IT STOCKS FOLLOW CYCLE

Tomorrow is an important day for market- Infosys result day. Market is going up and on its way up catching many experts on the wrong foot. The result will determine whether the market will go further up or may pause a bit with correction.
I am dependent on the result, for the IT stock HCL Technology, I have in my portfolio.
Good result will buoy it up. Market is already anticipating some good result, seeing the movement of IT stocks in last two sessions.

Stocks follow cycle. A company grows, matures and then declines. Best time to buy a stock is when it grows. At present it is India shining story, so most Indian stocks are growing. Rate of growth depends on management and business model. Some stocks have unique business model which is difficult and even impossible to copy. A good management can change the scenario of a business.

At present the growing Indian IT industry have some very good business model and robust management, which is evident from the growth of the companies. The top five Infosys, TCS, Wipro, Satyam and HCL Technology generally lead the way for the smaller companies.

I wonder if Rakesh Jhunjhunwala has some stake in IT industry. If not, why?

We are not at par with Chinese in manufacturing sector, it is their forte. But IT and ITES is our forte, if it goes wrong, there will be some grim picture to portray. Lets keep my finger crossed and ears open, and ready for action at the drop of a hat.

Am I as nervous as the market?