Thursday, December 11, 2014

interpreting fii's move

when market is falling, 4 scenarios arise viz a viz fii activity

1. fii net buying but not much
2. fii net buying heavy
3. fii net selling but not much
4. fii net selling heavy

interpretation
scenario 1 = downtrend doubtful as of then.
scenario 2 = just a pullback in confirmed uptrend.
scenario 3 = fii's want more time to fish for chosen stocks for lesser
scenario 4 = run (short) for life(time opportunity).crash approaching.

and

when market is rising, 4 scenarios arise viz a viz fii activity

1. fii net buying but not much
2. fii net buying heavy
3. fii net selling but not much
4. fii net selling heavy

interpretation
scenario 1 = uptrend at advance level? go slow with eyes wide open
scenario 2 = party just started, get onboard bagsful
scenario 3 = caution : diversion ahead
scenario 4 = last call before the diversion.

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