In my Past experience of more than 13+ Yrs specially since past 8-9 years i had seen the human behavior Changes at different levels of the markets . Even it has happened with me . As a investor we all wish to Buy Low and sell at highs but how many of us are able to actual do it ? Very few ones at very few times .. Right ! it's natural in away as we all are humans . Whenever we are in to the phase of Greed or Fear we tend to act in illogical ways . Many times we are even aware of it but still it happens . When the Ukraine Russia war started , suddenly sentiments turned negative and investors became bearish . Every day markets were closing in the Red . There was point when nifty almost reached 15100 Levels , Every one was predicting more lower levels , Tv analysts , anchors were projecting about the further bearishness and reasons for same .
In such phase a new investor who really wishes to enter the equity investing also gets demotivated . And after getting advice from his senior investor friends , colleagues or relatives he is forced to stop his investing journey . Now the same investor when see nifty at 18000 then he may find more hard to begin .if you are also such investor then pls read what i am saying , Firstly if you shouldn't come to investing with a thought of beating the markets daily or regularly and get quick rich in short time . If you still wish to hold these attitude then you must be prepared for the Good as well as Worst part .
Secondly ,everyone has different plans so being you , have your own thoughts and take help from the proper Expert or person who will show you the facts and not just the illusions . Remember , investing in the financial assets like stock appears to be very easy and it is indeed , But its equally hard to get the desired results from it if your approach , preparation is not correct .
Now , let's come back to the main point ! As nifty , sensex are closure to their previous highs is there any opportunity exits , should i enter now ? or wait for the correction as Nifty has recover by 2700 points from recent low , Check the Figure below :
If you see Nifty the chart , In technical analysis terms it need to break the Levels of 18090 with broader participation in the market .
In spite of this ,the PE data for nifty still shows the room to enter the markets .
Image - Primeinvestor
As the figure above shows Current PE at 21 , which is still not the higher one in terms of Historical levels for past 22 years , There is still lot Upside potential for same . But the Real Question is which stocks to enter in . Its not that you can buy any stock considering nifty valuation cheaper . For this you may follow step down approach . First , AT THIS POINT find out the sectors which have Potential in Future , Look for their current Valuations and PB . if you find one , then at 2nd step you can identify the stocks which are more attractive in terms of value, Their Earnings and projected growth. You can find out more stocks from different sectors and create ideal basket to suit your risk profile , Investment horizon and return expectation based on your investment value . When i am writing this i know its easy to say but hard to implement . But you need to find out way to do it as planned . One you begin then you can monitor the baskets at defined period , and make changes if required to suit your goals or else do nothing .
It is always said that instead of timing the market , Time in the market can make more difference and its true . One should not let short term events affect your long term investment plans . As Creating wealth can take time and if you have this in mind then it will help you during uncertainties in the markets .