KARNATKA BANK V/S PPF

Hello sir,

You are just like a ******** for us. Iam a great fan of yours. Sir I bought karnataka bank 100 share @ 121rs. I bought it for trading only for one month. What is your advice for karnataka bank, if somebody wants to hold for longer term rather than trading. Sir I have one more question. Some people are saying market will correct heavily and sensex will touch around 14000 in this year. Does it looks true. What do you think about it..? If market crashes what can be the reason...? In which month this crash is expected...? Please advice me as I want to invest 50,000 rs for my daughters education, she is one year old now....I always follow your honest advice. Please advice some very good stocks for 15 years...

Thanks & Regards
Deepak Sharma(delhi)

1. Namaste Deepak ji , thanks for apriciating me and my work , sorry for editing some word from your mail.

2. First I reply your question about karnatka bank is a 10 rupee face value banking sector share currently traded at 116.30 and year high for karnatka bank is 192.93 so after this type of correction from year high near 35 % generally we see only bounce back rally but overall price go to downwards only.

3. This is a speculative script where we see promoter holding nil and FII holding 29.98 % so purely institutional driven stock where small investor like you and me may trap at any time. So my view is negative for karnatka bank and whole banking sector as well as.

4. Your second question is “Some people are saying market will correct heavily and sensex will touch around 14000 in this year. Does it looks true. What do you think about it..? If market crashes what can be the reason...? In which month this crash is expected...?

5. I think I am unable to correct reply this question but my blog http://200dmagenius.blogspot.com/ is a market health meter when you see more then 5 fresh breakouts per day then you may not worry about market in near term but when you see less then 5 breakouts per day or “nil” breakouts report then it may warn correction in near term see past posts on this blog where I easily forcast market crash and rally in help of this theory.

6. For your daughters education I think market is not a right place PPF is one good choice as I advice earliar to shri rajesh Sharma ji read following posts for more details on PPF

http://sharegenius.blogspot.com/2011/01/15-year-investment-plan-for-girl-child.html

http://sharegenius.blogspot.com/2010/01/best-tax-saver-option.html

http://sharegenius.blogspot.com/2009/12/sharegenius-volume-1.html