One should buy stocks only when they have dipped sufficiently so that one may earn some money by selling them at a higher rate.
Dr Swaamee Aprtemaanandaa Jee's Golden Thumb rule is: observe stock movement for atleast 15 days before jumping into investment into Indian stocks.
Some good stocks which can give some good returns are : Bajaj finance, Asian paints, Hero motors, Reliance. But, one must purchase them only when they dip ENOUGH. An observation of these stocks for 10 days gives clear picture of the time when they occasionally dip ENOUGH.
Right now, positive sentiments prevail in Indian share market. I suggest about some INDIAN STOCKS in which investment now can give in next 15-30 days, tremendous returns like rupees 300-400 more than the original amount invested. Investor must show patience for 7-15 days for returns to happen. Some good stocks are : Bajaj finance, Bajaj finserve, Asian Paints. One can make some money by buying Hero Motors when price dips and selling next day when price rises.
General Thumb Rule is: observe stock movement for a month before jumping into investment into Indian stocks.
One has to take risk of investing if one wants quick big profit from share market. Without mental preparation for risks, there can never be any gains in life. One should be ready to lose 25000 to 30000 rupees in case shares for any reason fall. But, if you are smart enough then you can recover that loss. There are some stocks that are in uptrend in short term. These stocks can give returns of 2-3 times. To enjoy real benefits of investment in shares, one must invest atleast rupees ten lakh in different GOOD UPWARD MOVING SHARES. Also, one must keep 25000-30000 rupees as back up to sustain losses if any.
Bajaj finserve consistently gave good returns for 14 days and is in upward swing in short term. Share priced at rupees 11,000+ on 14th, 2022 appreciated to rupees 15,000 as on 29 the July. That means, a return of nearly Rupees 3,500 on investment of rupees 11,000.
On investment of rupees 3,50,000, one can buy 100 shares of a particular upward moving stock which has been continuously giving return of 100 to 200 rupees every 7-20 days. It means, good chance of making rupees 10,000-20,000 on investment of rupees 3,50,000 in 7-20 days. Another small share has potential of giving return of rupees 21,000 in 7-10 days. But, it's a mentally tension giving job to keep track of stock movements.
Share market is for big investors who can invest at least 25-30 lakh. Then only any real benefit can be gained.
But, for small investors, share market is tension-ridden job. Small investors must avoid trading the shares. Instead, they should buy some good share when prices are at minimum, forget about them for next 20-30 days, and sell them whenever there is upward movement.
Also, small investors should buy 100 shares of a stock in 3-4 days before announcement of that company's quarterly financial results. After announcement of good results, the share prices rise by more than rupees 100 whether share price is around rupees 1000 or more than rupees 1000. Of course, a few exceptions occur, too. For example, Dr Reddy's lab shares kept downward movement despite announcement of superb quarterly profits. In other words, GOODWILL of BROKERS/INVESTORS enjoyed by the company is equally important in share markets.
Anyone who had bought 40 shares, costing rupees 11,000 each, of Bajaj finserve for rupees 4,40,000 on 14th july and sold them for rupees 15000 each, on 29th july made a cool profit of Rupees 3500×40= rupees 1,40,000. Likewise, Anyone who had bought 80 shares priced rupees 6000 per share, of Bajaj finance for rupees 4,80,000 on 14th July and sold them for rupees 7200 each on 29th july made a cool profit of Rupees 1200×80= rupees 96,000.
Anyone who had bought 100 shares, costing rupees 2750 each on 2nd August, of Hero Motors for rupees 2,75,000 and sold them on 3rd August for rupees 2800 each, she/he would have made a cool profit of Rupees 50 (2800-2750) ×100 shares = rupees 5000 in just 24 – 7 hours.
Volatile shares offer best returns if you are smart enough to buy them at their lowest and selling them subsequently at higher prices. For example, currently Britannia share is such a bright opportunity.
Sometimes, using good opportunities give a quick windfall. For example, anyone who bought Tata Steel's 2000 shares for rupees 190,000 on first day (Thursday, 28th July, 2022) when company issued shares in new format with earlier share divided into 10 equal shares, made a cool return of Rupees 24000 on 2000 shares in just a matter of 2 days when shares opened at Rupees 107 each on 1st of August, 2022.
