Is today's stock market experiencing a correction, or is it a continuation of the prevailing optimistic trend?

Following last week's 219.69-point increase in the NEPSE index, investors are anticipating today's market. The market, which reached record highs last week, is predicted to correct itself this week. 

The NEPSE index increased by 219.69 points to 2,424.32 points in five trading days. The NEPSE index saw lows of 2,02,230.50 points and highs of 2,224.59 points the week before.

Historical patterns also indicate that there has been a general correction throughout periods of high and low stock market growth. Investors, however, assert that there isn't much justification for the market to be as volatile as it was last week.

When the monetary policy will be disclosed to the public is yet unknown. The monetary policy announcement, which was scheduled for this Friday, has been pushed out indefinitely.

According to an investor, the market's rise is not justified by political mood and will continue to rise in the long run. He stated, "The basis for the market growth has not been determined, although this growth has found a way to determine the basis of the market." 

The market has expanded thanks in part to the transaction amount. A strong base is seen in the market if the transaction amount is high. The market is now back to where it was two years ago. Investors claim that if they proceed with the correction, they will not be able to surpass the previous record.

Stock investors are happy at the unexpected rise in the NEPSE index. In addition, the transaction value has gone up by almost 83% over the prior week.

Compared to last week, investors are more enthusiastic this week. After almost 34 months, investors are thrilled with the stock market's recovery. The stock market has received all-around support at this point. Interest rates at the bank are getting lower.

The two biggest parties, the CPN (UML) and the Nepali Congress, are predicted to create a new administration. For the current fiscal year, the government is presenting its monetary policy. This time around, the government is developing a plan to loosen the stringent regulations imposed on the stock market. The market has improved in every way after falling steadily to its lowest point for a while, discouraging banks and manufacturing enterprises.

According to investor Ghanshyam Pandey, the stock market is progressing toward a long-term objective. He stated, "Now the market is supported in all respects, there is a stable government, there is a finance minister preferred by the investors, there is money in the bank, now there is everything the market wants, so the stock market has increased." 

Tulsiram Dhakal, the president of the Nepal Investors Forum and another investor, asserted that since the market has reached an extremely low level, there is no other course of action except to expand it.