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The Analyst Magazine:
Indian Equity Markets : A technical outlook
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The Indian equity markets are gaining momentum with the foreign institutional investors increasing their indian exposure. Together with strong fundamentals and support given to the players, the bull run appears to be sustainable.

Indian equity market has always been a staple diet for investors and speculators and they have not been able to stay away from it whether we choose to like it or not. Like a popular saying, Delhi key ladoo jo khaye to pastai or jo nakhaye to bhi pastaia place where fortunes are made and lost and where ingenuity survives and scams germinate. These markets are live and traded by breathing entities, full of dynamism, a place infested by wizards, the place where you are pitted against the finest financial brains. A place where you either make or lose moneymoney either comes into your pockets or goes outthere is no middle path. One has either to smile or to frown, you are either a winner or a loser and the choice is yours because this is the place where you make your own decisions and no one puts a gun to your head to do that Amen

February 14, 2000 will always be a red letter day in the history of the Indian stock market because that was the day the market saw the highest mark ever at 6150.69, thereafter there has been a steady downfall. It was not just the downfall of the Sensex but a downfall of the many investors and traders and speculators who lost their hard-earned and accumulated fortunenot just their fortunes but also their future and the future of their generation that were to follow thereafter. The 2000 bubble bust and with it burst the Indian stock market and the hopes of millions of investors.

This downfall saw a bottom on September 21, 2001 after 19 months at 2594.87. That is not all; it struggled for the next 19 months between 2594 and 3758 in the range of 1164 points. This bear market of over three years damaged the backbone of many investors beyond repair and the investors lost all confidence in the stock market to an extent that every opportunity and every fundamental reason was shunned; the facts ignored; the buoyancy discounted and the market saw a bottom on April 28, 2003 at 2904 and never to look back. The foreign institutional investors saw a good valuation in the Indian equity market and pumped in tons of dollars.

 
 

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