Navigate Your Wealth Journey

Markets are steamhot now, and therefore, it’s better to exercise caution. Identifying the right stock at a best price should be the focus, instead of buying stocks with lower valuations with no change in a company's fundamentals. When the markets trade at record highs, the emotions take front seat, and to make quick gains, investors end up committing certain mistakes they regret later. So, what are the things you should avoid in such a scenario? Let’s find out. Avoid Investing at once Small investors mostly end up investing in bulk when market are trading at the high. This should be avoided at all costs. Instead investors should invest in systematic manner and should deploy their investment in different assets and make a diversified portfolio. In a dream to earn profits in the shortest possible time, retail investors tend to time the market. Instead, the focus should be on long term and meaningful gains. Don’t sell the running horses ( Quality Stocks should be kept in portf...

Free cheese the mouse never asks why it gets free. Which is why it gets trapped. Ask yourself: Why this is so much cheap available?  Why so much noise on cheap stock?  If you don't question the cheap and abundant, you'll end up like the trapped mouse. Illogical Trader #FreeKaGyan #InvestSmart

  Emotional Judgement:  The first thing which people do when they face a loss is increase their lot size for quick recovery.  As a matter of fact, if you made a loss earlier, there is no guarantee that you won’t make it again. When it comes to money, either of the three emotions dominate us: greed, hope, and fear.  Most people lose money or fail to gain in the stock market not due to lack of intelligence, but due to the inability of controlling emotions while making an investment decision. Illogical Trader #FreeKaGyan #InvestSmart

 Value Trap:    Value trap implies getting trapped in a stock whose price seemed very attractive when you invested, but it continues to remain low for a long period of time, because it wasn’t very valuable after all. Even seasoned investors tend to make the mistake of buying a stock because it has fallen sharply. What declines the most need not bounce back the most. The stock price is just a quote in the market, and, on its own, does not have any significance whatsoever. It has to be measured in conjunction with the company’s performance, earnings, book value, dividends, etc. A high-priced stock may actually be cheap on a valuation basis, while a low-priced penny stock may actually be very costly if the underlying business does not support that price. Illogical Trader #FreeKaGyan #InvestSmart

  The Bull run is around the corner to arrive by; once we get sucessful close above 13400, says Illogical Trader Updated : November 18, 2020 11:20 PM IST Illogical Trader believes one can expect the Big Bull is Back and the start of run is  tentatively by Q4. The way midcaps and smallcaps have started to outperform the largecaps, which is a strong pre-requisite for any bull run. With the steady reopening of the Indian economy, development on the vaccine front and the recent the US elections 2020, I feel that Big Bull is Back. This run will be extremely fast and furious where many analyst will hesitate to buy stocks and index. Where the feeling of left over and the desperate need of correction will take market further up. Such a similar trend was seen in past when the Nifty50 index traded in an uptrend after making a low level. The midcaps and smallcaps have also started to outperform the large-caps, which is a strong pre-requisite for any bull run. Looking at the previ...