No down days can make us overconfident

Today’s Daily Byte

MRPL hit a high of Rs149 back in Jan 2008 and had been struggling within a tough range for a long time but things changed in March 2023.

The stock made a higher low indicating that the worst may potentially be over. It was in Jan 2024 that MRPL made a new all time high and has clocked a mammoth 100% gains since break out and an astronomical 5x gains (as on 19 Feb 2024) since Mar 2023. Mi ATH 2 picked the stock at Rs 121 back in Dec 2023 and has enjoyed a quick 132% gain in no time (as on 19 Feb 2024)

Reading Time : 4 Minutes

Bonus & Split Psychology explained

Today, let’s talk about bonuses and stock splits, and how they affect investors. You might have heard about companies giving bonuses like one-to-one or three-to-one. This means if you have one share, you get additional shares for free. Many people think they are getting something extra, like a gift from the company for being loyal shareholders. But this perception can be misleading.

When we hear the term “bonus,” we usually think of something extra, like a bonus at the end of the year for a job well done.

In the stock market, however. . . . .

Reading Time : 3 Minutes

No down days can make us overconfident

Our behavior plays a huge role in how we see the markets. If we see the same market trend every day, it becomes a habit. Doing the same process repeatedly makes us think that nothing else is possible. When we are in a bull market like we are now, and we haven’t seen many down days since March 2020, we tend to forget that there can be a bear market.

Newer traders, especially, might not be prepared for a time when stocks don’t make returns.. . . . .

Reading Time : 3 Minutes