sharptrader Posted July 10, 2009 Summer and Markets: UAE markets are following international markets. US markets are witnessing a correction of its recent rise from the lows. Market circles do not expect good results from the second Q and thus do not justify the recent rally and this is the reason they are facing some selling. Local markets are also eagerly waiting for the second Q results which will not be good but will be better then expected. We witnessed a good rally from lower levels of 1430 until the estimated targets of 2200, on very good volumes and the fall after that is seen on a very low volume which indicates that still investors are holding the positions and may add-on on lower levels near 1600. In the last summer we saw foreign investors selling as the markets were trading on the higher levels and there were global recession worries thus we saw a massive sell off. But now when the equities are trading almost at their lows and we saw foreign investors enlarging positions on lower levels do not signal a sell off from their side. Either we are going to witness a long sideways market or may see a rapid rise by Aug end if excellent results seen in the second Q. Logistic and Utility sector will again attract investments, banking and Real estate may face a pressure. Second quarter is already expected to be bad by the investors but if something better will definitely boost the sentiments and volumes regardless of summer. Buy selective stocks on lower levels and exit from the non performing stocks and catch the out performers like ARMX, TABREED, ARTC and DFM on lower levels. One can always reduce the exposure but will not advice to sit completely on cash. Quote Share this post Link to post Share on other sites
N.O.R.F Posted July 10, 2009 DFM is a shambles. Main companies listed are all property developers. How much are Emaar shares now? 3 dirhams? If you want to buy shares buy them in Drake and Scull and Arabtec. Quote Share this post Link to post Share on other sites
