Index Strength vs Investor Stress: The Hidden Market Damage
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Index Strength vs Investor Stress: The Hidden Market Damage
While headline indices continue to project strength, the internal picture tells a very different story.
Nifty MicroCap is down ~20% from ATH
Nifty SmallCap is down ~15% from ATH
Nifty is hovering near all-time highs
India VIX is close to all-time lowsThe real stress is clearly visible beneath the surface — concentrated in small and micro-cap stocks. This divergence often goes unnoticed by investors focused only on index levels.
In several of my earlier posts, I have consistently cautioned against exposure to small & micro caps during this phase and emphasized gradual accumulation of diversified ETFs instead. In such environments, risk management and capital preservation matter far more than chasing short-term returns.
Markets reward patience, discipline, and respect for market structure.
Nishesh Jani,CFTe
#MarketStructure #RiskManagement #CapitalPreservation #ETFs #MarketCycles #InvestorAwareness #nisheshjani #AhmedabadNest
