Contrarian Investing is Key to stock
market success. That is buy at Nadir and sell at Zenith. Buy cheap, sell
dear.That is exhibit one man's intelligence and the patience of six men
With US withdrawing from Afghan for preparation for war, with India, Taiwan and Japan amassing forces, a war may be in the offing and in such circumstances, the Impulse Phase can only be Bearish . There, of course, can be rallies, but they are corrective phases, which occur within the Bear Hug.
Resurrection of Indian & Japanese Empires
With a GDP of 5.8 tr and army of 400 K, Japan is ranked Fifth. India's GDP is 3 tr but defence personnel is 40 lakh and placed 4th.
The Lunar Ascendants of the Awesome Foursome, which are involved in the Indo Pacific
USA - Aquarius
China - Capricorn
Japan - Gemini
India - Cancer
Saturn is transiting Capricorn and both US & China are afflicted by Elarata Saturn, Hence both will suffer damage.
The worst is the First Saturn of China and China will be worst hit.
Next is the 12th Saturn of US. It is not as bad as China's.
Better than both is Japan's 8th Transit.
Finally, India's 7th Transit is the least dangerous !
Because of Janma Saturn, China will have to fight on multiple fronts, with Taiwan, Japan and India. On the 4th front, she will have to fight US & Allies. So an SOS will be sent to Russia. It is not clear whether Russia will support her or Vietnam. China ultimately will have to bow to Law and shed her hypernationalism and narcissistic ego. Karma Phala for annexing the divine Tibet seems to be the cause of her present predicament.
Her Achille's Heel - Enemies too many due to bad diplomacy and lack of experience in war. Numbers and weapons are not enough. Even Vietnam defeated her.
US is also under Elarata Saturn, but it is 12th Saturn and less dangerous than China's period. There will be damage, but less dangerous than China's torrid phase. Her performance will be far better than China's.
Japan's period is far better than both. She was born with Taurus rising, with the Ascendant lord, Venus exalted, in the 11th, which has made her rich with a GNP of 5.8 trillion dollars.
She is having the best time amongst the four. This is a glorious opportunity for her to take revenge. She was humiliated in 1947 and 1962 wars and had lost territory. This is an opportunity to get back POK, Aksai Chin and liberate Tibet !
Will Mars mate Asia?
Two Asian powers are locked in eternal combat. One so vainglorious,
stung by the narcissistic ego libido, wanting to conquer the world through
unfair trade practices and cunning. Another, the sleeping elephant , now
acknowledging that cowardice is the true enemy. An aggressive , militant
elephant is what the terrorists dread, and even the Asian superpower
is thinking what went wrong, as more alliances are made against her.
Quad+MQuad+Zion+Asean +Taiwan is indeed formidable.
Chinese soldiers have no experience and dreads the well experienced
India has vaccinated 1028 million so far. It is reported that the third wave of Covid may last 98 days.
We find that the stock market is rising and now is at 61.8 K. If War comes, the market will fall and will reach abysmally low levels. It will provide good opportunity for the contrarian investor. Can you buy IRCTC @ 4600? Or Info Edge at 7900 ? Or Reliance at 2625 ? Or Kse @2300 ?
There are 7300 railway stations in India and IRCTC has its presence in almost all. IRCTC began with a capital of 20 cr its turnover is now > 2000 cr. But it scrip is overpriced at 4600. One should be patient and buy the scrip at declines.
Sunfeast biscuit sells well. Also Ashirvad Atta. and ITC Agro Foods has become persona grata scrip. It can be acquired at declines.
Avanti Foods, Apex Frozen, KSE are aquaculture shares which can be purchased at declines.
Saskin, Nucleus, New Gen, BIrla Soft, Hinduja Global,
Tania, Elxi, Nazari, Tata Comm, Tata Tele, On Mobile, Airtel, Vodaphone, Tejus - all these cn be added to one's portfoloi
Amongst Bank shares, SBI is at 502. Canara and Indian Bank are hovering near 200. BOB is near 100 and the rest are not priced properly.
On Sep 15, 2021,
Wtth Jupiter's change,
Time becomes beneficial,
For five Moon Signs,
And Adverse for rest seven !
Can expect better times
The rest should be cautious,
And vigilant while investing.
For Jupiter is the planet,
Which rules Finance
Signifying wealth supreme,
Transcendental and terrestrial.
Jove was in acceleration,
And now he is retrograde.
Going back to Capricorn,
And becoming positive.
Retrogression is considered benign,
Such a planet is positive.
Acceleration is the reverse phenomenon.
Such a planet is considered malign.
Mantreswara in Phaladeepika says,
A retrograde planet is exalted.
And a planet in same sign in Amsa as well,
Is equal to a planet in own house.
A unique concept, Wealth Ascendant,
Was developed by Kalidasa.
