Stock trading

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Transcript of Stock trading

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Trading Experience:- It was really amazing to have such simulator. In past couple of months we have experience how actual trading happens, we learned how to calculate risk, how to analysis the data, how to hold nerves when market goes down and also when is the right time to call for, we learn that trading is not about gambling but it’s an art to take calculated risk, we learn about how different sector plays their important part and how they are inter connected with somewhat with each other, we also learn how to use different types of trading such as commodity stock, future stock, etc. , what are their advantages and disadvantages and according what margin we can expect out of it, we learn the difference between short sell and cover short, we learn about how to use stop loss and limits in the trading, we learn about difference in NSE, MCX, NCdex, etc. we also learn how overall Sensex points plays part in the day market.

Strategy Followed: - Our strategy was way very diversify as 50% of the stocks we always kept it for Commodity stock such as Gold, silver and Crude oil, as after making the overall analysis of the data we have found that its commodity market was the market where our stock are far more save as comparative to other stock trading. The next 25% we kept it for short sell and cover short as this slot of stock are for those who do every day analysis trading as market risk is very high on this slot and we need to be active throughout the day as this slot of trading can make you or can even break you up. Since, our 50% stock as we told you in the beginning that it’s on commodity so this works as a backup for any monetary requirements. The next 18% slot we have reserved for the Future Stock as the future stock were quite playing a unique slow return rate where the money was increasing at a slow pace but yes they were in positive flow and the remaining 12% we kept it for other activities like mutual funds, etc. as this slot we kept it for experimentations, as we already known that mutual funds takes or so to say at least required a time durations of year or two to have good returns. We are a team of 17 people so what we did Apurva Singh & Raba Raza did the continues trading and the continuous data analysis, sitting with rest of the members of the team i.e. one day each member mandatory will have to sit and analysis the data and give his/her recommendations.

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Analysis of Indian market: - As per our analysis on Indian market we found that the Indian market flows in a extreme manner if it goes bull it actually goes like a bull in an extreme mode which gives a huge growth and when it goes bearish it stocks goes extremely down, we hardly find market to move in a moderate manner.

Secondly we found that in the market sectors might be different but each sector is actually somewhat and somewhere inter-connected with each other, which means if one sector goes down chances of other sector either growth is low or extremely low or after a point if might turns negative as well and this can be visa-versa as well. For e.g. if telecomm sector market goes down chances are there that it impact might be seen in IT sector and if IT sector impact might goes to banking sector or Pharmaceutical sector. So somewhere this is playing a key in the market as per our analysis.

Strategy followed by Apurva Singh: - I follow commodity stock exchange and short sell and cover short with the use of stop loss and limits, this way my worries to the market decreases and my overall stock actually gives decent returns.