wait, let her do it

sometimes i feel that we guess the market right but don't let it do what it wants and unfold completely. we do what it wants us to do before it does what we guessed it wants to do.

--

trading days are to the week and month what pages are to a chapter and book. they have continuity which we fail to see in trading atleast, wrongly taking every day as a fresh standalone trading day....

sitting tight in trading

buy right, sit tight in trading also....

imho trading and investing are same....just a difference of time of holding....rules are same. if we trade the way we invest, we will lose less and win more.

the only visible difference is that we leverage in trade which makes all the difference in behaviour, and hence results.

reverse is also true imho. u can invest by trading methods, eg using charts. fundamentals as well as anti-fundamental-cartel-longterm-backing (like ACC in harshad mehta times) plus any other factor is reflected in the chart.

--

binus thoughts...

- only by compounding one can become rich. without that only expenses can be met at best

- check all charts for trade entry decision but stick to the same one chart for exit

holding on to multibaggers successfully without anxiety

 the way i try and hold to multibaggers all the way is this

lets say i buy 1 lac in a stock and it becomes 1.3 lacs when i sense discomfort against what assurance chart is giving me

i book stock worth 30000 and invest it elsewhere, holding 100000 still in the same old stock

this cycle continues. 

it is like taking out the seed from plant as safety but leaving the plant planted. u have got one more seedling which becomes plant. the crucial factor though is...where are u investing that 30000? it has to be in a stock as good as the priginal one from where u took it out. 

this way u can hold onto any stock as per your system while letting the forest grow without anxiety

the sweetest Coffee!

 one of the investing methods which tickles me a lot is the 

"coffee can investing"

buying 20 promising small cap stocks worth rs.10000 each (total rs.2lacs), "putting" them in an empty coffee can and opening them after 10 years.

strong likelihood that 9 will be zero or more after 10 years while 1, if 100x....is likely to be worth 10 lacs (worth 40 lacs if 400x)

Mohnish Pabrai's career is filled with many such stories

broom bundle of stocks in bull trend

 suppose we buy 30 stocks. on the day of buying they are like a bundle of sticks tied with a string.

while we often wish that the stocks in the bundle will go this way👇

we fear the stocks actually going opposite way with falling market

but that is a baseless fear which often prompts an investor into wrong actions or unnecessary anxiety

because in reality, it is often seen that the bundle of stocks behave like a broom.

all stocks going in their way depending upon their merit.

all a trader has to do is to try to pick only those stocks where the chances of all stocks/sticks in one direction (up) are higher

In fact,  even if market (index) dips, it momentary disturbs/ distorts the good stocks which again come back to their original track

Something like this

Pick good stocks in bull trend and don't worry about the broader index

Just because the world is going to hell doesn't mean good people and stocks are not living in heaven already. They are merrily marching to happiness and wealth