A new stock has been added to my portfolio on February 6, 2025. Right after that, the S&P 500 hit the all-time high price of $6011 on February 19, 2025, and started dropping due to the scarcity of the unknown or unpredictable direction of the U.S. economy. The market crashed quickly and bottomed out at around $4810 on March 7, 2024. This movement can still be categorized as a correction, although it plummeted by more than 21% because it was around 20%. It is difficult to be called BEAR considering the magnitude of the rebound, which was seen right after.
We never know exactly when the stock market is going to crash, which is why many investors diversify their portfolios to protect their assets or shift their capital to safer investment vehicles, like Gold, Treasury bonds, CDs, and Real Estate, as the U.S. economy starts indicating the signs of recession (although I'm not sure about Bitcoin because of the nature of currency it can be extremely volatile and drive you insane, some institutions like Blackrock, MicroStrategy, Goldman Sachs, and Morgan Stanley have been taking advantage of the recent drop of BTC/USD and acquiring more ever).
Once the general market, S&P 500, starts dropping, not only the magnificent corps, but also any other big corps, especially small corps, get shorted hard and scare investors away. Micro stocks can go down 50% easily and decimate your account quickly. In the amid market panic, I decided to hold on to my newly added stock tightly and kept it without reducing its shares for almost three months. The stock I selected and purchased was the micro-scale indian technology stock, SIFY (Sify Technologies Limited). The stock was purchased on 2/6/2025 at $3.55-3.69, and it is quoted at $4.55 on this date, 5/2/2025.
The return of the stock over the 3 months is 24 %; on the other hand, everything else went down more than 30%. The indian stock actually started climbing up right below $3.00 since 1/30/2025 and hit the top at $5.71 on 2/20/2025. This stock performed almost 100% up within 30 days and topped when the general market topped. Do you think it is a coincidence? I don't think so. Anyway, the stock had to finish its correction while the general market was also correcting, and went back up to $4.55.
<The screenshots of SIFY prices>
