Always establish a stop. A successful speculator must set a firm stop before making a trade and must never sustain a loss of more than 10 percent of invested capital. I have also learned that when your broker calls you and tells you he needs more money for a margin requirement on a stock that… Read More »
PMI data Purchasing Manufacturing Index was released for European countries and India Summing the data Indicates 80% Of The World Is Now In Contraction. Chinese stock market last week made 3 year low, as i always say stock market discounts news well in advance and on Sunday we got the news Chinese PMI contracted first… Read More »
Despite the policy paralysis and slowdown in the economy, FIIs have invested their highest ever amount on a year-to-date basis in 2012. According to a report by BNP Paribas titled ‘Solving the FII riddle’ authored by Manish Raychaudhuri and Gautam Mehta net FII investments till early August 2012 in the country stood at $10.7 billion.… Read More »
“Even if the GDP growth number is at 5.5 percent – much above the market expectations, there is no doubt that the country has fallen into a low growth trap due to a continuing fall in fresh investments. The combination of high growth in construction activity and low growth in manufacturing is worrisome from the… Read More »
Faith in your system = Belief through back testing + Experience of winning with it for years Whether any individual trade is a winner or loser should not influence your faith in your system and trading method. You should trade in a way that each trade is just one trade out of the next 100.… Read More »
GAAR panel draft report came up yesterday and the changes proposed by Shome panel are market friendly. Read the report by clicking on the link. Fed chairman at Jack Holes did not disappointed the market by saying QE 3 on cards but did not announced at Jack’s Hole meeting. Read the Fed speech by clicking… Read More »
Foreign investors have been offered long-term certainty in tax laws, including postponement of the controversial general anti-avoidance tax rules (GAAR) until at least 2016-17. A committee set up by Prime Minister Manmohan Singh to examine all aspects of taxation of foreign investors has also recommended that tax certificates issued to them by the Mauritius government… Read More »
*BERNANKE SAYS STAGNATION IN LABOR MARKET IS `GRAVE CONCERN’ *BERNANKE SAYS FED WILL BOOST ACCOMMODATION AS NEEDED FOR GROWTH *BERNANKE SAYS HE WOULDN’T RULE OUT FURTHER ASSET PURCHASES *BERNANKE: QE `SIGNIFICANTLY LOWERED LONG-TERM TREASURY YIELDS’ *BERNANKE SAYS IMPACT OF QE IS `ECONOMICALLY MEANINGFUL’ *BERNANKE: BIG BOOST IN QE MAY REDUCE CONFIDENCE IN SMOOTH EXIT Those… Read More »
Trading runs in cycles: some good; most bad. Trade large and aggressively when trading well; trade small and modestly when trading poorly. In “good times,” even errors are profitable; in “bad times” even the most well researched trades go awry. This is the nature of trading; accept it. To trade successfully, think like a fundamentalist;… Read More »
We have discussed 2 days before traders in pain will be subjected to more pain.So this is how mass psychology plays out and can help in adding an additional edge to your trades. But never blindly trades based on mass psychology stop losses are must for each and every trade. 1. FII bought 35146 Contracts… Read More »