S&P upgrades India rating to Stable – No Big Deal !

The big news for today which led to the sharp jump and short covering in Nifty was S&P upgrading India to stable and BBB-


Now suddenly there will be a lot of biased opinions.


Bullish Bias – S&P upgrades India. Wow now you see how the dollars will flow into India.


Bearish Bias – S&P upgrades India. Sell on News. Ab to top banega dost.


Let us look at the movement in Nifty in last 3 years with S&P ratings.


By the way i believe a stable rating only implies no downgrade in next 2 yrs most probably and so is not really a big upgrade in ratings. ( Now thats confusing 😉


S&P India Rating


This is how it looks.


  1. Post S&P downgrade of US Nifty fell 10% but recovered to same prices in a few months.
  2. Post S&P downgrade of India it fell 5% in quick time and recovered back to same prices in weeks and the rally continued again.
  3. Post S&P upgrade today you can make your bet where it goes but i doubt it is a deciding factor.


Also if you want more data below is the history of S&P ratings on India. Did not really find a good co-relation.



S&P India Ratings



As mentioned in our view today morning. The preferred scenario is 7800-8200 for some time.


We initiated a buy at 7865 on spot and closed it a nice 70-100 points in the day in our QuickGains Service.





We have just released our Technical Trades October 2014 report.

Contains View on Nifty/Midcap Index/SmallCap index.

Top Midcap Conviction bets.

Smallcap Ideas.

We will be adding more ideas in coming week.

You can subscribe the report at Rs 1999.


Alternatively you can also go for membership to Technical Traders Club for Half Yearly/Annual membership to get much more benefits. The above report comes as one of the benefits of Technical Traders Club Membership.


Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.