If the answer is "Yes" then its time to learn from past mistakes and prepare yourself for the next move. Anyone who has been reading this blog for weeks/months would have known that this was coming as we mentioned in many past post over last several months. We also explained why we expect it to happen and provided a timeline as well. Understanding market character is the key to be a successful investor. We hope this website provides you with enough knowledge and information to be a wise investor/ trader.
Let's get back to our weekly post.
Not much has changed in below chart. Nifty is way below MA(100) while McClellan Index appears to be moving below EMA(59), both signs suggest to remain cautious as this market has yet to find its footing.
Use this time to your advantage:
- Identify ways to find potential candidates once market shows any sign of life
- Understand market analysis so next time such an event occurs you are well prepared
- Create your own methodology for investments
What does it mean for our Investments for now?
- Mutual Funds - If still invested in equities then time to hold onto this roller coaster ride, exiting now will be very expensive and painful. No need to rush to start SIP unless we get positive trend reversal sign. If in cash/ FDs/ liquid funds then it is wise to stay on sidelines.
- Stocks - ONLY invest in strong patterns with good earnings guidance and DO NOT forget to have STOP LIMIT on open positions. When market is in correction, it will drag everything down with it. Check out our trade size calculator to manage your risk along with potential buy candidates watch list.
New Service -
Take a look at our new service called "Quick Charts" which offers an easy visual way to look at daily and weekly charts of chosen stocks side-by-side. we hope it helps you in your research.
Bear market in full swing...