Nobody knows beyond a point !
What we think can happen and what actually happens..
Do the guessing and see the results in the next chart
Interesting cases
Case 1 - Guess where this index goes?
March 2023 - Next 6-12 months - Who would have thought, BSE Smallcap index up 65% in 1 year
Case 2 - What happens in next 3-6-12 months ?
Feb 2020 - BSE Smallcap index down 40% in less than 2 months due to covid but up 25-30% in a year's time - who would have thought ?
Case 3 - What happens next ?
Feb 2016 - Up 40% in next 6-8 months, followed by demonetization / trump and back to new highs..all in a year
Case 4 - What happens next ?
August 2013 - Smallcap index breaks 2011 lows, USD-INR hits 68 in Aug 2013 but Nifty up 50% in next 1 year !!
Nobody knows beyond a point!
Do not take extreme decisions
1) For Investors - Do not take extreme calls like High cash, High equity allocation/leverage on extreme short term charts. Its tough to flip quickly
2) For Traders, if doing high leverage / shorting learn to to flip quickly.
