To be honest, I expected this kind of crowd behaviour in the market after credit clearance case popped out! (I don't blame that process! It is much needed move to avoid a big correction after some time. But I think it should be imposed after a proper analysis of the market environment. First of all they should think "what will be the after effects of imposing these types of unrealistic deadlines" before-hand.) Coming back to the topic...
Now you may ask "How did you predict, this crowd behaviour before?"
Okay! Let me start it like this...
Who are there in the market?
Investors, Traders, HNWIs & Brokers (Let's keep companies aside for a while)
Then, what is their primary motive?
PROFITS (MONEY)
So...
What's new ???
Yes, every one is trying to earn money. What will be the situation if someone imposes deadlines to earn their profits? For an example "You should earn all your profits before Nov 31" Ooops! BULLs in Action!!!
Each & everyone is searching for money in the market as same as those good old days. But now, when earning their profits they have to be aligned with some deadlines.
> Brokers want to clear the existing credit in order to keep up with SEC deadlines.
> HNWIs/Investors want to settle there existing debt to avoid forced selling.
> Small investors (& Retailers) want to recover their existing loses due to forced selling by brokers.
So what can you expect other than this kind of market behaviour!
We can call it as "Quick Buck Trading" or "Pure Speculation"
Really good quarterly financial reports and annual reports are posted from some of the listed companies. But speculation plays a huge role in the current market, distracting the really valuable shares.
During last few weeks there's no any liquidity level at all for companies such as CARS, DOCK, BRWN, LCEY & RENU etc. So many fundamentally good counters are in CSE without investor/trader attention due to other short term attractions such as CSF, CLND, CFVF, TWOD and JINS etc.
After all, I expect some more big rallies in coming months due to this hunger for profits!
They may be either good or bad when it comes to fundamentals.
But who cares? M O N E Y
But honestly, I don't have any idea about the "picks" yet.
Do you have?