5 market charts that can help you decide - buy, hold or sell

There is a grand confusion in the markets and the indices are finding it really hard to move forward. Check out the movement in last one year of the Nifty 50 index.

Not just the Nifty 50, the last one year return is negative or low single digits for most of the other indices.

Check out the calendar year returns for various standard, standalone and multifactor indices.

If you were to just rely on the trends/patterns, it would seem that markets are now ready to change direction and move upwards.

There might be some short term pain left but unless the N button is hit, it may not affect your portfolio as much.

The same indices returns in the Financial year format.

All said and done, it is wise to be cognisant of the risks with respect to what markets can do. To that purpose, I share the median (read average) returns from various indices as well as the worst fall they can face in various periods of time.

This, I believe, should give you ample ammunition to determine what to do with your portfolio and cash that you hold now.

Who makes money from the markets?

Not the pessimist.

The markets offer a simple opportunity to build wealth. Just focus on the process - invest and stay for a long period of time. Don't get distracted in the short term. Follow your risk capacity, tolerance and let it reflect in your asset allocation.

Our grand old framework comes in pretty handy towards that purpose.

If you still feel unsure or worried, reach out to your investment advisor.