Thank you for not investing in Equities: Satirical article by Samir Arora on importance of investing in stock market

Thank you for not investing in Equities: Satirical article by Samir Arora on importance of investing in stock market

“As it happens, retail investors are helping markets more by staying out than by investing in equities. So from a purely selfish point of view, we (current equity market participants) do not mind if you stay away from equities. Keep your money in low interest bearing savings accounts and this will help banks raise cheap funds.

Then, while you earn taxable 9% per year in fixed deposits and 4% in savings accounts, we will continue to buy HDFC Bank, IndusInd Bank, Yes Bank and the like, which are up 3.5 times, 11 times and 5.9 times respectively since December 2008. Also, remember to pay all your EMI installments on time so that retail loans made by private banks do not get into trouble and we can continue do well owing their stocks.

STT on Options on Expiry day

STT on Options on Expiry day:
If on expiry day you are getting money then book profit, rather than letting the options expire.

Short Mid Term Outlook on ABB, BHEL, SIEMENS, IGL and Bharat Forge

Short and Mid Term Trading Guideline for Futures and Options Stocks.
All stocks are futures and options list stocks, so short selling can also be advised along with buying.
Charts are analysed for the cash segment only and not the future price move charts.
The date of analysis is 18-02-2013. 01.00 pm.
We are updating views on all stocks in NSE FO List few by few. Please find more list in older posts. Wait for remaining in the forthcoming posts.

12. ABB CMP-612, can test 545 levels in near future. If that level is breached than a new range of 350-550 will be open meaning there by it will become short on evey rise stock till it reaches 350 and buy at oversold levels inbetween.
13. BHEL, CMP-205 is trading at very very critical level. 193 is a very strong long term support. if this level is broken it will slip towards 151 levels and below that it can slip to even lower levels.
14. SIEMENS has already broken important levels of 622 and 588. Now it is trying to head to lower levels. It free fall sharply without big pull-backs as there are not significant support levels till 350 which is suppport of neckline of previous inverse head and shoulder pattern.
15. IGL is trading at 260. It is very encouraging that after the one day slump from 370 levels to 200 levels in April 2012. Also since it has been rising steadily by forming higher high and higher bottom formation in last 1 year. We can hope that it will rise towards 400 levels if it sustains this trend. So buy on current levels and at every dip is recommended. Also, the oil and gas sector is abuzz with many positive structural and fundamental changes which is positive in many senses.
16. Bharat Forge CMP=225 is howering around very critical support level of 220. We may say that it has broken this support levels already. So lower levels are more likely than higher.

Contact us OR Become member to get accurate TGT, SL level and HOLDING DURATION.

Technical analysis and stock movements as well recommendations are subject to changes in market condition and news flow of company and the economy. So please remain updated with us. Or contact us directly in case of any query on info@meghainvestments.com or 09377008708

Investors have many misconceptions and misunderstanding regarding Stock Market Indices

There are many misconceptions and misunderstanding relating to the benchmark indices SENSEX and NIFTY among the investors and traders.

Below are some of them,

• ·         All stocks follow the index.
  ·         Generally the stocks are completely correlated with the benchmark indices i.e. when the benchmark index goes up all stocks go up and when the benchmark index go down all stocks go down.
  ·         When the benchmark index has risen all stocks in the index has risen and when the benchmark index has fallen all stocks in the index have declined.
  ·         You cannot get positive return in index and non index stock when the benchmark index has declined. You get return only when the benchmark index has risen.
  ·         The index is same. It is a separate entity itself and there are no changes in its formation or its characteristics. The index is same as it was in 1980, as it was in 2000 or 2008 as it is in 2012. (In reality, Index is ever changing i.e their constituent gets changed year by year. Today the index is not same as it was in 1980 or 2000 or 2008. The index in fact is the showcase of the volatility and market behavior of today and not yesterday)

Short and Mid Term Trading Guideline for NSE Futures and Options Stocks 2

Short and Mid Term Trading Guideline for Futures and Options Stocks.
All stocks are futures and options list stocks, so short selling can also be advised along with buying.
Charts are analysed for the cash segment only and not the future price move charts.
The date of analysis is 15-02-2013.

8. Uco Bank has support at 60, CMP is 64, if breaks below that it will try to touch next support of 43. Big rally possible only above 85 and 95 which are crucial multiple top formation levels.

9. FMCG is bit of tiring out. It has failed to perform in last few weeks. Titan is trying to break its consolidation pattern. Main reason for re-patterning in this stock is the tightening of government in gold trade balance. It is forming short term lower top lower bottom pattern CMP is 266. A break below 260 will open range of 220-240. If it forms bottom around 220 levels and rises steadily with higher top higher bottom formation and eventually makes multiple inverse head and shoulder pattern or inverse bowl pattern then in months to come 310 level will be crossed then it can open range of 300-500 of new higher levels.

10. TECH MAHINDRA is trying to break out above 1042 levels. Don't buy for long below that level. IT is acting as best defensive and outperforming sector in time of correction this time. We don't advise sell strategy. Better to wait for good opportunity and buy into it. 867 level is support for the stock where big pull back swing will come if it has ever to go down and correct.

