What will you say about the Market from here?
Bearish?
Bullish?
You can comment below your view. Tomorrow I will share what the data says! No Prediction!!
But Today wanted to share with you about the current market situation… And the dilemma all the traders are facing. I have word with many of the traders, might be with you too.. And you all are saying the same thing “ WHERE TO INVEST? ALL STOCKS HAVE GROWN UP WELL FROM LAST YEAR, SO NOW WHAT TO DO? “
From the last year till now, all the traders were profitable, even I should say all newcomers, and non-disciplined traders are making better money than systematic and disciplined traders!!
The time was like, no need for skills, knowledge, just take the risk for investments.
But now the table has turned around! All stocks grew up till now but now the majority of them are stagnant on their levels, like, ITC around 200, Yes bank around 13, etc. What do you think, what mistake had happened here?
Let me share some points,
- Leaving in the myth that you earned profits due to your skills, not Luck
- Not focusing on your winning trades, looking all around for new opportunities
- Not riding your Winning stocks, booking stocks too early
- Once exit, Not able to Take new entry in the same stock. Looking for bottoms.
- Having fear of getting wrong. Your whole focus is on proving yourself right.
Take a moment and take out your Trading sheet, and look into it.. Don’t you have stocks that become 2x, 5x, 10x? If yes, then tell me, Have you ride them in that rally?
What will be your Answer, A big “ NO “
It’s not just you, all the retail traders do the same thing. Now think, What was the Problem here, Finding stocks? Or riding the winning stocks?
The answer is in front of you. We generally look around for the solution but never look into ourselves. Now tell me what was the actual problem, Is it Your Strategies, or Your OWN Psychology?
Let me go back to those points, I hope now you got it, what I was trying to tell you!
I hope now you will be able to Differentiate between LUCK and SKILLS!
Now, you will understand the importance of skills and knowledge to identify the stocks, who are actual horses and Donkeys in the Portfolio. (Outperformers And Underperformers, respectively).
To get the Strategic Idea on Outperformer stocks, Join my WhatsApp Group, Click here.
Now your question should be how to identify the winning stocks? Let me share here a small TIP,
Go to the screener and Find float. How much stake is with Public vs Promoter! Go for the Stocks in which Promoters and FIIs have Major holding.
But now you will say some of the stocks are double – triple from their price. you are not able to take entry… but the actual reason is you are always looking for the bottom… Mind this thing very clearly that you will never get TOP & BOTTOM. You should always try to ride the major time of the rally.
Tell me one thing, what will make a difference where you have taken entry? Is your Entry Important or your Exit? For eg, let me talk about NEWGen Software. Currently riding around 650. When we entered it around august 2020 at 198.. After that many traders have taken entries around 400 also, but we will ride the rally… Who knows it can go to 2000 also. So now tell me what will make a major difference in buying at double the price, 400!!
So Focus on your EXITS, rather than Entries. CLICK HERE to get more understanding on how to ride the winners from your portfolio.
Regards,
PRATIK PATEL
