Its been a common phenomenon these days that market open weak and then start the slide but then on any given day some major support comes and then same phenomenon next day. Now the strong support at then end is due to majority of the short covering and no real buying. I am firm believer of Bull market and so I still see Sensex likely to see a good support around 16200 levels and nifty likely to see support around 4815.
I personally believe that the support will not break on a closing basis and that would make more buying coming in when volatility goes down. Now in such a market turmoil what is the best investment strategy.
The first step is to choose certain stock. Now look at the Past profit and look at EPS / PE ratio and then see what is the best price for the stock and then when it starts coming along the target you have in your mind go out and start accumulating. Equity will always remain as one of the sectors where you can double your money faster than any other Asset class.
As of now the Exchange volume is very low which suggest that people are playing wait and watch situation and so for investor its a golden opportunity to invest in some of the stock which can double in around next 3 years. I have been doing lots of investment and bottom fishing in many stocks mentioned earlier.