Factors that is responsible for the ups and downs in SENSEX

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There are several factors that can be enumerated as regard to the factors that are responsible for the ups and downs in SENSEX. It is already known to all that the SENSEX is the life blood of all the stock exchanges, in brief of all the stock markets that constitute the domestic market in the country, India. In fact, we would not entirely wrong if we say that the trading as well as the investments in the stock markets would have not been as simple and easy as it is in the present day had it not been for the SENSEX. SENSEX acts as an index or rather a guide that guides the investors through the very many shares and stocks in the share market and thus gives the investors a clear and a very see through idea about the investments that the investor should undertake and that in other words would yield satisfactory profits for them.

SENSEX is not capable of providing the investors the names of the stocks that will yield the maximum profits, rather it acts a guide through the various stocks and shares listed in stock exchange
However having said that it is here worth mentioning that, the SENSEX is only an index or a guide that helps the people in making an investment. It is however, is not capable of making a decision on the part of the investors. What we mean to state here is that the SENSEX simply presents to the general public or in other words to the investors who are making an investment in the stock market the value of each and every shares that are listed in the stock exchange.

Generally, SENSEX is used to project the values of the shares and the stocks in the Bombay Stock Exchange and not predict the same
In other words the SENSEX can be said that to be an economic index that projects the financial health of the all the shares and stocks that are listed in the stock exchange. It, in other words, basically shows us whether the market value of the shares is rising or falling, whether there is any prospect in investing in a particular share of a company or not, whether a particular share is capable of generating the profit expected by the investors, or not.

SENSEX alone on its own is not capable to take or make an investment on the part of the investor
It is to be kept in mind that the SENSEX is an index and not the agent of the investor who will make the decision on behalf of the investors. The final decision has to be made by the investors themselves and the SENSEX has no role to play in this regard. It is only confined to projecting the true position of how sound the financial scenario or rather the financial health of a particular share or stock in the stock exchange is. The SENSEX is known for its accurate as well as precise analysis about the various stocks and shares in the stock exchange and as such it is one of the most trusted sources for the investors. Moreover so you can rely on the values that the SENSEX projects in front of us.

The values projected in the SENSEX are ever changing and never static
However, if you have taken a clear look at the SENSEX you will be able to see that the values projected in the SENSEX as regard to the stocks and the shares are not the same always. That is in other words, the values do not remain uniform all through and keeps changing. It is not static but dynamic, so much so that from the moment the SENSEX opens till the time it closes down the values of the stocks and the shares listed in the stock exchange undergoes several changes. In fact, it does not remain the same all through the day at all. As such, in this regard a number of factors that are responsible for the ups and downs in SENSEX can be enumerated.

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