The day we mistook a crash for a discount
In early 2022, the Nasdaq began slipping from its peak.
Daily drops of 5%, sometimes nearing 10%, triggered a familiar chorus from the market:
“This is a buying opportunity.”
- “Surely this is the bottom.”
- “Tech stocks are on clearance.”
- “You can’t miss this chance.”
Convinced, countless investors hit the buy button with confidence.
But what really happened?
They weren’t buying the bottom.
They were standing at the entrance to the basement.
The cold truth told by the monthly chart
The chart above shows the monthly candles of the NASDAQ Composite—
Each bar reflecting a full month of price action.
This longer-term view is ideal for understanding market structure.
And it makes one thing crystal clear:
2022 was not a dip. It was a deep, extended correction.
1. Plenty of technical bounces, no structural recovery
In mid-2022, the market showed several temporary rebounds.
Daily and weekly charts flashed impressive short-term rallies.
Many investors took this as confirmation:
“This must be the bottom.”
But the monthly chart told a different story—
These were just brief pauses within a clear downward trend.
And charts don’t lie.
Until the monthly downtrend breaks, the correction isn’t over.
Those who ignored this, relying on daily rebounds, paid the price.
2. Only long-term investors survived
So who made it through this brutal stretch?
- Those who nailed every entry and exit?
- Those who kept averaging down during dips?
No.
Only the long-term investors who simply held on—
Those with the patience and conviction to wait—
Made it out not just intact, but profitable.
Since 2023, the Nasdaq has steadily recovered,
And by 2025, it has broken past its previous highs.
Such a rebound is impossible to capture through short-term trades.
It’s a reward reserved for those who endure.
Monthly charts reduce greed and expand your perspective
2022 was a year that reminded us of a timeless truth:
Investing is about patience, not constant action.
In a volatile and noisy market, many responded impulsively—
Only to end up burned out and bruised.
But those who viewed the market through a monthly lens were different.
They ignored the noise.
They stayed grounded.
And they came out of the downturn not only recovered—but ahead.
Zoom out. Be patient. See the full picture.
The next time the market dips and people rush to “buy the bottom,”
Look at the monthly chart.
It might save you from mistaking a falling knife for a hidden gem.
The Valuation : Value Investing Through Valuation 
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