Home > Education > Should one act brave and buy now?

Should one act brave and buy now?

Thursday, August 16, 2007 Leave a comment Go to comments

The answer is yes and no!

If you are buying aggressively thinking that this is the “bottom”, then you might be better off staying away. You might turn out to be lucky but what if your luck ditches you.

If you are buying stocks which are still in an uptrend and know your “exit” points (and pain points), then you can definitely buy .How much you buy might be more ‘critical” than “what” you buy.

If you do not understand what is happening or are feeling confused or fearful, then let things settle down before you decide to buy/sell.

If you are already having big losses, then I do not feel you should buy more to ‘average out’. Just think what might happen if this market goes for a further 20-30% fall. Would you be able to handle it?

Do NOT try to fight the trend. Flow with it.

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Categories: Education
  1. Sunday, August 19, 2007 at 1:43 pm

    Well no doubt left is least interested where stock market goes but their political wisdom is proven one. They will not allow the country to fall into any political uncertainty. Last government also had such anxious moments but everything was set OK.

  2. sagecapital
    Sunday, August 19, 2007 at 12:23 am

    Reymax-I couldn’t have agreed more with you.It will be outright stupid to “ignore” market risk at this juncture.

  3. ReyMax
    Saturday, August 18, 2007 at 12:51 am

    I continue to be a fan of your sincere advice and hope your audience can distinguish between sincere advice and “expert advice”. Never mind the brickbats and keep up the good work.

    Just would like to see the faces of those brave hearts when the market tanks 800 points nifty in the coming two weeks after a pseudo recovery of next week or so.

    Sentiment and News are the drivers of the market, fundamentals just establish a datum. All those who are ignoring the Left-Congress confrontation are going to come to expensive grief. This time left is dead serious.

    cheers

  4. Divakar
    Friday, August 17, 2007 at 1:18 pm

    Thanks for your suggetion/reply.

    regards
    Divakar

  5. sagecapital
    Friday, August 17, 2007 at 11:48 am

    Divakar- Neither CNBC nor NDTV.TV channels are for entertainment purposes only. Listen to them only if you want entertainment and not if you want some serious advice!

  6. Binod
    Friday, August 17, 2007 at 8:03 am

    Thanx for perfect suggetions
    Binod

  7. Divakar
    Friday, August 17, 2007 at 7:34 am

    Dear sir,
    Usually every stock market invester/trader are taking CNBC as a yardstick.but you are differing in this regard.so please suggest the alternative one.Is it NDTV ?.Drop a line.
    regards
    Divakar

  8. hart
    Thursday, August 16, 2007 at 10:22 pm

    Thanks for the data !

  9. Thursday, August 16, 2007 at 9:34 pm

    I am following NIFTY price trends not US market price trends. All the markets in this world look so correlated at the times of crisis. Really no place to hide!
    Check my analysis of past NIFTY corrections and try to understand what I am suggesting.

  10. sagecapital
    Thursday, August 16, 2007 at 9:24 pm

    In such volatile markets support levels are usually ignored.4050-4100 looks like the next support.

  11. JK
    Thursday, August 16, 2007 at 9:03 pm

    PLZ TELL ME THE TREND DONT DELETE MSSGES
    WHAT R SUPPORT LEVELS FOR THE MARKETS
    14000 OR 13500
    WHAT DO U THINK

  12. indian_investor
    Thursday, August 16, 2007 at 8:57 pm

    I agree with sage. He is right and human. No one can predict this market and find the absolute bottom. If you want clear example, see citigroup’s recommendation. Most of the times, the moment they put ‘Buy’ on a stock, it starts sliding in a big way. Only exception in recent times being their sell reco on Unitech.

    Balanced buying of power, infra, bank stocks in small dips is a safe strategy at this time. May be we can start buying IT at levels less than 3 % to 5%. Slowly, Re seems to be losing strength to $. In case of U.S slow down, IT outsourcing can increase which can lead to return of IT stocks to primetime.

  13. sagecapital
    Thursday, August 16, 2007 at 8:46 pm

    May be you should watch CNBC,they might provide you with some nice and comforting words.
    I have no incentive to say “good” things 🙂

  14. hart
    Thursday, August 16, 2007 at 8:42 pm

    Further 20-30% fall? Hey do you wear helmet inside house thinking what if roof breaks over your head?

    … somebody recommend me this site, however you disappoint me with your chicken heart mate, tada! ciao ….

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