EXPLAINED! Anil Singhvi on his campaign to protect investors and save their hard-earned money; reveals market strategy going forward

Domestic stock markets, including top indexes Sensex and Nifty, have been on a roller coaster ride for several weeks now due to the impact of the novel coronavirus, Covid-19, pandemic, which has hammered equities continuously. The nation-wide lockdown has had its impact too. Various announcements have been made by Finance Minister Nirmala Sitharaman and RBI too has rolled out a number of supportive measures thereafter. 

Now, in his latest effort to protect investors and save their hard-earned money, Anil Singhvi took to Facebook to show them a proper direction in these extremely troubled times.

Read Full Text Of Anil Singhvi's Facebook Post here:

When to buy… When to buy… When to buy… (कब लेना है... कब लेना है... कब लेना है...)

https://www.facebook.com/anil.singhvi.56/posts/2914627931934125
 

During this entire period, Zee Business Managing Editor Anil Singhvi, has been providing minute by minute coverage to guide investors to safety. He has been alerting traders and investors about the seriousness of Coronavirus crisis and the kind of correction it can bring in the equity markets. This has been so ever since February 24, 2020, when Nifty was trading near 12,000-mark. Meanwhile, Singhvi also launched a campaign to protect people from losing their hard-earned money. These have been great successes. 

It was as far back as February 24, 2020, when Nifty was trading near 12000, that Singhvi alerted everyone about the likely impact of Coronavirus, that it is quite a serious threat and that it can trigger the long-awaited BIG correction of as much as 15-20% in global markets.

My thoughts on current market scenario and answer to the most asked question:

कब लेना है.... कब लेना है.... कब लेना है....

It’s bit longer 4 pages read but I hardly write so pls bear with me.

Happy Investing  pic.twitter.com/JFSKPhJoPv

— Anil Singhvi Zee Business (@AnilSinghvi_) March 29, 2020

This prediction came true, and unfortunately, the damage was bigger. Knowing fully well that such a sharp fall in markets was very difficult for viewers and investors to EXPECT, ACCEPT and DIGEST, especially when Nifty was near its lifetime high, Singhvi adopted campaign that has 3 stages:

Stage 1: 

MUST NOT TAKE… MUST NOT TAKE… MUST NOT TAKE (नहीं लेना है... नहीं लेना है... नहीं लेना है...).It was a campaign to SAVE traders and investors money.

Anil Singhvi is an energetic bull by nature and so it was a difficult task for him to recommend to investors to EXIT from all long positions and ask them not to indulge in fresh buying. But he recommended the same even though this put 25 years of his experience of the markets (especially learnt in 2008 financial crisis), CA and CS qualifications and his CREDIBILITY at stake. 

And, it worked very well. He was able to convince investors that they must not take (सबके दिमाग़ में पक्का बैठ गया... नहीं लेनाहै...).

So the FIRST TARGET was successfully achieved to enable investors to EXIT and NOT allowing them to indulge in FRESH BUYING.

Stage 2:

Not to be trapped... Not to be trapped... Not to be trapped… (नहीं फँसना है... नहीं फँसना है... नहीं फँसना है…)

After plunging massively, most investors believed that every bounce created an opportunity to buy. They also believed that Singhvi's cautionary approach was not allowing them to re-enter at those low levels! 

SIGNIFICANTLY, we should REMEMBER that sharp V shape recoveries in bear markets always do create misconceptions (ग़लतफ़हमी) that a bottom has been reached, but things are never that easy.

Again the challenge before Anil Singhvi was NOT to let traders and investors get TRAPPED. That is when he started campaign No. 2:

Don't get trapped (नहीं फँसना है...)

And, thank god, it has worked well so far…

Stage 3:

When to take... when to take... when to take...(कब लेना है... कब लेना है... कब लेना है…)

At the outset of Stage 3, Singhvi has a piece of advice for investors and that is well before he reveals when it is time to buy.  

1. First and foremost objective is to SAVE your money in this fall. Making MONEY is a secondary objective. 

2. In these times, if you shorted or made money it’s purely your skills and luck. 

3. Anil Singhvi says he will try his best to make investors ENTER at the RIGHT levels, but please don’t expect him to get you to an ENTRY AT THE BOTTOM.

4. Also note, that he is NOT STOPPING anyone from BUYING. The choice is entirely that of investors. If at any point in time, their opinion of the markets is different from his, please FOLLOW your CONVICTION. Ultimately, it’s your money, your profit or loss.

5. Singhvi underlines an important fact and that is that this is NOT a simple financial crisis, it's a HEALTH cum FINANCIAL CRISIS. In this situation, rolling out a a fully loaded BUY recommendation will come only when he is confident and feels that Coronavirus is about to come UNDER CONTROL.

6. Investors MUST NOT expect markets to go back to previous highs very soon. REMEMBER, “The deeper the wound, the longer it takes to heal” (घाव जितना गहरा हो, भरने में उतना ही ज़्यादा वक्त लगेगा)

7. Life after Coronavirus will be quite painful and economic recovery may take MUCH MORE TIME than we expect and will be very tiring.

Now the ANSWER: When to take… when to take… when to take… (कब लेना है... कब लेना है... कब लेना है...)

FOR TRADERS:

It's still sell on the rise in market, preferably trade INTRADAY only, small quantity, strict stop losses, for small profits.

OVERNIGHT positions on either side are highly RISKY till VIX comes down

FOR INVESTORS:

70-75% of your money was invested till 7,500 levels as we had suggested to invest the biggest chunk of 35-40% on March 24, 2020, and also asked to book profit on the same on March 27, 2020, as almost 20% return was available in just 3 days. 

So, Singhvi assumes that you still have 40-50% cash that can be invested. Put half at 7,500-7,800 range. Hold on the balance and when it should be invested will be decided later. 

You need to INVEST FULLY by April. Forget if any further falls for the next 6 months. After 6 years your MONEY may go as high as 2 to 3 TIMES.

And lastly, a REQUEST:

Anil Singhvi says, “I’ve been wrong on recommending stocks many times but it is more important NOT to miss such BIG MOVES so please remember that I won't be RIGHT every time.” 

In the end, he says, “भगवान की दया से अभी सही हूँ तो दुआओं में याद रखना, और जब ग़लत पड़ूँ तो माफ़ कर देना.”

Anil Singhvi signs off with:

Happy Investing!

May God bless everyone with lots of wealth and wisdom.

Jai Hind!