NIFTY DOWNTREND - BIGGER BETTER STRONGER

Funny is the way in which markets entice the new and inexperienced (not to say that even the most experienced are not trapped!). Nify bounce back on Thursday was exactly a trap scenario with it being nothing more than a pure technical bounce. But what was surprising was that the momentum downwrd is so strong that the pull back was curtailed with just one upward session(I had expected atleast a couple). The Nifty is poised in a downward trend with the MACD line firmly in the negative and downward momentum gaining strength. The only silver lining is that if Nifty goes down very fast there is a chance that the markets might see the temporary beginning of the end of the downtrend. So hold your shorts firm and look for opportunities in individual stocks for long term(most are now trading at PE<12, a classic Buffet pick up strategy.