We have seen in the previous post that out of 16 SELECTIONS, 14 have stayed right over an extended period of time. Let us now review what happened in the months of April and May 2018.
In April series, we made all our choices on the first day and stayed with the trades throughout the month.
On March 28,2018, we added INDUSINDBANK to the BUY SELECTIONS.
SELL SELECTIONS were same as in previous month. We have already reviewed their performance over the extended period up to May 18, 2018. So just have to see what INDUSINDBANK did.
INDUSINDBANK : Closing price on March 28 was Rs. Rs. 1796.75. On May 18, the stock price was Rs. 1930. A gain of Rs. 133 or a little more than 8%. We happily take it.
There is no other stock to discuss for April 2018.
In May Expiry, we added two stocks to the BUY SELECTIONS.
Hindustan Unilever and M&M.
SELL SELECTIONS are from same set of stocks which are already listed and analyzed.
HINDUNILVR : From Rs. 1491.35 on April 26, 2018 it has moved to Rs. 1605.80 on May 18, 2018. Another tick for our selection process.
M&M: This one did not do well for us. We can not win them all. It has come down from Rs. 858.15 to Rs. 836.00.
Final Analysis : Out of 19 trading decisions based on Strength and Weakness Analysis by simply looking at the NIFTY chart on NSE site, we could get 16 of them right. Trading them patiently would be always profitable. Do your part right and then let the markets do what is best for you.
This analysis is being done openly for the last 3 months with the readers reading and participating in the process everyday. It takes out the myth that picking stocks is some great skill or knowledge. You and me, meaning everyone can do it and do it right most of the time.
We hope to continue this in future also though we should not be expecting same level of success all the time.
Stocks Picked during Bangalore F&O Workshop on January 21, 2018:
The method of selections was discussed for the first time in the F&O Workshop at Bangalore on January 21, 2018. Participants would recall that we had identified BHARTIAIRTEL and TATAMOTORS as the weakest NIFTY stocks at that point in time.
BHARTIAIRTEL was around Rs. 495 at that time. On May 18, it made the new 52 week low of Rs. 355.05 before closing at Rs. 361.35. How the mighty have fallen? And we had predicted the decline.
TATAMOTORS was around Rs. 440 then. Now it is within handshake distance from Rs. 300. Already new 52 week low of rs. 303.50 was seen on Friday, May 18. Will it go down from here? All the signs are still there and it remains in our SELL SELECTIONS as an almost permanent choice.
What did we have to do to find such trades?
Just look at the Live Market screen on NSE and see how the stocks are performing in relation to the Index and take a decision to BUY or SELL.
Why to get bogged down with lot of software and calculations when good results can be obtained just by KEEPING IT SIMPLE.