Will Sensex bottom at 8000???
October 28th, 2008
If one has to go by the amount of pessimism in the market and the mood being really negative and nothing but negative, then going by the past experiences, markets bottom out when every one is talking about only down sides ignoring the fundamentals and the latest financial results.
One more point which may support these levels is the latest results which are not as bad as expected by the market.
At SENSEX level of 21000, we saw the same euphoria where every one was talking about only higher levels for the index, and not looking at the PE, Fundamentals, or results. That’s when market made the TOP.
So will market stop falling at this level of 8000-7600 which is nearly 70% from the peak and show some sideways movement?