@hitesh2710 sir thank you for your work and absolute help you provide with insights to this community.
I have some questions:
Trent chart is that of a super stock. It goes up relentlessly irrespective of market situations and fundamentals. If its any comfort to you, I had a look at around 1370 levels and was put away by valuations. 
So there goes the better and far thinking mind claims. 
I usually have a universe of around 40-50 fundamentally and/or technically strong stocks and keep this on watchlist. These are the names where I have done fundamental research by the usual annual report/concall/presentation resources. These are the names I keep watching during market corrections.
I am usually fully invested and hence have nothing to do except watch the show from sidelines during most corrections. ( I feel going ahead I should be taking partial cash calls, but thatās a work in progress) But what I often end up doing is tinker with some weightages in portfolio and raise some funds to add to a new better option, or replace the weakest link in my portfolio with a new stock. But most of the times its just sitting pat with whatever I have.
I do not know what you mean by FIRE. Pulling the plug from my work (job) was mainly pre decided because I needed to finish minimum 20 years of continuous service to be eligible for pension. So this decision was partly out of my hands. And after resigning from job, I continue to do my private practice, but it is on my terms and conditions and timings.
Finding fundamental bets in small caps or any other caps is very well discussed in various threads on VP. Simplest solution is to read a few good books beginning with One up on Wall Street and Zebra in a lion country. (both specifically with respect to small and midcaps)
For techno funda picks there is a whole thread on 52 weeks high and all time highs. It has run into a lot of pages and I feel has a lot of useful resource material and examples. It just needs effort to go through the thread. I would also suggest the thread on technical picks by @phreakv6 ā¦
I donāt know how my CAGR is going to help you in your learning curve. It will suffice to say that its "satisfactory. " VP is not the forum like twitter etc where making claims and bragging is encouraged. I stand by that.
@hitesh2710 Sir, Iāve quietly followed your posts (and reread many) and respect you more with each read. 
Your humility, despite your remarkable success, is truly exceptional and something I aim to emulate.
In todayās noisy world, itās common for moderately successful (lucky?) investors to boast about their CAGR/XIRR. However, it takes a legend like you to maintain the stance that the focus should be on the process, not just the outcome. Life is much more than chasing CAGR.
My .02 on retiring early: Based on my limited observation from some people who retired early. Financial independence receives excessive attention, while other aspects such as health, relationships/friendships, learning/teaching, passions/hobbies, and purpose are overlooked.
I see some retirees in my close circle who spend most of their days doomscrolling. Most are financially secure, but have nothing to look forward to in their daily lives. I may be wrong, but without a passion or purpose, retirement becomes dull and meaningless.
Sir in a recent discussion with Abhishek ji (available on YouTube) you mentioned about ākeeping the powder dryā in May end early June leading upto the election results.
My question is when trying to go to cash, do you tend to trim the short term (momentum) trades or scale down some of your extended long term bets?
While trying to get into cash the preferred exits would be in lowest conviction or lowest performing stocks. The short term momentum trades would obviously be the first ones to go under the hammer.
Exiting longer term bets would be in case of extremely extended unsustainable moves. ( this is easier said than done.)
All these are planned moves as of now, but many a times we have to improvise strategies (including getting into cash) as we move ahead. Getting some dry powder is an aspirational move. I havenāt done this kind of thing since a long time now, so it would be a slight psychological adjustment on my part.
@ank007 I donāt track Jupiter wagons.
Hii,
I have been investing for quite a time, directly in stocks. My core investment portfolio is around 2M, mostly comprises of Finance 65% (Large Caps) and FMCG 20% and Chemicals 10%. Iām uneasy with the elections being around and the valuation.
I know how options and futures work. Iām looking to hedge my portfolio agains a 10-15% unexpected fall on the index, Nifty or BankNifty. Can someone guide me on what strike price should I choose, how to determine if the premium of put is not high and what should be the quantity? This is totally hedge which I would like to carry till, 30th July.
Thanks, would love to get some information on this.
Hitesh sir whatās your view on pharma sector. Dii are continously buying (granules India ltd, Aurobindo pharma etc).
