Dealing with Unrealised Losses📉

Often stockmarket is referred to as a volatile asset, due to its change in price as per the demand and supply every second. However, our mind can be lot more calm when we just focus on business performance and give glances to charts for knowing the right levels for adding a good company at good price.

Of course this is easy said than done, because many of us just open our phones and look at stock price to only make a decision based on current day scenario. We request squad members to not make this same mistake and instead open screener.in to remind yourself - there is a ₹10000 crore business behind the stock which has cashflows worth 1000s of crores to withstand any downturn in industry or business🎯.

Why is market falling further ?

Reason is FIIs chacha, they’re like your scammer relatives who turn their backs when you need them, but will come back to you when you become successful… wait let me explain in financial terms :

When US announced rate cut, it was evident that FIIs will now start investing in emerging markets with clear choice being INDIA. However, china govt announced some measures to attract investors in market and bet on their economy. Hence FIIs right now have started inflowing their money in China markets but question is how far it will last?

Well the answer is uncertain and far beyond our ability to predict it. In such scenarios some quarters can go by until Indian govt announces some new measures or policies as well, but should we sell everything and wait for the time FIIs come back again? Certainly NO. Stop worrying about the uncontrollable things, we cannot dictate where the money can flow but what we can focus on is buying quality stocks at discounted prices📈📉

What will drive back the FIIs chacha back in India?

The earnings, its the base to everything. If Indian companies keep posting healthy earnings and DIIs/Retail Investors keep accumulating the stocks at their pace - today or tomorrow FIIs will come back looking at the drooling performance of Indian companies. Remember that “India’s decade” is not dependent on foreign Investment but Indian consumption story, i.e our adult population and the potential to earn more, invest more and spend more culture unless this changes everything else will come back to its place.

China has seen multiple times a huge spike in its market and then a sudden sell off comes by to put china’s broader market side ways for years. We don’t know exactly when it will happen, but for now let’s focus on right things and do the controllables✔️.

What to do? - Eat 5star and do nothing. Not every move in market needs your action. If our given stocks come at higher discount levels i.e E2 levels we will inform on group to be added as per your capital availability.

Q2 results are also starting this week, its better to buckle up for some volatility and have seatbelt of cash for buying the dip🧘‍♀️ Reward comes with Risk🎯

Every correction comes with expression of “Kash jaldi exit maar leta” and every recovery comes with “kash wo stock tabhi nahi becha hota and buy the dip kar leta”. Regrets will stay but market will move on, so be prepared for every scenario in market and just remind your mind its time to be “Greedy” not “Fearful”. Also when we say swings and recovery can take upto 6-9 months, people think in that phase stocks will remain stable🤷🏻 wild assumption isn’t it? Stock prices are subject to sentimental volatility, so we can’t expect them to stay stable and if you want such stable returns with no downside then FD is more suitable 🤓

Many people will hit their stoploss and exit trades, yet again tomorrow a sharp recovery will put those in question “thoda aur hold kar leta toh kya jata mera”. Well let me also remind squad members, these 10-15% corrections won’t be even remembered by you after 1-2 years and only thing we will remember is “we missed out on profits while panicking on unrealised losses”📉📈

We are not PANIC SELLING, we are buying partially on ideal support levels without looking at unrealised losses in portfolio every minute✔️

Regards,

Team GROWTHSQUAD

Research Analyst Firm

SEBI RA license number : INH000017763