This gives the investors the ease to invest in any markets of their choice. The treaties between the governments and the world becoming smaller day by day everything is possible in today’s world. Continue reading

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Markets and its volatility

Today March 23, 2009 is a good day for Indian markets. Market is up by 457 points. There are no strong reasons for why the market is up? I was following couple of market analysts and all that they predicted at 9.30 am is markets “might” be up and it will have resistance in the range of 200 points, one analyst predicted that it will rise and then flatten out and other predicted that there might not be any major changes. In some time during the noon, the analyst realized that the markets are going up and they changed their sentences as, markets are doing well and it will go up further north. This was a good sign to investors. Continue reading

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GOLD – The precious Metal

History of gold prices (in rupees):

1930: 180 per 10 gram
1940: 360 per 10 gram
1950: 1000 per 10 gram
1960: 1110 per 10 gram
1970: 1840 per 10 gram
1975: 5,400 per 10 gram
2000: 3,000 per 10 gram
2006: 5,400 per 10 gram
2009: 15,700 per 10 gram.

Gold surprisingly gave 300% returns from 1970 to 1975 when world suffered worst ever recession after great Depression. Will the history repeat? That is the reason behind current “Mad Gold rush”. But if you invested in the Gold in 1975, your investment gave negative returns for the next 25 years. Continue reading

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Contra Fund

Contra Fund stands for contrarian and is supposed to be the opposite of value investing.

Contrarian approach is supposed to be very complex. It involves many complex ways of identifying the stocks and investment approach. In this approach, the fund managers look out for stocks which are at cheap prices today but they have potential growth and value in the long run. These stocks are not picked up by many people due to various reasons and the fund manager identifies such stocks and invests the money that is generated from the funds. Continue reading

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What to do now in Stock Market?

This is a question I keep asking myself these days after seeing the market tumble down. I keep telling my friends that “Stock Market is crashing” and they reply back to me that “Tell me something new” or “You keep giving me bad news” or “How long is it going to happen this way”.

These are just my guesses how things might go in the near future. I am not an expert in economics or stock market. Just an ordinary guy with a special interest in economics and stock market, so you can very well assume that I can always go wrong :). After this disclaimer, I hope to say things that are there in my mind without any fear. Continue reading

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