If I were in your position and looking to hedge a portfolio where 65% is invested in financial assets, Iād consider purchasing put options of BNF at the current strike price (at the time of placing the order). Additionally, I might sell some put options at lower strike prices, making this decision based on factors such as the VIX, Premium and what is my downside expectation(till what level market may fall)
Pharma sector consists of a lot of different segments. Pure play exports, domestic focussed companies, ( a lot of cos are a combination of above two segments) , API, CDMO etcā¦ Most of these segment companies have shown good momentum of late.
But this is a space where one needs to be stock specific and try to find out specific triggers in individual companies. DIIs (or for that matter anyone else) buying does not mean much for us.
@Dhruv_Doshi I donāt use hedging in my portfolio strategy. If I am too uncomfortable with my portfolio positioning, I would simply trim it to sleeping point.
Hitesh bhai, I am unable to locate the exact message but I recall (I really hope I am not wrong) that you do not consider STCG too much when it comes to your selling framework. However, with surcharges and cess for tax bracket above 50 lakhs, it adds up to 25-30%. Doesnāt that make it a significant factor to be considered? Sure eventually one needs to pay the tax, and in that regard, STCG vs LTCG may not make a huge difference but mindless churning can still add a tax burden for the ongoing year. Isnāt that right?
Just want to understand how one should optimize this within the legal boundaries.
Regarding STCG and LTCG as of now, as per my knowledge, (you can check with your accountant/CA)
LTCG is at 10% and max surcharge on it is 15%. So max LTCG is 11.5%.
STCG is at 15% and max surchage is 15%. So max STCG is 17.25%.
With above rates applicable as of now, I still do not consider taxes in my framework.
Basic selling premise still remains based on fundamental over valuation, or based on over stretched moves on charts. Or preferably a combination of these two parameters. Selling based on a framework is not mindless churning.
Hello Hitesh bhai, hope you are doing good,sound and healthy.
Do you have any view on PFC,as there are new regulations and speculations in the market.
Recently It had a breakout and confirmed it too.
your views will be greatly helpuful.Thank you.
@hitesh2710 sir how do you look flat results for fundamental bets? Example recent result from Usha Martin is very flat. How do you see it and when would you cut positions when you see quarterly flat results?
Thanks Hitesh Sir for the reply. I have started moving the allocation, hopefully would reach safe point!
Dear Hitesh Ji,
Wondering if you are tracking KRBL and/or if you have a view on it. The stock has been hammered in the last few months despite (in my view) the business not deteriorating in any significant way. Based on the last concall, they are expecting to see robust growth in the export business this year (which includes getting back on track in GCC countries). Do you feel the current valuation give a comfort for an asymmetric bet. As always thank you for sharing your views with this community
In case of fundamental bets, the basic premise is you have a rough idea how things are going to pan out. There can be a delay of a quarter or two, but if company is on a growth trajectory, then it will deliver in due course.
Usha for example . In latest concall the management indicated that results of capex at Ranchi will be visible from Q1 FY 25 onwards In such cases, since capex comes on stream in phases, I expect results too to keep improving for a few quarters atleast.
Even after flat results, stock price went up and made a fresh all time high. Though it faced selling pressure at those levels, but even in overall correction of markets it seems to have gone sideways.
In these kind of situations I am not too perturbed by flat results because there is promise of good numbers a quarter or two down the line. Even after that kind of wait the numbers do not come around I would recalibrate my thesis.
@Sumit_Pandey I dont track PFC. Regarding breakouts, we have to be sure about it not being a false breakout. And even if it is a genuine breakout there is a lot of tests and retests of breakout zones.
@Apurva_Dubey I used to track and own KRBL, but inspite of good balance sheet and promise of good times, stock price did not make the expected moves. I therefore got out. Even now it has vastly underperformed overall markets in recent times. Unless I see anything again to suggest a re entry, I am staying away. For pure fundamental investors it might be a different case.
Hi Hitesh,
I can see divergence in weekly RSI for almost all indexes excluding bank & financials.
e.g. Nifty 500 since the 2nd week of Jan 2024 until 22nd April the RSI has been making lower lows while the market has been moving up.
Would you read too much into it?
aside, most businesses I track have shown moderate to low growth Quater on Quater, it could simply be a coincidence.
Any thoughts?
