Honey We just had our FIRST UPPER CIRCUIT!!!!

History is made today at the Indian bourses when we hit the upper circuit; First time ever!!!

The markets gave resounding thumbs up to the newly elected parliament. But what next? Is it the time to jump in? Perhaps no, see what’s happened today is just one off event, sorts of celebration. Celebration of what? Celebration in anticipation of that all things good will happen henceforth!

I feel this is how the bubbles are created; nothing will change immediately with this one circuit. It just wont make any sense if you feel you have missed the bus (remember the rules about the buses if u miss one there’s always one coming around from the corner!). After today’s action or perhaps if this irrational exuberance does continue for the next couple of days, we would be back to what we call Reversion to the Mean. Yes internal factors play an important role but let us also not forget we are a part of one big family; the World! So we need to keep into mind the global cues. We have got a headstart but if the global cues aren’t supportive we might just have to follow them! This is one massive gap up we have created today; surely it would be nice seeing it get filled. Wishful thinking eh?