Hi Frenz,

You remember, I had in my earlier posts, told you the rule of trading to buy on rumors/expectations and sell on news? Did you apply the same on Friday, when the Rail Budget was to be presented?

Are you aware, the stocks which were assumed to be benefited by Railway Budget like Titagarh wagon, Kernex Micro, etc. rose for many days on the expectation of profit from the budget and no sooner the budget was presented at 12pm they collapsed. The reason for this was that the news were discounted in their price and profit was booked as the news were announced. If you do not follow the rule and buy after the news you get in to stock at the highest price and feel disappointed as it declines as soon as you bought.

Keep in mind this rule and profit whenever any news is expected in any stock.

Have a good week end and see you on Monday,

Jagruti.