Pre Market Report 18-05-2009: We may see gap up opening with an upper freeze.

It is irrelevant to say that market will have a gap up opening today.
Nifty will open with a huge gap up and there are chances that for the first time in the history of Indian stock market we will be able to see an upper circuit.
Nothing much can be said that market as due to goodwill factor market will follow no technicals today.
But its for sure that such huge gap up should be used to book profit and reduce longs then trying to buy anything.
We advice to avoid fresh longs and wait for things to settle down.
There is one simple thing to ponder about that the new government is not going to turn the market situations upside down that traders and investors should be ready to buy anything for a valuation above 20-30% what many stocks were last Friday.
Its better not to jump to gain as you may end losing more buying at peak and then holding for much longer then needed.
So for anybody thinking of plunging into this euphoria we have only 1 advice:
Avoid Buying!
Avoid Buying!
Avoid Buying!
Avoid Buying!