11.Like TECH MAHINDRA, TCS is also trying to break above 1140. If it breaks above this level then it will again become a buy on every dip stock. And again sustain its uptrend. However, big short term gains should not be expected. This can be more delivery based stock than trading stock. Infosys and HCL and Tech Mah are better for trading.


Contact us OR Become member to get accurate TGT, SL level and HOLDING DURATION.

Technical analysis and stock movements as well recommendations are subject to changes in market condition and news flow of company and the economy. So please remain updated with us. Or contact us directly in case of any query on info@meghainvestments.com or 09377008708

INVESTING AND TRADING LESSONS FROM RAKESH JHUNJHUNWALA

Below are the excerpt from the interview...

Watch January 2011 Interview on CNBC TV 18 here..

http://www.moneycontrol.com/video/market-outlook/never-ignore-unpopular-stocks-advises-jhunjhunwala_515745.html

• Buy on rising markets and sell on falling markets.
• Do not average in trading.
• Trading is all about momentum.
• Don’t try to predict every hour and day.
• All it needs to know is know the broad direction of trend. Learn to take loss.
• All big moves start with small moves.
• You have to lose many battles to win a war.
• Big money is made in big swings.

Short and Mid Term Trading Guideline for NSE Futures and Options Stocks

Short and Mid Term Trading Guideline for Futures and Options Stocks.
All stocks are futures and options list stocks, so short selling can also be advised along with buying.
Charts are analysed for the cash segment only and not the future price move charts.
The date of analysis is 12-02-2013.

1. Welcorp can be sold below 93, below 83 it can slip to 63
2. Voltas is looking weak at cmp 94, it can slip to 69 if goes below 89
3. Vijaya Bank has strong support at 43 if it is broken then free fall possible
4. United Phosupurous has so far kep strong support 3 times at 106 level, above 144 it can zoom to 160+ levels.
5. IRB Infra has strongest support at 112, below that it can touch 99 and below 99 it can free fall to 50 possible. Next support is 74 and 62.
6. Union Bank, failed to hold the inverse head and shoulder break out it gave above 278, lower level of around 212 possible due to that. Break of 190 level which is the neckline level will take to head level and double bottom strong support level of 150. If breaks 150 then freefall. If the stock is able to hold 150 above level for long time then only long time rally possible.
7. Ultratech Cement is on the rise after inverse head and shoulder and multiple top break out above 1200 level in 2010.  It is trying to consolidate between 1800 -2100 levels.

Contact us OR Become member to get accurate TGT, SL level and HOLDING DURATION.

Technical analysis and stock movements as well recommendations are subject to changes in market condition and news flow of company and the economy. So please remain updated with us. Or contact us directly in case of any query on info@meghainvestments.com or 09377008708

When you are writing…Tips on writing better

When you are writing…Tips on writing better

·        Write your heart out.

·        Let the rebel speak out-loud.

·        Let your mind squeeze your experiences and analytics.

·        Don’t think that others’ are going to read and .what others would think’. Just write you want to, you ought to!

·        Try to first do it with pen and paper and then in computer. Because I think writing on paper is very very natural experience and mostly now in this computer age when we work with computer machines in office and use a pen generally only to do signatures.

·        Don’t write offensive and stuff that is guaranteed to wrongly harm others/innocents in any manner.

·        When the flow of thoughts is streaming in your mind, don’t stop. Keep on writing. Grammars and synthetics don’t matter at all. Try to edit as less as possible or not at all.

·        Don’t try to show off to be intelligent. Be natural. Be yourself. Learn, improve but don’t imitate. Don’t artifice.

·        Be social but more importantly be natural.

·        Don’t let the fear or excuse of not being original to succumb you to not to write. Just write. Everyone can produce originals. There can be as many originals as may humans on this planet. There can be 6 billion Monalisas and as many symphonies and sculptures and literatures can be produce.

·        Spontaneity could be the master key to delightful writing. (I use word delight and not success.)

·        When you yourself feel proud, delight and novelty; satisfaction and sense of fulfillment while reading your own writings after days, months, years; you’re on the right way.

·        Don’t become your own critic. Let this job for others.

·        Forget others. Express yourself to yourself.

Our thoughts on Government of India’s Disinvestment plan and what should be the perspective of the retail investors

Our thoughts on Government of India’s Disinvestment plan and what should be the perspective of the retail investors:

Only speculators and government benefits from disinvestment most of the time. Retail investors are sold themes in every boom and now busts too.

Only rise in free float doesn't make any companies share attractive.

Such Things are good for short term investment and speculation but not for the real intelligent investor.

No rational expert will suggest buying into disinvestment companies. If there are any opportunities then they may be only due to valuations and not BECAUSE OF MERELY A FACT THAT GOVERNMENT IS GOING TO OFFLOAD ITS STAKE AND PUBLIC SHAREHOLDING IS GOING TO INCREASE.

REAL INVESTOR NEVER BUYS INTO THEMES. THEY ALWAYS BUY INTO VALUATIONS.

Themes have battered investors harshly and we have seen that in dotcom themes, realty theme. The latest is power theme in the last bull market that ended in year 2008. Here we have given some more details of the results of doing such theme based investing. Stock markets are made of investors and speculators alike. If investor gets mixed with speculator gang than he is bound to be misguided.