mmmhhhh....I remember yaser came outta closet sometime this year when there was a mad rally...alafu akaenda MIA.....lets talk index;for the first time in many months it has gone below 4500....and the volumes are still anaemic... Think it'll rally soon..but by how much by may?....500pts??? I Think the chances of a sustained bull are very slim...hii NSE is very cyclical...almost too predictable...faida investment bank released a chart of the index all the way from 1964....from 1992 the NSE has had crazy oscillations.....1993-1994 period levitation beyond all logic,from 1000 to 5000 in one and half years(best in the world),then a merciless 8yr winter mpaka 1000 in 2002.....meanwhile the DOW rose from 3600 in 94 to 11000 in 99,nearly 4 times!!! While the NSE lost almost half the value during the period......in short its the valuations that matter in the longrun,the chances of wasting a lifetime are only too real when you 'invest' on top of a bull....
The utimate goal of investing is to buy low sell high;if we re-write this core equation in psychology terms it becomes buy fear sell greed.