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

BJP Falls short of Majority (5th June 2024)

1.U.S Markets closed higher Yesterday  2. U.S Futures are trading higher now. 3. Asian markets are higher. 4. Global cues are positive currently. 5. U.S Markets have made a short term bottom and now have reversed. 6. Gift Nifty is up more than 100 Points. 7. Yesterday was a big surprise to everyone. 8. Contrary to the exit Poll , things have been changed dramatically.  9. Exit Polls indicated a cakewalk win for the BJP. 10. Reality of the Ground level was entirely different. 11. There is BJP Govt forming but with a Coilition Govt. 12. Coilition Govt changes many aspects. 13. Firstly , the Govt cannot take decisions on its own. 14. It has to get approval of other parties as well. 15. This would hamper the growth prospects and future plans. 16. Last 10 years , the Government had come with a simple majority. 17. They worked freely. 18. This is a way good for democracy 19. One Govt dominating is not good for the Country , now everyone has to work for welfare of Country...

Global Shock !! (6th August 24)

1. U.S Markets closed lower YESTERDAY.  2. All the indices closed lower. 3. Right now , Dow Futures are higher. 4. Asian Markets are all higher. 5. All the Global Markets are Positive right now. 6. Last 3 days , there has been a flash crash in all the Global Markets. 7. There was a Mayhem specially in the Japanese Markets. 8. Japan had hiked the interest rate after 15 long years due to which their currency depreciated and it caused a 20,% fall in Japanese markets. 9. There are warnings of U.S recession post the Jobs data report. 10. Israel - Iran war has been taken escalation.  11. All these news have spooked the Global Markets.  12. U.S VIX jumped 400% in last 4 trading sessions. 13. India VIX jumped 50% Yesterday.  14. Although it doesn't impact us at all  , it's the nature of markets to react on news. 15. Right now , Nikkei the Japanese index has opened positive  16. 24000-23850 is a very strong and final support. 17. I expect yesterday's low...

Global Markets Mayhem !! (5th Aug 24)

1. U.S Markets closed lower on Friday. 2. All the indices closed lower. 3. Right now , Dow Futures are lower. 4. Asian Markets are all lower. 5. All the Global Markets are Negative today. 6. From Thursday to Monday Morning , U.S Markets have crashed more than 6%. 7. This is a terrible & an Alarming fall. 8. U.S VIX jumped another more than 20% on Friday. 9. This is the fearful data point. 10. Reason for all this is because of Geopolitical conflicts. 11. Iran - Israel tensions. 12. Japan currency depreciation etc. 13. All this is leading to a flash crash in the Markets. 14. 24500-24400 is a crutial support for nifty. 15. We are likely to open closer to these levels as per Gift Nifty. 16. First hour is the key today. 17. If we do not break the first hour low throughout the day then we might expect a reversal. 18. A further correction may be expected if the first hour low gets taken out. 19. Nifty might trade between 24300 to 24700 today. 20.  stockmarketadvisory.in