Update 9 May 2018
Within 12 hours of this post (below), Trump’s announcement of withdrawing from the Iran Nuke deal! It’s the prolonged uncertainty that this announcement could create in global financial markets that could derail stocks & currency markets in India & abroad.
Hopefully the other powers will stabilise things – at least partially. This is yet another opportunity for China (with Russia) to step into the breach by USA. The EU isn’t strong enough to counter balance.
Watch the Nifty. Volatility may well be back.
In Feb I predicted a Nifty50 correction here.
Though it’s “early days” I’m reading the Nifty signal three things:
- Nifty is done with the correction and would resume the upward march.
- Robust growth ahead.
- BJP forming the Karnataka Government.
For the technical chartists, here is the screenshot today 08 May 2018:
How long it will take to scale new highs the Nifty did in Jan2018 is anybody’s guess. But let’s remember that markets are typically lead indicators.
Baring a completely unexpected result in the Karnataka 2018 elections, its a safe investment ride to the next political events in the last quarter of calendar 2018.