Keep Scouting

A new high, and that too an all-time high on the benchmark Indices Sensex and Nifty, gave the markets a great closing for the quarter. Everyone went home happy after a quarter that closed in stark contrast to its previous one in March. But, investors hardly need an excuse to worry and slowly grow their unhappiness.

The problem now is a happy one and yet it will make investors unhappy. The markets are showing remarkable strength and deploying money is turning increasingly challenging. The market is not giving us time to action our ideas.

As we start buying a stock, we find the stock price running away leaving us confused about how we will finish our position. This is not unusual. But, investors weren’t quite ready for this dramatic turnaround when the financial year began on 01 April 2023. But, that’s the nature of the stock market. You accept situations and prepare for what’s ahead. If you don’t like the valuations, you wait till they reach your comfort zone.

In a fast-changing scenario, you scout for opportunities in out of favour sectors and in other asset classes. If you find nothing interesting, you simply learn to wait. But one thing is certain. Opportunity scouting must not stop simply because the index is at a high.

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