NIFTY at 4450-Is it high enough?

Ever since I have been a regular blog writer the NIFTY has continued its upward march from 4150 levels to 4450 levels.May be I started my blog at an “auspicious” time! May be I was “plain” lucky!

As I have advocated in my earlier posts, this is all a mind game. Bulls have been able to trap bears and now they will just push them hard. Those who went short earlier thinking that market can’t go beyond “4200 levels” or “at max 4300 levels” have been really hit hard. You know its so easy to go short when market moves up slowly. You always tell yourself-”This is the top”. “Market isse zyada kya upar jaayegi” etc etc. Now imagine what would be going through the minds of all the bears?They are seeing huge losses in their accounts and they are in a confused state.

At the same time, bulls needs to keep his guard.The markets might move in a parabolic fashion if “bulls” have their way. This is because all those “left out souls” will try to enter the market, so that they don’t miss the bus to riches!

At the same time, the correction will also spring from “nowhere”. So ride your profits but be prepared to give some profits back after markets reverse. Don’t try to “predict” the top.

Don’t be complacent. Don’t overtrade. Manage risk.