This is the extract of some interesting data I found on the web (on the indian stocks)
| CORRECTIONS IN A BEAR MARKET - in | NIFTY | |||||
| TOP | BOTTOM | PEAK | BOTTOM | Value | FALL | Period of |
| YEAR | YEAR | VALUE | VALUE | Of Fall | %AGE | Correction |
| APR 1992 | APR 1993 | 1281 | 600 | 681 | 53% | 12 Months |
| SEP 1994 | DEC 1996 | 1385 | 775 | 610 | 44% | 15 Months |
| FEB 2000 | SEP 2001 | 1818 | 850 | 968 | 53% | 20 Months |
| JAN 2008 | So Far | 6357 | 4448 | 1909 | 30% | 5 Months |
| CORRECTIONS IN A BEAR MARKET - SENSEX | ||||||
| TOP | BOTTOM | PEAK | BOTTOM | Value | FALL | Period of |
| YEAR | YEAR | VALUE | VALUE | Of Fall | %AGE | Correction |
| FEB 2000 | SEP 2001 | 6151 | 2595 | 968 | 53% | 20 Months |
| JAN 2008 | So Far | 21207 | 14677 | 6530 | 31% | 5 Months |
53% is the most Common except once when it was 44%.
4 comments:
arre mian,
u mean say tat tgt of 3500 is realistic..hoo hooo boy...wat a news..
or is it zor ka jatka dheere se lage one..and bottom is really at 2500???
i wonder wat Mutual Funds and Insurance Co's wud do for their lively hood...may be sell peanuts by packaging the peanuts with share certificates!!!!
No jaggu -- they will make their investors sell peanuts (they just draw their normal 10 digit salaries)
RFOL
P.S. I seem to be rolling a lot now a days
cheema, that's an interesting table. Now our markets are more volatile so I don't really expect the correction to continue. Falls seem sudden, but lets not forget, bears took more than a month to crack 5000.
Also, I did some rough calculations about the money leaving markets (foreign funds outflow) and it's already factored into it.
I bought my 4500 calls yesterday at 68 bucks and still holding on :)
Uma I would agree with you on the account that the information age we live in -- has given every one power to calculate and take decisions.That has made us both brave and weak at the same times. News travels more accurately and more further in shorter periods of time. People panic -- but that goes both ways. The logic may be manuplated but cannot be for very long.
Thus I feel the corrections are for shorter periods and more intense.
I will give you an example -- I have indiabulls accounts and I have realtime charts in front of me always for the scrips I am in. It is not that I make more or less money -- It is just that the decisions are so fast that sometimes I really regret them. Imagine thousands of retail investors playing with such tools. I have a pivot calculator and started putting limits. The limits always gets triggered because there are those who are just calculating the triggers and blowing them off.
Its a jungle out there in the markets and only fitest will survive.
Just the signs of times to come.
Really hope our kids live in better than these times. ;-)
Cheema
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