In hs manum opus, Uttara Kalamrita,
Involving 2,5,9,10 lords.
If benefics retrograde,
Idealist nations wil rise
If malefics retrograde,
Terrorism will walk on earth.
Jove's acceleration generated,
The fearful Rise of Terrorism,
Both physical and biological,
And the world is in total disarray.
Indian metros are unlocking, but then, unless we exercise prudence and caution, this too can be dangerous. Doctors averr that the 3rd Wave will last 98 days, but cannot predict when
More at SMA
One friend opined that, if History repeats itself, present circumstances may lead to Depression 2.0 , which may eventually lead to WW3 ! ( like last time, Depression 1.0 ended in WW2 )
The stock market is expected to play a game of hide and seek, going up and down, so characteristic of a transitional phase!
The cost of the 440 million vaccines which India has ordered, along with the cost of free ration is 20 billion ! China donated 1 million Sinovac doses to Nepal!
When I got up at 0500 AM, tremendous rains lashed Kerala and Mumbai and Kerala seemed to be shivering under the wrath of Pubba, as the Sun transits Delta Leonis, Pooram Njattuvela.
With Angular Saturn, Kandaka SHANI and Jupiter in the adverse 8th , India is going through a bad phase. Only a temporary phenomenon, as March marches off !
Stock Market movements are governed by mainly five factors - fundamental, technical, macroeconomic, political & planetary !
Nelson who wrote the 'ABC of Stock Speculation ' designated the research findings of Dow Jones as the Dow Jones Theory. Charles Dow was frank in stating that his Theory is not infallible and that the real method of forecasting the duration or extent of a primary trend was unknown to Technical Analysis !
Identifying the Primary Trend is difficult. Even Secondary Reactions are deceptive. There is only one Science which can forecast this and it is Stock Market Astrology !
|It is said that the legendary stock market and commodities trader, W D Gann made 50 million dollars from the stock market. He used astro charts for trading. How famous is his wheat chart ! One of his close friends wrote "It is very difficult for me to remember all the predictions and operations of Mr. Gann which may be classed as phenomenal, but the following are a few: In 1908 when Union Pacific was 168-1/8, he told me that it would not touch 169 before it had a good break. We sold it short all the way down to 152-5/8, covering on the weak spots and putting it out again on the rallies, securing twenty-three points profit out of an eighteen point wave."||
Astrology is the Science that enlightens like a lamp
in darkness "
For the practitioners of value investing, the onee name that probably comes above all else is 'Warren E Buffett', the legendary value investor who arguably played the biggest part in executing the teachings of masters like Graham and Philip Fisher in the real world and making an extraordinary success story out of it. While it is true that he has learnt a lot from the master we have just mentioned, his own larder of investment wisdom is anything but empty. And fortunately for us, over the past many years he has been dishing it out in the form of letters that he religiously writes to the shareholders of Berkshire Hathaway year after year.
In the stock market, there are only 2 phases, the Impulse Phase and the Corrective Phase. Most traders make money during the Impulse Phase and lose it during the Corrective Phase.
Tide- Wave - Ripple Theory - 3 Major Movements of the Ocean ( Stock Market )
The primary movement is the Tide, the secondary movement is the Wave and tertiary movement, the Ripple. The three movements of the Stock Market can be compared to the three movements of the Ocean.
The Impulse Phase is based on the Primary Trend. If it is a long upward movement, then the Impulse Phase is an Uptide and if the primary movement is downward, then it is a Downtide.
In order to capitalise on market fluctuations, you have to do your homework properly. Study the scrip you want to play. Study its top and bottom levels. You can only short sell at the Resistance level and never at the Support level.
In Bull Phase, secondary reactions last for 7 to 8 days. These reactions are also very deceptive, giving the impression that the market is falling. During these reactions, the intelligent accumulate stocks and sell off at the peak of the primary trend.
In a Bear Market, Corrective Phase is Bullish and vice verse.
In a Bear Market, Impulse Phase is bearish.
Uptide - The Primary Upward Movement
Downtide - The Primary Downward Movement
While turnover in the Cash segment is 30000 crores per day, at Derivatives segment it is 18000 crores.
During Downtide, the best Option is Put. You must watch the Resistance and the Support levels of the scrip you are going to take the Option in. The SBI scrip reacted from 500 onwards and is now at 430. If suppose you had taken SBI Put at 480, you still gain 50 rupees per share. The Resistance Level of SBI is 500 now and the Support level is 407.
The Wave like Nature of the Stock Market
Hart de Fow and Robert Svoboda in their book " Timing & Astrology" remarks that the best days which are auspicious are, in order, Thursday, Friday, Monday and Wednesday. If you plan long-term investments, you should select these days for picking up potential blue-chips.
