There is a lot of theoretical stuff on how to deal with a situation where a stock that has outperformed and in fact moved up while the market suffered a severe correction. Most books mention this as relative outperformance ( usually to overall market, reflected by Nifty/Midcap or other comparable index)
Practically speaking its difficult to see your stock going down 10-15% within a day or two, and maintain composure. But that’s the way with markets. It tends to behave in mysterious ways off and on. And we have to learn to deal with its idiosyncracies.
Personally I prefer to sit out these periods of volatility and then take a call. Results are due today, and so I would like to see how things pan out and what management says in concall.
However markets do not have any obligation to follow any rules, or principles. So its a coin toss how things can pan out going forward. The current situation is probably more due to overall bearish general markets and investor apathy.
@sanni_kumar I don’t track the solar module or solar cells companies. I feel it is a very hot sector and there are hotter stocks in the sector, and personally I tend to avoid these altogether. It is a sector prone to govt subsidies and regulation, and its fortunes can change with one or two govt diktats.
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