Skip to main content

How do you take Advantage of this 30% Decline in Stock Markets?


It is a well Known fact that Corona Virus has destroyed all the Stock Markets Globally & all the Portfolio's ( last 1 Year) are down by an Average 20-30% at Minimum.

This Article is for Beginners who are waiting on the Sidelines to get into the Stock Markets. This is a great time to start building Portfolio's of Quality Companies as Everything is Available at quite Reasonable Price.

How & where should you Invest?

Those who have Knowledge & Understanding of the Markets can start Accumulating Bluechip Stocks which are down 25-30% from their all time highs. Remember , this is not the time to go & hunt for Multibagger type of Stocks. Stick to the known names & accumulate Bluechip Stocks only.

Those who cannot identify Companies themselves are advised to start investing via MULTICAP SIP ( MUTUAL FUNDS). SIP works best when Markets are down as you get to average your NAV at lower prices every Month.

Do we know where & when will the Markets bottom Out?

Only the God & a Liar knows when will the Markets bottom Out nobody Knows when will the same happen. So when I say to start investing I'm Referring to invest at least 40% of your Investment amount now & rest on every dip.
Do not be over excited and start buying Everything from tomorrow itself. There is good chance that you get stocks at much cheaper level.

There is nothing to be Worried or to be Panic about. There was a much bigger Crash in 2008 but soon after that the Biggest Bull Market of all time Commensed. So instead of Predicting the Market & Bottom better we focus on the things which are Controllable & in our Hands.
Be Disciplined & invest Regularly. Do not give importance to Unnecessary news because everywhere you are Witnessing just panic as of now. If u follow this Process , I'm sure you would be rewarded with Great returns in Coming Years.

I will be Investing 40-50% of my Investment amount Tomorrow & rest will slowly keep Accumulating if theres any Dip.
When the Stock Prices are high People say it's Overpriced & when the same is Available 30% Cheaper they are afraid to buy. Everything was looking good just a Month back & now Everything looks junk. Views and Perspectives change quite easily & Quickly. After 4-6 Months you would be Grateful to yourself for investing in this type of Market Crash. In my 11 Years of Experience I've always noticed that when everybody is highly pessimistic and talk as if World is going to end Tomorrow , generally Markets bottom Out around that phase . We are almost in this kind of phase now. You should have been Fearful of Investing when Nifty was near 12000-12400. Tomorrow you might get Nifty near 8700-9000 if you are Fearful still then you will keep waiting for life but never find a Proper entry / exit level. So the Choice is yours , keep waiting on the Sidelines or start taking action.

I conclude this Blog by hinting a Famous Quote from my Investment Guru.

Be Fearful when others are Greedy & be Greedy when others are Fearful - Warren Buffett


Comments

Popular posts from this blog

Pre - Market Analysis (30th Jan 2022)

1. U.S Markets closed higher on Friday. 2. Right now , dow futures are lower. 3. Asian markets are mixed. 4. SGX Nifty is up 30-50 Points. 5. There's no point discussing Global markets today. 6. As we are dealing with our own local issues as of now. 7. The talk of the town is Adani Group. 8. Every stock Market participant during last 2 days have not spent as much time with their wife /gf /husband /bf as they have spent on researching Adani stocks. 9. They shouldn't have wasted so much time in research and should've spent their time with loved ones. 10. As Ultimately my Pre Market report would clear all. 11. Now , the Adani stock price has gone below the FPO price. 12. FPO price is in the range of 3100-3200 and stock price is around 2800  13. Who will subscribe to FPO when they can buy shares much cheaper from the Market? 14. Also over the weekend Adani has come up with a 450 page report addressing one by one the allegations made by Hindenberg.  15. I haven't

Pre - Market Analysis (18th August 2022)

U.S Markets closed Flat Yesterday. Asian markets are mixed. SGX Nifty is close to 17940 right now. Yesterday markets broke out of 17900 and now are closer to 18000. 18000 is important as 18000 CE has the highest open interest. Highest amount of calls have been written for 18000 CE strike price. Plus round figures always act as psychological resistance too. Today is the weekly expiry and as of now the range is 17800 to 18000. 17800 is a strong support level and 18000 might act as resistance. Markets will gain steam once 18000 is taken out. Today could be a side-ways expiry. But nothing can be said as markets can always surprise you. IT Index has crossed 30k. Sensex yesterday hit a landmark of 60k. Sensex and Nifty both are now just 3% away from all time highs. So this isnt just a Bull Market , it's a raging Bull Market. India VIX closed below 18 yesterday. Bank Nifty is close to important levels of 40k. Once these important levels are taken out then we move towards all t

Pre - Market Analysis (14th September 2022)

U.S Markets closed lower Yesterday. Dow Jones & S&P 500 crashed 4% each. Nasdaq crashed 5% Yesterday. SGX Nifty is indicating a 300 point massive gap down today  Asian markets are lower. Reason is the U.S Inflation data which got released yesterday. Inflation data arrived was at 8.3% . This Data was higher than the expected data. Market wasn't expecting Inflation data to be above 8%. But this data shocked the markets. Yesterday Dow futures were higher till Inflation data was announced. They were higher by 200 points. As soon as Inflation data got announced it spooked the markets  U.S VIX rose 15% Yesterday. Right now Dow futures are slightly higher. 17800 is a strong support for Nifty. It this holds we can expect fall to reduce. Fall shouldn't be drastic if Nifty holds 17800. Yesterday many traders had longs as Nifty closed above 18k. All these traders will be chopped off due to this gap down. Nifty might Trade between 17700 to 18000 today. stockmarketadviso