In fact, we seem to have a double proof of the butterfly theory. The Sensex nose-dived, I am told also in response to market rumours about the BSE President having been sacked by Sebi, and the later replacing him with a control committee in substitution. Time has not been enough to check out the rumour.

The Sensex opening at 3769 was a strong bullish indication. However the upside march was constrained by mid-day, when the index started receding. US President Clinton had been on the television earlier, and had clearly indicated the likelihood of armed action in Serbia.

While the Sensex came down to 3715 and regained to 3745, it was a short spell of ten minutes after 15 hours that the index nosedived to 3619, butlater recovered to close at 3683.

BSE operators refused to shift position to NSE today, despite a holiday at BSE on Thursday. They fear taking a hit should the NSE operators hike up values on Thursday. What should the investor do now, that the war in the Balkans would have broken out by the time you read this. Let me deal with this very briefly. While Yugoslovia has a capable fleet and antiaircraft system, it is difficult to take on the might of NATO. May be a truce will be arrived at. But if there is a skirmish, it could last for a brief period - say 3-5 days. The mission of bringing Yugoslovia to knees will be achieved by that time. So markets will rebound to their original shape, sooner than later.

Do not act in panic. And do not take losses, needlessly. You can afford to hold on to your positions. And use market panic to buy. You will be rewarded very soon. Yes recognise the periphery of the chaos. And act in a way to take advantage, not to lose out.