Market Timing Pitfalls: Ramu's ETF Profit Turns Into Rs 1,000 Loss

• Ramu invested Rs 20,000 in a silver ETF, initially seeing a Rs 2,000 profit.
• He tried to sell after market hours, unaware orders execute only when the market reopens.
• Overnight, silver prices fell sharply, turning his Rs 2,000 profit into a Rs 1,000 loss.
• The actual execution price determines final profit/loss, not the observed market price.
• Use limit orders to specify a minimum selling price and mitigate risks from market fluctuations.