5 Unknown Winning Stocks Trading Ideas
Almost 10 million-plus new Demat accounts have been open in the last 1 year in India. Investing in stocks is now just a 5 minutes story. There are so many Facebook, and What’s app groups present in the market which is providing tips in the groups all across social media channels and many so-called traders and analysts are giving so much advice on stocks. So many investing gurus are becoming new Warren Buffett’s for investing.
We feel investing is an art and science and this needs to be done with a disciplined approach in this tough time of COVID-19.
It needs 5 points strong fundamental framework when you want to trade in a stock market that to be in this kind of volatile market which is extra volatile and the 500 points nifty upside or downside is normal VIX.
The following are the strong 5 Unknown Winning Stocks Trading Ideas:-
1. Understand the Business.
Do not rush into so many stocks at one point unless and until you didn’t understand the business model of the company. You should look at the stocks as small pieces of the business.
If the business does well, stocks eventually follow.
You need to make sure that you know the main product line up of the company in which you want to invest and you must understand the present situation going on with the trend and the sector of the organization, which means if at this point of time where the pandemic is going on so the only defensives like pharma that to be Cipla or Glenmark or Syngene or SPARK or IT kind of the sector are good to go which will get benefited at this point of time because of CORONA.
2. Be Precise
Do not fall in 20 to 80 stocks or more stocks to hold in the portfolio. As Lord Buddha preach is anything excess in life is poisonous. So do not keep excess stocks in the portfolio too.
Your portfolio should not have more than 10% to 15% of equal weight portfolio; If an amount is small then also it should be 20% to 25% equal weight portfolio is better. This means a highly concentrated portfolio is not a bad idea.
You are a better investor. After all, you are a better businessman and you are a better businessman because you are a better investor.
3. Disciplined Diversification
Make sure that you can have sector diversification in the portfolio. Like 20% in each sector and you need to hold the sometimes defensives too in a tough kind of scenario. This will keep your portfolio floating and the liquidity will be better too. Always keep defensives too in the portfolio, as most of the time it works well against volatility.
Find out someone who can carry 3 qualities Integrity, Intelligence, and Energy. Most important is integrity, the other two can be managed. Some good Telegram Channel like our IMPERIAL MONEY or some other very authentic groups which can give you handholding on your portfolio, whenever you need to talk the advisor can talk to you, or the confidence on that stocks which you brought in the portfolio, so that even if the stock went down by 10% or more you can have the trust on the company or the call. As every single person needs handholding at all walks of life, this is in investing too.
5. Rotation of Assets
Make sure that you keep rotating the disciplined approach of booking profit in a portfolio, normally in our view, 10% to 15% is the level at which you must book the profit, stock may go up by more than that, do not feel bad in that situation, as the market will keep rotating. Keep rotating your money along with cyclical.
In the standard discipline, if you will rotate money 5 times or 6 times in the years, that means several times you rotate money to multiply the returns into 10% to 15% you can make easily. However, having patience and a disciplined approach is the key to trading in the stock market, and do not lose the grip on the same.
Technical does play a good role in the trading by itself. So see that the organization with which you are dealing with having good technical charts knowledge and other understanding too. Fundamental is the key to any business model. So they need to have an equally strong hand on the fundamental attributes too of the stock market.
Possibly you may like this blog or may not however, if you would like to understand this you can call our team to know this entire philosophy better. We are happy to help you out. You need to learn from others’ experiences.
Our state of art channel Imperial Money offers you amazing stocks advisory and solutions for trading itself. We have a team of fundamental and technical analysts who work tirelessly and generate amazing ideas at the same time. Team Imperial makes sure that you should get the best fundamental ideas from us.
Source: Imperial Money Pvt. Ltd.