Weakness of dollar and Party time in Indian Equity market…..

The dollar making new low day by day against the basket of foreign currency….. As in my previous posting, I gave the reasons about weakness of dollar. Now dollar doesn't seem to safe heaven. Money will flow into other asset classes. And one of them is emerging market equity market and here Indian equity market presenting itself to investors as favorite destination. India is comparatively less expensive then Chinese market & potential to grow more.

It is no wonder that money is flowing in Indian equity market. Chain reaction has started, money is moving out from dollar will damage it further and this situation is not going to end any soon. Strengthening of rupee against dollar making, further India an attractive destination for investment. We are not going to see any major correction on bourses. Next big move expected in mid caps. So friends It is party time here again……. Enjoy…… rranjan27@gmail.com

This is five year GOLD index chart.....


   Now any idea where it could go from here it hits already high.  Now one second simple demand law will apply here.....In near   term I am  not bullish....  But high probability to make new high in 1st Qtr of 2010. Friends its related to problem to the "green buck" .  People joke that what president Obama will do with Nobel prize money for peace (Irony is that he wins when the nation he heads is at war..) ??  Probably will use in stimulus....  ha ha good joke...   But sadly whatever happened in financial world last year.... and after that some one has to pay the price..... And this time it is Dollar which is paying the price.........  On the verge of loosing sheen as global currency....  Time will tell everything...      rranjan27@gmail.com