Why is the growth of the stock market not worrying? – Tejarat News

According to Tejarat News, the stock market has been the leader of parallel markets since the beginning of this year. The stock market has recorded a better performance than other markets not only in April but also since the beginning of May. While the dollar and coin experienced a strange Sharpie jump last week and each went up at least two to three channels, but this path was quickly corrected so that both markets returned to their previous prices and the fire of coin and dollar price fluctuations was extinguished again. .

At the same time, the Tehran Stock Exchange has moved upwards again after passing through some temporary corrections and is stable on the upward path. However, capital market experts predict that due to the continuous growth of the market in recent weeks, the Tehran Stock Exchange will undergo a relatively deep correction. This has created concerns about repeating the experience of 1999.

Changing the perspective of traders

Despite the concerns raised about the deep correction of the stock market, it seems that the market conditions these days are very different from the market conditions in the rising days of 1998 and 1999.

The first and most important difference between these two periods is in the approach of investors; As shown by the behavior of the traders in recent weeks, there is no news of those emotional buying and selling, wave making and surfing in 1999, and it seems that real actors have entered the transactions with higher analytical power.

While in 1999 the eyes were fixed on the total index and the rapid rise of the total index was considered to mean the market boom, this year traders have come to the realization that the continuous rise of the total index is not so good news and by the way you should be afraid of it!

Accordingly, this year market traders are taking more cautious steps towards their portfolio arrangement and managing their stock portfolio with a combination of small and large market symbols.

During the recent weeks, the growth of the equal weight index and the increase in the volume and value of transactions of small and medium market symbols have given news of this change of view. Meanwhile, market experts always warn against choosing non-bubble and valuable stocks.

Development of investment tools

Another important difference of the capital market in the new year compared to 1999 is the development of investment tools. Over the past three years, the stock exchange organization has tried to develop direct and indirect investment tools and has taken important steps to inform and introduce these tools to investors.

Increasing the number and diversification of investment funds, development of portfolio management tools, expansion of option contracts and trading options, issuance of financing bonds by companies, and such things, have been among the development measures of the stock exchange organization in order to expand the perspective of investment in the market.

In this way, the expansion of trading and investment tools during this period has not only slightly controlled the view of fluctuations in the market and pushed some traders from short-term strategy to medium and long-term investment, but also managed to bring the market closer to its inherent truth, i.e. financing. so that the money entered into this market flows towards the development of companies.

Stock market surpasses parallel markets in attracting money

Based on this, it seems that the stock market is not going to be a place of concern for investors this time, and although it sees a correction in front of it, it will not face a dangerous fall due to the loss of excitement in the market and the strengthening of analysis.

In the meantime, it also shows a look at the parallel markets, the dollar, gold and coin markets are saturated with demand and have encountered tough resistances in terms of price. It seems that these markets can start a new movement only with certain external developments or at least a change in the strategy of the central bank in suppressing prices. On the other hand, due to high inflation and significant price growth, the housing market is out of the reach of small investors and will only accept big money.

Accordingly, the stock market is still considered the best investment path for petty cash fleeing inflation. Although one should not ignore price corrections in this market, capital market experts believe that shareholders can hope for the growth of the stock market at least until the general assembly season, and due to the good performance of most companies in the market, there will be a good profit in the general assembly season as well. Get your investment.

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