Rational markets??

China is crashing
we are stable?
Is that a sign of maturity??
Or did we take our cue from the u.s which gapped down but closed higher??
I am sure the technicians took their cue from the u.s

If china is a p.e of 50 and its a sell for 50% correction of full swing from bull market lows.
Does that make us a sell?
Shouldn't we wait for p.e of 25-30 before we top out??

If bharti is a sell at a p.e of 50-60 does that also make rcom a sell at a p.e of 30-40????
Are the markets rational?
:)
Questions to which i don't have the answer.
But i do know this
He who can keep himself rational during an irrational market
Stands to make the most.
Litl bought 155 50% retracement
1-2-3-4-5 abc
contrarian pattern
AT SUPPORt
NO CONFIRMATION
its up to 170 now..
Here is the beauty of studying exotic market theories.
You will realize that with certain patterns the sl will not change regardless of whether u get confirmation or not and the confirmation signal might not significantly improve odds of immediate success in all cases ..
The ultimate confirmation is fundamentals. Buy in delivery only if you are convinced of fundas
litl will now up 190-200-240 above 176.

In the may panic of 2006 rel crashed to book value 3xx rs per share...
Those who kept their cool got in right at the bottom just by placing a bid at the book value.. such a simple technique for buying a large cap :)