Picking stocks for trading in a public forum is like putting your neck on a chopping block.
If you are right, you have been lucky.
If you are wrong, you do not know anything.
Still people do it everyday in business papers and channels and get paid for doing it too.
My purpose of initiating this series was to tell my readers:
(1) Everyone can do it.
(2) It is not necessary to have too many trades. One can make money by staying in a good trade. More trades do not make more money, right trades do.
(3) Selections can be made just by looking at the data and price moves. You have as much chance of being right as with the best of indicators.
I hope that these points are understood by now.
Review of the Selections:
I am the first to admit that the trades are not giving as much profit as expected. This further strengthens my view that it is for the market to give profit. We only have to take care of the loss and leave the profit to the market.
Yesterday NIFTY fell by 50 points but the SELL selections did not fall much. The long selections did not gain either. This kind of mismatch will happen at times but ultimately everything evens out.
Reliance has been going wrong for a while, but TECHM is right.
KOTAKBANK recovered yesterday but as far as our selection is concerned, it is slightly losing trade.
We are right in 1 selection and wrong in 2.
Here is the first list:
All the 5 selections have gone right though some of them have recovered and thus caused reduction in profit. But one has to take good with the bad.
Indiabulls Housing Finance is just about staying profitable.
Bosch is up and hence a losing trade at present. But so far it has not displayed any strength that would suggest getting out of the trade.
In SELL SELECTIONS, we have 6 right and 1 wrong at present.
That gives us 7 out of 10 trades right on overall basis.
BHEL is a perennially weak stock. It goes up with the market and goes down more when the markets are down. It was a component of NIFTY sometime back but as it kept losing value, it was removed from NIFTY.
The stock closed at Rs. 87.05 yesterday. In Futures, it was Rs. 87.55.
It is a SELL selection for me in a price range of 87.25 to 88.00.
For the comparison purpose we shall take the value as Rs. 87.55.
SGX NIFTY is indicating another negative opening for markets.
Let us see how the day unfolds.