As with nature's five elements - namely earth, water, fire, air and sky - we look at five economic and financial aspects based on company's quarterly results to form our valuation. For this reason this technique is called the Pancha Tattva Stock Teknik. Each valuation is given in terms of a delta change from neutral value of 1000 points. Higher the value the better the stock is. 

The Market Matrix, Sector Matrix, World Matrix and other sections of this site provide extensive news coverage and analysis of local, sector related and world events and their effect on the Indian Stock Market. You can have our contact details on this link - [About Me]

Wednesday, November 12, 2008

World Matrix - The world GDP has never been negative since 1930

Friends,

The developed economies will have GDP growth of sub-zero percent in 2009 as per IMF prediction. The emerging economies will still be able to have +5 pc growth. Whether this scenario is fit for R-word is in doubt because the global GDP will be between 1.5 to 2 pc as per gross estimates. Though the world GDP has never been negative since 1930, it has been negative on per capita basis in each down-turn in 1975,1982 and 1991 but surprisingly in case of 2001 (considered worst year) it grew by 1 pc.

I have a differing opinion. I think every slow-down makes the plans reworked and rationalised and redirected by all ie the govts, the industry and the financiers. This results in making the capital more efficient. In this down turn the auto-industry has suffered most and rightly so. The USA’s wholly private transport concept is faulty and it will have to rework a plan where by the commuting will be more based on mass transportation. This may show GDP fall but it will in no way result in lesser comfort for people. Everyone will have a sigh of relief. There would be numerous examples of cost saving, stopping wastage, rationalise production, reduce working hours, make more smart use of tele-communication and wireless communication facilities and put the IT for world’s benefit rather for just picking money from other pocket through complex trading and financial jugglery. The world has vast resources which are yet to be tapped and millions of people who have to be trained and put to useful activities.

In stock markets, DOW recovered some of the lost ground yesterday and Asian markets have opened low but only marginally and hence our markets should not have cause for worry and trading range should be not very large unless done by design.

The exports tumbled in Oct 08 and now the custom duty collection is lower by 0.95 pc and excise duty collection is lower by 8.70 pc on YoY basis. The Oct 08 should be an exception due to the developments of special kind afflicting world trade and seeing fund flow stoppage.

HariOm,
Krsna Khandelwal

BIRDINFO Stock Rx - A prescription for stock market
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BIRDINFO Stock Rx
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We are India based equity research group and BIRD stands for Business Information Research Dialectics. We have developed a unique system to do analysis of stock markets. The regular recommendations for stocks and industry sectors are available on the site. We also advice our customers for stock market investment based on our Pancha Tattva Analysis System tested for more than a decade. We provide paid advice for one year @ INR 1000 per stock. The advice at the time of volatility and quarterly result announcement by companies is extremely useful for taking Buy or Sell action. You have to make advance payment through our HDFC Bank Account to avail our services. Please send your request via E-mail. The Pancha Tattva analysis (study based on five basic parameters) of a portfolio can also be done on payment basis and investors are requested to contact via E-mail for a formal quote. The content and our recommendations are subject to disclaimer clause posted on this blog site. © Copyright 2006 BIRDINFO Stock Rx All rights reserved. We shall try to provide satisfaction on all our services. E-mail us at krsnakhandelwal@yahoo.com or birdinfo@gmail.com
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Pancha Tattava Stock Teknik - 5 dos & dont's

We give below the important points to remember for the new visitors of our site who venture out to trade/invest on the strength of Pancha Tattva Stock Teknik:

a) The Pancha Tattva (five basic elements described in Indian scriptures) points for a stock are computed at market price and indexed taking 1000 points for value neutral stock. The stock is weaker if it has points under ‘1000′ and is stronger if it has points over ‘1000′. The variation against 1000 level does not always denote the exact proportion in price strength.

b) The points and its resultant attributes are ascribed after careful derivation of certain ratios based on the most recent quarterly results, management strength, industry prospects, political climate, price history, interest rate scene etc. It actually takes care of every aspect effecting the price. This point level along with advice is posted on site after quarterly results for some stocks.

c) The trading/investment strategy given in each case should be followed.

d) Since there are always fresh developments effecting the price, a stop loss mechanism should be followed. You may sell off half the quantity upon slide in price to the extent of 3-5% and sell entire quantity upon 6-10% fall in price.

e) Once out of stock you should not look back at the same stock until fresh point level is given after announcement of next quarterly result. In case some unusual movement is seen in between result period, you should not forget to ask for fresh points level computation and advice. This should be made use of as much as possible.