Fully Correlated.

I have observed that India is almost fully coupled with developed markets. We sometimes diverge but that should be considered as noise, rather than any decoupling. Now, wiser heads are asying this. reuters runs a perort which says that emerging markets are correlated, but also:

“More significantly, the beta of emerging equities — measuring price fluctuations relative to developed markets — has fallen to one since the start of the year, suggesting that emerging markets now merely track developed markets. Gains are thus likely be modest even when global sentiment picks up.”
(http://ftalphaville.ft.com/blog/2010/08/02/303676/correlation-fatigue-emerging-market-edition/)

In layman’s words: This means that emerging markets will not outperform. They will move exactly as the developed markets do.
Sachs prescribes telescope over microscope
Jeffrey Sachs, Professor at Columbia University major and one of Time magazine’s “100 most influential people” recommends that our country takes a longer-term view in handling our problems. Instead of analyzing everything through a microscope, Sachs realizes that peering out over the horizon with a telescope may provide a clearer path to success versus getting sidetracked in the emotional daily battles of ideas.

No need to wait

In ‘earlier’ days on a trading day, Indian traders wait for the Singapore Futures exchange to open at 7 AM IST when the first rates of the Nifty on SGX were available.
Now, thanks to 22 hour trading on the CME, you can get this information earlier. On Sunday, the CME had the last price at 5378 while trading was closed. Today, Monday morning at 6:40 AM , the CME is trading with the Nifty quoted at 5393. As time goes by, the ability to trade 22 hours will give an immense advantage to non-indian traders.

KK asks: “WHAT IS THE DIFFERENCE BETWEEN A MEMBER SOCIETY AND A DEVELOPING SOCIETY OF IFTA?”

My Notes: When a society takes a membership of IFTA , for two years it is given the status of developing society when it is exempt from payment of membership fees and also does not enjoy voting rights. After two years, it become a full member. The Association of Technical Analysts, India is currently a developing society. We have completed one year.
NIFTY

The Nifty seems to be entering a period of some kind of correction. Here is a slide show setup for our subscribers which explains why we think so.