This article is not based merely on theoretical principles. I have been dabbling in the Stock Market since 1987 and some scrips have given me good returns. Reliance ( my Venus is favourably posited in the 11th in Taurus ), Infosys ( my Rahu favourably posited in the 6th, in Sagittarius ) & Dhanalakshmi Bank ( my Jupiter is in the Ascendant in Cancer ) have given me good capital appreciation! Experience is the best teacher !
Stock Market Astrology Part II
( written on 28/09/2003 )
"The great fortunes on stock exchanges have been made not by those who knew what to buy and sell but by those who have mastered the art of buying and selling at the correct time and price "
In the Stock Market timing is all important
Portfolio Management Astrology
Astrology can be a diagnostic tool like Fundamental Analysis and Technical Analysis.
One should understand one's beneficial planets and invest in the industries ruled by those planets. If Jupiter is strong in your horoscope, you can invest in Pharma shares like Ranbaxy, Dr Reddy's, Aurobindo Pharma & Divi's Labs. . If Venus is strong, you can invest in Auto Industry shares like Maruti and Tata Motors. . If Mercury is strong, you can invest in Telecommunications like Bharti Tele, MTNL & Shyam Tele. . Saturn rules Steel and if you find Saturn powerful in your horoscope, you can invest in steel shares such as SAIL, Tisco, Jisco & Jindal Steel. Mars rules electricity and if Mars is powerful in your natal chart, you can invest in shares such as BSES , Tata Power & Alsthom Power. If Rahu is strong, IT shares like Infosys, HCL Info & Hughes Software. . Oil is ruled by Saturn and such shares as IOC, ONGC etc are good choices if your Saturn is powerful. PSU shares are ruled by the Sun and BP, HP etc can bring home the bacon if Sun be indeed strong in your horoscope.
While picking shares, one should avoid Chandrashtama and negative transits. Beneficial Jupiter can veto all other negative transits. The Transit of the North Node, Rahu is also very important. ( I only entered the market when my Jupiter transited the 2nd and Rahu the 10th and my Portfolio is showing profit ). Venus also ruled business and has a major say in stock market dynamics. One should consult not only a financial expert but also an astrologer as Luck can be a major factor in stock market speculation.
Knowledge - a Prerequisite
Knowledge of Stock Market dynamics is also a prerequisite. One should understand the Wave Theory - that the Stock Market fluctuates all the time, even within a day. If it is a Bull run, then the Market will rise but only as a Wave. If it is a Bear Phase, the Market will descend as a Wave. The Market reacted after touching an all time high of 4469 this time. It descended as a Wave to 4105 and then ascended to today' s level of 4382 ! If you can take advantage of the small booms and busts within the Bull Phase or the Bear Phase, Fortune will favour you !
The two emotions which rule are Greed & Fear. If you can control Greed and Fear, you have won ! If you can keep your equanimity when everybody seems to lose theirs, Fortune will grace you. If on the other hand, if you succumb to Greed and Fear, you will be part of the crowd. Being part of the crowd will get you nowhere; you can only make others rich !
Speculation - A dangerous temptation
You may be tempted to speculate. Avoid speculation. A speculator is he who takes big risks to gain profits. Be an intelligent investor ( an investor is he who takes only calculated risks ). If you gain because of speculation one day, the next day you will lose. "What you gain on the swings, you lose on the roundabouts", remarks Peter Lynch.
If you had entered TISCO at 130, by now your capital would have been doubled. Just imagine if the Sensex reaches 5500 or above. TISCO will be 500 ! So this calculated risk is what the intelligent investor should take. Not only TISCO but other good scrips will aid you in capital appreciation. Be a good contrarian investor, one who buys cheap and sells dear !
It is true that high returns have high risks associated with it. So we should not be too greedy and if we get decent profit, we should get out of that scrip. Paper profits are no good and booking profits is the most essential aspect of investment. If you dont sell your shares at the proper time ( known as the Contrarian's skill of selling high ), you cannot in reality make profits. Now the Market is dominated by the FIIs ( Foreign Institutional Investors ) whose habit is to book profit immediately. They will not wait , like Harshad Mehta, for ACC to become 10000!. So understand the nature of the market. Book profits every now and then. If you book profits, your money is freed for recycling. You can buy other scrips at declines. Since the market is ever fluctuating and never steady at the same Index, , you will get opportunity to buy at declines. A bust is an opportunity for buying. A boom is an opportunity for selling. Manage your risks !
Cash Flow and the Stock Market
The FIIs so far have invested more than $ 14 billion. This cash flow has enabled the Sensex to reach 4382. If they withdraw this cash, the market will come down. During boomtime, money chases stocks. Now it is money chasing stocks. You should beware about the Bear Phase. It will be shares chasing money, then ! So book profits every now and then and be on your toes !