Listed companies have started to release their Apr-Jun financial reports. As we all know the results may not be favourable QoQ for some or most, however there will be some coming off as winners. Identify them, analyse them, know the reasons why they perform better than others. And there will be others who will turnaround going forward.

The lending rates are dropping, so companies with high debts, may suddenly show better earnings, owing to lower financial costs.

The election fever has hit the CSE and we saw how ASI moved up 600+ points. The hurdle for the retailers would be to pass the last quarterly reports. I have made several indications , that minimise your exposure on margins, and you will be all right.

CSE has different class of retailers, some looking for ST trades and profits, Swing traders are looking to capitalise 1 to few quarters. And there are others looking for long term wealth creations. but as i see most are looking for ST gains, thats all right in some cases, but lets be frank that LT pays you off. Especially after a prolonged bear run, it is always better to lock in share prices in case you have got fundamentally strong shares.

There are many instances we have heard that retailers getting in at the right price and bail out too early of a trend.

ST volatility one can not discard and they are unavoidable in this context.

So if you are a LT investor, ignore this ST volatility you should be just fine as long as there is no big variation about the way in which the company operate.

One final thought, the financial reports that are about to come through may not be that better, but lets forget Apr-Jun qtr and look beyond that.

SHARK