Here is BOFA Merrill Lynch's take that the Indian stock may actually hit a new high in 2010 to 2011. Look at the chart below which provides
Historical Fall of BSE SENSEX and subsequent Rise from the bottom.
On the two occasions that the
market had fallen more than 50%, it took 294 and 571 days to hit the old peak. This means that we should hit the peak between May 2010 and June 2011. Interestingly, on both of these occasions,
the markets gave a 30-40% negative return in the next six
months.
