Dear Readers,

Over the past few days there have been some queries regarding market correction, Chinese economy and its impact, etc…frankly it’s just been 10-15% and considering the upside witnessed previously during the 18-24 months period, correction sooner or later was anyways on the cards.

The valuations were also stretched and even now in certain categories the valuations are stretched, so further 10-15% correction in SENSEX/NIFTY can’t be ruled out. If it will happen or not is something I don’t know, however if it does it will be good for the overall health of the market.

There’s no point being panicky about such corrections as it harms your decisions making ability…all one has to do is to have some liquidity at all times and use the same for investment in good stocks during deeper corrections. The bottom can’t be predicted and therefore constant nibbling in good stocks is the way to go.

Unless one has only 6-12 months investment horizon, corrections in market provide good opportunities for long term investors.

As far as China is concerned, I don’t have anything to add on the same because of my very limited knowledge. Just to add, you would do much better by focusing on individual stocks, reading their annual reports than by listening to so called experts on Chinese economy. They are paid and therefore expected to share their views, but most of the time it’s a case of garbage in (questions on Chinese economy) garbage out (views by experts on Chinese economy).

In fact, below I have shared a link of the recent interview of Mr. Vijay Kedia, an individual who has made loads of money (portfolio of several hundred crores) by focusing on individual stocks than by fretting over Chinese or Global economy.

If you think in terms of Greek, Chinese or Global economy or look for stock price targets, then it’s a must watch interview – https://www.youtube.com/watch?v=scno7O8cIYg

 

Best Regards,

Ekansh Mittal

https://www.katalystwealth.com/

Ph.: +91-72-75050062, Mob: +91-9818866676

Email: [email protected]