Just a quick point that you can note and remember. Next time #Nifty weekly RSI gets into 79-80 levels, that would be the time to move to cash or cut your longs if you are trading.

Current Weekly RSI 44.56

The markets crashed yesterday, and they surged today.

Here are 10 things I learned.

Grab a 🍿.

First, dump that 🍿 and stop wasting time trying to grab 10 lessons from Mr. Market's antics in just 2 days.

2 days earlier, you were what you were. 2 days later, you are what you are. Nothing has changed.

Thank you for reading.

A durable market bottom will be formed at:
Peak Interest rates
Peak US Dollar
Peak Inflation.
Sentiment has to move to expectations of poor economic outlook, falling inflation and imminent rate cuts by central banks to support the economy .
Still some way off.

These are the books i talked about

1
https://t.co/fST4GxCrE2
2
https://t.co/8tTeRlJFHh
3
https://t.co/mmSbaqjBcG
4
https://t.co/6olb6LYh89
5
https://t.co/yEWYDoCM4e
6
https://t.co/OfuAZ98jKT

Open Interest analysis -
- Rise in price & OI rise - upside strength
- Fall in price & OI rise - weakness in market
- Price Increase & OI decrease, unwinding, weak up move
- Price decrease & OI decrease, unwinding, weak down move

#Nifty #OpenInterest #options #AKTradingGurukul

7 POWERFUL PERSONAL FINANCIAL HACKS that you wish you knew yesterday.

THREAD: Thumb rules that will make you better in managing your personal finance.

Collaborated with @AdityaTodmal

1. Rule of 72: To estimate when your money will be doubled.

Lets say you are investing in an instrument that gives you 8% p.a.

How long will it take to double your investment:

72 /Rate of interest i.e. 72/8 =9 years.

Conversely, if you come across any plans where they say you'll double your money in 7 years.

Now you can compute the interest rate.

i.e. 72/ 7years = 10.29% p.a.

2. Rule of 144 : To estimate when your money will be tripled.

114/rate of interest p.a. = No. of years required to triple your money.

Eg: lets say you are getting 12% p.a. in an instrument.

Your money will be tripled in 114/12 = 9.5 years.

3. Rule of 70: Estimates the impact of inflation on your wealth.

70 / expected long term inflation = No. of years by when your wealth will be worth half of what it is today.

Your total wealth is Rs. 1 cr. & long term inflation rate is 5%.

70/5 = 14 years.

Something based on my experience:
In a truncated week (like this week), Assets move against the trend.

So if the trend is up, in a truncated week the assets can move opposite to the trend.

#Nifty #Markets.

Inside Bar - Target & Stop Loss

Hello everyone,
Here, I have made a video of an Inside bar trading strategy part 2 which has 90% accuracy.

Save the screener for checking stocks every day

Learn to identify Target & Stop Loss -

Owing to the Twitter Bulk DM limit and the crazy response that we got.
We were not able to send everyone the screener on DM.

So,
We have instead uploaded the link and the process on our Telegram Channel.

Join Here | https://t.co/FSyDMbgo3n

My past experience tells me to turn cautions on any asset class, the moment #GOLDMANSACHS gives incremental target when , it has already run towards extreme
As #GS sees #CrudeOil at 140 , I rein in my one-way Bullish optimism, I have been bullish since 40s-60s, 120 now
#OOTT

Since many of you'll asked..
I love gapups upon results..I find them v powerful tools esp if they don't get filled over the first 3-5 days.
On the flip side..gapdown breakdowns are something i totally dislike..so i prefer to watch and watch...
DN, Tata Chem, Balaji

This is what a gapup breakout can potentially do..
Tesla's 10-20x move also started with a Gapup...

and before you'll start thinking gaps lead to multi bag moves..do remember..Tesla had fallen 60% before it started its move..
Most of our stocks currently already trading at rich valuations.

And lastly while on the subject of gaps..here is one which did gapdown on high volumes..
One of my biggest winners of 2020..
Never covered the gap and drifted downwards..

Just doing this as hindsight analysis to show visual examples of gapups and downs.

DXY and commodities usually don't move in the same direction.

One of them has to give-in.

My money (not literally) is on commodities reversal in near future.

Even in the past, whenever the inverse relationship appeared to be broken, it always resolved in the favour of USD.

A very pertinent question investors ask:-

"When to sell a stock?"

A small thread🧵which can help u in this process

Hit "Retweet" to educate maximum investors

Lets go👇

(1/20)

First things first:-

There is no set methodology to decide when to sell a stock.

Everybody has their own framework.

These are just some pointers that work for us.

One should create their own framework

(2/20)

Many investors have an anchorship bias.

They never sell in loss even if the fundamentals are deteriorating.

Numerous examples like Yes Bank,DHFL,Vodafone Idea can be seen where retail investors are now stuck.

Don't shy away from admitting mistakes and taking losses

(3/20)

So when to sell a stock?

1. Framework for investment not working out:-

Fundamentals of the company deteriorate:-

When we invest in a company....we create a broad vision of how the targets the company will achieve in the next 3-5 years.

(4/20)

Each quarter we just make sure that the company is slowly moving toward the guided path.

There can be delays due to business realities.

If the company completely digresses from the required path!

Eg:-

Since 2018,Sterlite tech saw a sharp deterioration in fundamentals

(5/20)