See what they Do – Not what they Say

Today’s Daily Byte

Quite a remarkable day as the Nifty continued to bleed in. In the last five sessions, almost all sessions have been down, with yesterday being just a minor blip up. The market appears nervous and seems to be buying into the narrative that the election outcome numbers may be lower than expected.

We’ve now closed very near a trend line, although the significance of trend lines diminishes if money flows out of the market. However, there are some positive aspects to consider. We’re close to where we started the calendar year, indicating decent consolidation over the past five months. The 200 DMA has caught up to 20,800, just 6% away from the current level.

Despite the recent turbulence, the market hasn’t seen a dramatic run-up in the last four or five months, which is a positive sign

Reading Time : 5 Minutes

Respect Survivorship Bias

Discovering an eye-opening statistic from the World Federation of Exchanges sheds light on the precarious nature of stock survival.

Over the past 28 years, a staggering 43% of stocks in US markets have vanished, highlighting a significant survivorship bias.

For investors, especially those not focused on short-term gains, the issue of stock survival poses a considerable challenge. . . . . .

Reading Time : 2 Minutes

See what they Do – Not what they Say

A recent tweet by Sameer Arora shed light on Warren Buffett’s investment approach, challenging the conventional wisdom of buy-and-hold strategies.

While many investors advocate holding onto stocks for the long term, Buffett’s actions reveal a different story. Over the past decade, Buffett and his team have sold their entire holdings in 63 positions, with an average hold time of just four years and three months.

Contrary to the popular belief that successful investing means never selling stocks, Buffett’s actions suggest otherwise. . . . .

Reading Time : 2 Minutes