I was going through some articles and video where they have clearly indicated that EMA is a better indicator than DMA. This gives more weightage to near data than old data.
Hence, from next week onwards, I will use 50EMA and 200EMA data as indicators.
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@Anand_Jain It will not change the working excel file. It will just change the indicator values to decide if market is bullish / bearish or not.
This can be used to decide if we have to remain invested or shift to gold / cash.
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Okay understood.
Thank You.
I am not an investment advisor. I am just sharing my learnings for educational purposes. Thank you.
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@visuarchie ,
There was special trading session on last Saturday(18th May). It seems like you didn’t take it into consideration.
Are you planning to add it in current week updates or skip it altogether?
*NBCC would get an entry instead of BLUESTARCO after considering 18th May trading session.
@SaurabhVj My plan is not to consider the special trading session. I had mentioned this also somewhere in the thread.
Good input from your side. If there is sustained price action, it will come into our radar this week.
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@visuarchie Is it normal to get your PF in -ve in the first week when you are starting with this strategy?
It is quite possible if the market (and this index) is in negative territory.
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You are Bang on, though discretion is not criteria, in some cases definitely, IMHO.
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You might consider to go through the process again. Allocation size, biased approach, entry time being possible reasons. Whatever you do if 50 > 200, pf will turn green, it’s like writing on a wall.
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INOXWIND, that is part of this pf, has turned ex-bonus today. For every 1 share, 3 additional shares will be allotted taking the total to 4.
Though the additional shares may take a week or so to get credited, the price has undergone a change today itself.
If you are doing calculation manually, please divide all previous stock prices of INOXWIND by 4 to obtain the correct number. Also, multiply current holding of this stock by 4 to reflect the numbers correctly.
Please take note of this.
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so can we use google finance formula for all previous dates?
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yes we need to run Google formula again to get correct price
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I started with this last week, so I used the previous week’s top 20 stocks.
For next week, here’s my list
Ranking order:
JAIBALAJI
COCHINSHIP
SCHNEIDER
ANANDRATHI
HUDCO
POWERINDIA
HINDCOPPER
SOBHA
SWSOLAR
MOTILALOFS
KPIL
SIGNATURE
NBCC
EIHOTEL
CENTURYTEX
NATIONALUM
HBLPOWER
JWL
EXIDEIND
NAM-INDIA
A-Z order
ANANDRATHI
CENTURYTEX
COCHINSHIP
EIHOTEL
EXIDEIND
HBLPOWER
HINDCOPPER
HUDCO
JAIBALAJI
JWL
KPIL
MOTILALOFS
NAM-INDIA
NATIONALUM
NBCC
POWERINDIA
SCHNEIDER
SIGNATURE
SOBHA
SWSOLAR
So for next week:
CENTURYTEX, EXIDEIND, NAM-INDIA make an entry
INOXWIND, MEDANTA and BLUESTARCO* exit as they are no more in top 25
@visuarchie please let me know if my calculations are fine and if it matches with your list
@visuarchie Also, I have few doubts:
-
How do you allocate budgets during exit and entry, so for example whether a stock is in loss or profit if it is going out, you get total X amount. Now, does that X amount gets distributed equally to the new entrants?
-
What about the stocks that are continuing from last week, do you increase investment in that or do you continue with the initial capital invested?
Hi @visuarchie @stuti_agarwal
My list is bit different
JAIBALAJI
COCHINSHIP
ANANDRATHI
SCHNEIDER
HUDCO
POWERINDIA
SOBHA
MOTILALOFS
HINDCOPPER
SWSOLAR
KPIL
SIGNATURE
NBCC
CENTURYTEX
HBLPOWER
EIHOTEL
NATIONALUM
BRIGADE
BEML
JWL
A—>Z
ANANDRATHI
BEML
BRIGADE
CENTURYTEX
COCHINSHIP
EIHOTEL
HBLPOWER
HINDCOPPER
HUDCO
JAIBALAJI
JWL
KPIL
MOTILALOFS
NATIONALUM
NBCC
POWERINDIA
SCHNEIDER
SIGNATURE
SOBHA
SWSOLAR
@visuarchie Please verify.
@stuti_agarwal please see my previous message. INOXWIND went ex-bonus last week, 3:1. You have to divide all previous stock prices by 4. Please recheck.
I have made changes for INOXWIND.