Day Trading Stocks & Futures
- Thread starter TraderRavi
- Start date
- Tags banknifty bnf daytrading nifty future
My understanding of yesterday's budget and how it will affect our stock markets and economy :
1) The country has started walking aggressive fiscal path first time since 2014.....it wants to kickstart drowth in the economy and it is prepared to sacrifice tight fiscal deficit path it followed so far.....this a very big shift from the Government's stance.
2) They want to go ahead with PSU and some banks privatisation but they are no hurry to do the same. They would make sure we get the best price for our country's assets.
3) Infrastructure development is being done without adding further tax burden on tax payers.
4) India will be on a fast growth path in next 3 years so the market will go up for next few quarters. It is unlikely that we will get a deep correction unless there is some adverse news on Corona front. This is a bad news for all those ( including yours truely
) who are waiting for deep correction to fully invest in the market.
5) With increase of fiscal deficit, the inflation is bound to go up.....this again is a bad news for us.......
6) We may be looking at the best period of market upmove in last 10 years or so in coming 3-4 years.
7) From next quarter onwards good companies will report exceptionally high % age of market share gain and profitability as the base for QOQ comparison will be lower from Jan 2019 onwards.
8) We may continue getting 5-10 % shallow corrections from time to time but deep correction seems ruled out.
9) Interest rates will go higher in next 1 year making loans more expensive and add to the funding cost of corporates. So the companies which have pricing power to pass on the increased cost to its customers will do well.......soon we will see price hikes in many products and sectors....
Needless to say, these are as per my limited understanding so I am sharing with other members......others can have totally different views and the market will be the final judge.
Smart_trade
1) The country has started walking aggressive fiscal path first time since 2014.....it wants to kickstart drowth in the economy and it is prepared to sacrifice tight fiscal deficit path it followed so far.....this a very big shift from the Government's stance.
2) They want to go ahead with PSU and some banks privatisation but they are no hurry to do the same. They would make sure we get the best price for our country's assets.
3) Infrastructure development is being done without adding further tax burden on tax payers.
4) India will be on a fast growth path in next 3 years so the market will go up for next few quarters. It is unlikely that we will get a deep correction unless there is some adverse news on Corona front. This is a bad news for all those ( including yours truely
) who are waiting for deep correction to fully invest in the market.5) With increase of fiscal deficit, the inflation is bound to go up.....this again is a bad news for us.......
6) We may be looking at the best period of market upmove in last 10 years or so in coming 3-4 years.
7) From next quarter onwards good companies will report exceptionally high % age of market share gain and profitability as the base for QOQ comparison will be lower from Jan 2019 onwards.
8) We may continue getting 5-10 % shallow corrections from time to time but deep correction seems ruled out.
9) Interest rates will go higher in next 1 year making loans more expensive and add to the funding cost of corporates. So the companies which have pricing power to pass on the increased cost to its customers will do well.......soon we will see price hikes in many products and sectors....
Needless to say, these are as per my limited understanding so I am sharing with other members......others can have totally different views and the market will be the final judge.
Smart_trade
Also very true that point 1 (deficit financing) will cause point 5... but point 2 and 3 (infra spend without tax increase), in a paradox, counter-indicate that that point 1 alone will not suffice... need increase internal and external commercial and sovereign borrowings... external borrowings will impact exchange rate adversely... domestic borrowing by the sovereign will crowd out the private sector thus increasing their cost of funds which will exacerbate the outcome of point no 9...
Also, one good thing, accounting-wise, is that some of the off-books borrowings have been brought under budget because of point no.1... Pandemic is proving fruitful to brush closet skeletons under the corona carpet... at least the books may be cleaned and restarted with a clean slate...
Unfortunately, the spending as claimed by FM before and during budget speech is not upto mark. The expenditure or deficit shown in accounts is actually from FCI account (Food subsidy). Govt didn't spend on expenditure as planned in 2020-21 budget. Moreover, the proposed expenditure in 2021-22 budget is slightly more than it was for current year. (again Interest payment make biggest part of govt spending, which will increase in next year along with food subsidy).
So its doubtful that any fresh major infrastructure expense boost will be given to economy. Farm cess added on various items will add to inflation. Part of Excise duty on petrol/diesel is shifted to Farm Cess which would give some leeway in future to raise excise duty on petrol/diesel again.
So its doubtful that any fresh major infrastructure expense boost will be given to economy. Farm cess added on various items will add to inflation. Part of Excise duty on petrol/diesel is shifted to Farm Cess which would give some leeway in future to raise excise duty on petrol/diesel again.
according to oi, today's target is 35200 
lets c whether it hitting today or not
dekhte hai big player konsa khichdi pakata hai aaj
View attachment 45448
lets c whether it hitting today or not dekhte hai big player konsa khichdi pakata hai aaj
View attachment 45448
35200/500, on staying above 34750
ltp 34444
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