Accumulate frontline stocks: Khandwala

According to Khandwala Securities' Market Preview report, once can accumulate frontline stocks and wait patiently for fears to recede and risk appetite to return.

The bear is running amock when the bull is in deep slumber. The informal oil standard is now a nightmare for equity bulls. Stocks continue to fall on falling oil prices on realisation the economy is slowing down. Earlier, stocks fell with rising oil prices, disproving popular market fad that oil and equity prices were inversely related.
It’s yet getting gloomy and darkest before the dawn. Traders are looking at the regulators and law-makers to stem the rout global equity markets are facing.
On one-year anniversary of all-time high in Dow Jones, the US Prez is likely to make statement to assure nation on the economy and his plans to fix it before demitting presidency.
On Wednesday, the benchmark Sensex and many pivotals made 'shooting' star formation on charts indicating major trend reversal.
We accumulate frontline stocks and wait patiently for fears to recede and risk appetite to return.
Asian markets are in the red. Nikkei (-10.6%), Hang Seng (-7.5%), Kospi (-7.3%), Straits Times (-6.6%), Shanghai (-4.8%) and Taiwan (-1.5%).

Source: Moneycontrol