Wednesday, November 24, 2010

Missing on TV, available on the blog

I am grateful to readers who seem to have missed my appearances on TV. It is a great feeling to know that readers look forward to my views on TV.

This blog is not a market blog, at least I do not want it to become a 'tips' and 'what will the market do' kind of blog. This is the reason why I avoid giving my views on the market, in the blog. The blog is for learning and education.

But today is different. I did not watch TV (I am in Kolkata for a holday), but I assume that earthshaking events must have taken place today. A friend called up to say that Udayan made an appearance on CNBC-TV18 late afternoon because the world was crashing (This is hearsay, unverfied information, so apologies for any mis-statements). I assume most business TV channels must have carried similar 'the earth is shaking' themes.

I sometimes wonder if business TV causes crashes or crashes cause Business TV to get hyper. This is a question for which I am unlikely to get an answer.

I was trading today. But I was in my parents home. They were watching their favorites on TV so I did not want to change the channels.  I had no idea why the markets were crashing after 3 PM. I thought, if there was something serious, the decline will continue, if not, I will buy. Around 3:20 the decline did stop, so there was nothing serious. I bought 5800 and 5900 calls (November).  Now, we will see what happens tomorrow.

Cheers!

7 comments:

venu said...

well said, I was also completely unaware of situation..im holding 5900Puts, so was happy ;)

Zarir said...

Dear Sir,

On the Trend Analyser charts you wrote yesterday that Nifty has support around 5550 - 5500 and you expect the nifty to decline to these levels, yet you have bought 5800 and 5900 November calls.

Appreciate if you can please explain this to me as they seem contradictory. Am I missing any point here ?

Regards
Zarir

bkm said...

Sudarshanji,
We all must be missing you on TV (CNBC etc), for atleast I used to watch for your general(Genuine) comments. Now all others gives tips kind of thing.

I was watching live TV of CNBC, when I heard of CBI raids with LICHsng involved and that was 5% down, though I watch and don't trade much, I thought this news based item is worth shortselling.Within few minutes the fall was severe to 10% to 15% and to almost 20%. All courtesy news effect.
and as per your view , wait for fall to end and stabilise.
I bought calls of ICICI, SBI, Tatamotors,tatasteel and 5800 nifty call at the last minute. These seems to be unrelated to scam ( while listening to TV these banks were not mentioned ).
Overall TV news has cascading effect on prices of stock debated up or down depending on bias taken by debators.
The best is to go as per movement on ones' chart which gives the best direction ( with due regard to your wise blog comments )
at this time 5.15 a.m. US is celebrating "U.S. stocks rallied more than 1% Wednesday after a huge drop in unemployment claims signaled some signs of life in the depressed labor market. " (cnnmoney).
I call US as Big Br. who command the globe movement, only China , I call it as Little Br. who only can dare Big Br. .
So 25 th expiry would have high volatility, lets' watch.

bkm said...

Sudarshanji,
Sorry I forgot to put my initial at the end

regards
bkm

piyush said...

sir, just wanted to know how you traded these calls on expiry day, since i think 5900 r going to expire worthless

Shazia said...

Hi Sir,
You are in my hometown, and am glad to know that it is your hometown too!
All the best for the holiday!
(btw, If you didnt see the TV, you must be watching your terminals..)
Shazia

Mind Without Fear said...

Shazia, my hometown too!

Sir, enjoy your stay in Kolkata. Usually, this is one of loveliest times in Kolkata.