One word of caution. Before, you indulge into online buying, selling, trading of shares/stocks, you must seek practical hands-on guidance on how to place orders for buying and selling shares. Sometimes, technically weak investor may lose money by wrongly tapping on given icons, bars, symbols, etc. New investor must preferably train oneself for a week at least, under some good guide before making big investments.
Paytm is the best demat platform to buy and sell shares. On Paytm platform, one has to pay very nominal fees compared to very high fees on other platforms such as State Bank of India’s sebicap security platform. In present days of squeezed little profit margins, Paytm demat platform is preferable.
Other platforms such as State Bank of India’s sebicap security platform eat up your little profit margins in terms of their huge delivery fees and other high charges.
But, State Bank of India’s sebicap security platform has one major advantage: investor gets to see and track real time, second to second, minute to minute movement of prices of shares. This helps in taking PROFITABLE DECISIONS as regards TIMELY ENTRY/BUYING and EXIT/SELLING of shares. For example, go through the following screenshot of Bajaj Finance shares at the end of trading session on 4th of August, 2022 at National Stock Exchange as available on Sebicap security app:
If possible, operate both Paytm and Sebicap security demat accounts. Sebicap security demat account for updated info and Paytm demat account for trading in shares.
LOOK OUT FOR 'THE BIG ELEPHANT' IN THE ROOM
Read carefully the daily forecast and predictions done by munafasutra. Especially, get alerted and hence don't buy shares when they mention the phrase 'BIG ELEPHANT is present in the room' in their analysis. For example, they had accurately mentioned in their update of 29th July that the UPWARD PRICING of Tata Steel indicated that either there was '... Positive sentiment or a big elephant is in the room...' and cautioned against buying these shares. Tata Steel opened at Rupees 110.50 on 1st of August and closed at Rupees 108.25. They had again accurately mentioned in their update of August 1, 2022 that there were indications that some '...big elephant...' had sold off Tata Steel shares on August 1, 2022. Consequently, on August 2, Tata Steel share opened at Rupees 108 and closed at Rupees 107. Any investor who had read carefully these analysis, followed them, and didn't buy Tata Steel shares didn't have any loss. But, the investor who didn't know this, bought Tata Steel shares at high prices on August 1, 2022 had to incur loss by selling them at lower prices on August 2, 2022.
WHO IS 'THE BIG ELEPHANT'
Apart from Bulls and Bears, big Elephants are the third important entity that influence any given share market. A big elephant is a buyer who knowingly or unknowingly, intentionally or unintentionally artificially pushes up or down the prices of a share by buying or selling them in disproportionately huge numbers.
Inspite of recessionary fears galore all over globe, my studied conclusion based on my practical observations of working of Indian
Inspite of recessionary fears galore all over globe, my studied conclusion based on my practical observations of working of indian economy for last 25 years is: Indian economy isn't going to be adversely impacted by current not-so-rosy perceptibly gloomy global economic scenarios since it has strong inbuilt SUFFICIENT CUSHION to ward off any unforeseen global economic mayhem.
Moreover, Officials of National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) in India have sincerely been putting in unbelievably super-quality intelligent hardwork that has tremendously resulted into Indian Stocks/Share market remain attractive to Foreign Instituitional Investors (FIIs) and Foreign Portfolios Investment (FIPs) besides attracting domestic retail small investors.
Consequently, a lot of money is coming into Indian market. Therefore, ball is now in courts of indian industry that must produce sustainable profits and positive results.
However, I have personally felt and realised the worst truth about share/stock market: it’s a purely GAMBLING market. Money earned from share market is in my studied opinion UNETHICAL MONEY, CURSE MONEY since those losing heavily in share market DO INDEED CURSE their own destiny. CURSE MONEY of any type has never done any good to most of those who received it as history bears irrefutable testimony.
I have written on current topic because there can be no complete sustainable peace on the Earth without complete sustainable economic peace. Stock markets are an inevitable part of economic peace.
- Dr Swaamee Aprtemaanandaa Jee
Disclaimer: Dr Swaamee Aprtemaanandaa Jee does not work for, consult, own shares in or receive funding from any company or organisation that would benefit from this article, and has disclosed no relevant affiliations beyond their academic appointment.
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