Warren Buffett once said “Only when the tide goes out,  you discover who's been swimming naked.”

If you understand the meaning of the above quote then you would appreciate that it is one of the best quotes on value investing. Warren Buffett apply describes the carefree risk-taking behavior of several investors who invest only during the Bull Run. Once the Bull Run is over the investors discover that that their wealth has evaporated. This is the reason for more than 97% of investors to make losses in the market. Value investors, on the other hand, examine the value of the stock and determine the entry and exit price of the selected stock thus make huge money in any value investing market. Take for example, our call on Shanthi gear at Rs 40. We gave an exit call at Rs 75+ about a fortnight ago. In fact we reminded you about the exit even on Monday and stressed the importance of an exit on several reasons. We also mentioned that soon the shares of company would be available at sub 70 levels. If you look at the stock price now you would clearly experience the importance of our newsletter. Shanthi gear closed at about Rs 65 yesterday, now we expect the stock to go down to Rs 50 levels. Why?  We had already given out the reasons for the same in our Monday newsletter.

Did you like the recent predictions of the wealthbull newsletter?

1. Shanthi gear entry at rs 40 & exit at Rs 75
   
2. Our newsletter informing about the bull run when the nifty was at 5200!
3. Our newsletter informing the resistance of Nifty at 5800
4. Our newsletter informing the correction based on the S&P 500 which resulted the Nifty to correct sharply from 5800.
5. The unbiased coverage of the market which gives you a crystal clear picture of the market.
6. Value investing posting which helps wealth creation.

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What to expect from the market now?

Today the US market would reopen after the hiatus of 2 days. Incidentally the FIIs have turned out to be net sellers in the recent past. We expect the market to stabilize at the support level of 5450.