NDPMS Wealth Management

This is a pseudo folio. The base folio amount was kept at Rs 1 lakh and was created on September 26, 2015. Most of the positions are still open hence please consider this post as an update on the folio.The folio heat was kept at 10% which in simpler words mean that of all position gets their stop losses hit, the folio will drop maximum by 10%. Risk reward ratio is kept at 3:1 which implies that target points are set at 3 times the risks per position taken. This post is subjected to promotion of NDPMS Stock Markets Training Program. Please read the disclaimer before forming any opinions about the post, stock markets or NDPMS Wealth Management. Disclaimer: The intention of this post is not at all to entice the blog viewers to take up NDPMS Advisory Service. The post is solely used to promote NDPMS Training Program. It is entirely possible that NDPMS could have, from time to time, some trading or investment positions in the stocks being discussed on the blog. This blog is not int...

It is entirely possible that NDPMS could have, from time to time, some trading or investment positions in the stocks being discussed on the blog. This blog is not intended for distribution to, or use by, any person or entity, any jurisdiction or country, where such distribution or use would be contrary to local law or regulation. Reproduction in whole or in part without written permission is prohibited.

Marvan Atapattu Inspiring Life Story It’s a story that Harsha Bhogle, India’s most loved cricket commentator, loves to tell, over and over again. Making his debut in Test cricket for Sri Lanka, Marvan scored a duck in his first innings. And again, in his second innings. They dropped him. So he went back to the nets for more practice. More first-class cricket. More runs. Waiting for that elusive call. And after twenty-one months, he got a second chance. This time, he tried harder. His scores: 0 in the first innings, 1 in the second Dropped again, he went back to the grind. And scored tonnes of runs in first-class cricket. Runs that seemed inadequate to erase the painful memories of the Test failures. Well, seventeen months later, opportunity knocked yet again. Marvan got to bat in both innings of the Test. His scores: 0 and 0. Phew! Back to the grind. Would the selectors ever give him another chance? They said he lacked big-match temperament. His technique wasn’t good enough at th...

My primary love is professional trading. That's what I do, that's what I breathe. Trading gives me passive income, my money is busy making money for me. It is my passion, however that is not my occupation. My job is somewhat of a missionary set out to educate people about the art of investing and trading. My job as a coach is to find talented people and make sure they learn and follow the fundamentals of the art. This is the goal I have set for myself. This is why I wake up every morning. This is why I sleep every night. However on this journey I encounter many people who come into trading having accumulated either a lot of money or a lot of dreams. I have seen a lot of doctors, lawyers, engineers, techies, accountants, architects and the like. All those professions require a lot of training to master the skills involved. You simply cannot go to a realtor without any proper training or qualification and say "I'd like to design this structure for you today." ...

This Monday morning came a major shock to many retail investors as markets tanked for more than 5%. India's benchmark index, Nifty made a gap down opening at 8057 recording a largest gap down since 2006. However according to many technical analysts the down fall was evident on last week charts yet no one would have imagined the intensity of global selling phenomenon which actually caused such a movement in the index. The movement not only took a heavy toll on shallow pockets of novice traders, but even the seasoned investors, who have been passively investing started to ring up their brokers. I received many calls yesterday and all had one common interest. "How much is my folio effected due to the meltdown? Is it still an appropriate time to stay invested? Can we sell some equity now and buy later (suddenly some investors would turn to trading.) Such calls were  full of doubts about the India Shining Story. However there were certain smart investors who calle...

When you trade, you probably think you trade the markets. However, you don't trade the markets; instead, you trade your beliefs about the markets. Yes, this is very true, we only trade our beliefs about the markets.  Lets ponder upon some statements and see if you believe about them: The market is a dangerous place in which to invest. ( You are right if you think this about the markets ) The market is a safe place in which to invest. ( You are right here too if you think this about the markets ) Big players in the market control the markets and its hard for the little guy to earn. ( You are right ) You can easily make money in the markets. ( You are right ) Its hard to make money in the markets. ( You are right ) You need to have lots of information before you can trade profitably. ( Guess what, you are right again ) Do you notice the theme. You are right about every one of these beliefs in any of these statements, what do you believe instead? You are right a...

Yes it is true. Retail investors help markets and its participants more by staying out than by investing in equities itself. Hence optimists like me, do not mind retail investors doing everything else other than investing in equity markets.  Let me tell you how it helps us. 1. Keeping your money in low interest bearing savings accounts will help banks raise cheap funds. In such a way you earn taxable 9% per year in fixed deposits and 4 % in saving accounts, whereas we  continue accumulating multi lac crore banks like HDFCBank, AxisBank, ICICIBank, SBI and like, which are up by any multiple between 3.5 times to 11 times since December 2008. Also, by paying all your EMI installments on time would help private banks stay out of trouble and we shall continue investing in banking sector with of course proper investment plans and goals. This is something retail investors lack and often end up burning their fingers. 2. Retail investors are more or less out of the mark...

Nifty at the moment is little shy of a major resistance zone of 8500 - 8550 levels . Nifty closed at 8485 levels this week with a strong positive momentum which reflected in the later half of Friday's trade. Today's closing levels mark third successive week of a higher closing. However the important factor which shall never be ignored about the week's rally is volumes. The volumes this week in Nifty has been relatively the lowest in recent times. You may attribute such low volumes to the fears concerning the recent global crisis situation. As stated in my previous post, such situations acts as a perfect triggers for technical entries as they do not effect the fundamentals much.  If at all I am looking to buy in such a market, is because of the momentum which of course is not so backed by the volumes. So the action in near term future has to be stock specific rather than being more generic about the over all market conditions. I am expecting stocks like TCS, SunPharma, G...

Before coming to the answer you are looking forward to let me explain you the current short term Nifty analysis. This is what I regularly do on this blog. The stage is set for a perfect fight between the bulls and the bears. Nifty for the past 3 weeks has shown a robust and strong rally. Global crises have also been taken good care by the Indian benchmark. The fear of a negative Greek impact reflected in a recent sell out during the initial Monday trade this week, however soon the news was discounted for and markets again started following the trended path.I somehow feel that the Greek impact has too little to effect our fundamentals and would not matter much except that it may act as a trigger for Nifty to initiate a minor wave to the downside, At current juncture, Nifty faces a stiff resistance, at 8580 levels which also embarks 61.2% retrenchment  levels of its previous corrective phase .  It is assumed that Nifty is currently forming a complex wave pattern which...

Professional Trading is a profession where an individual makes his living from trading in stock and commodity markets. A professional that involves prolonged training and experience. It provides you with other various opportunities. It gives you freedom of time and money. It has no competition threat. There are no deadlines, no geographical deadlines, no dependency on staff. You are your own boss.  When people come to the world of trading many think that they only need to learn a strategy and follow the rules of that strategy and they do this for a while. The problem with those who do not first get a good foundation of the markets is that when the markets change or when they have a draw down they start making mistakes. Those mistakes lead to self sabotage even in the healthiest of minds. The process of trading is only enjoyable when your sub conscious mind figure out the right ways for trade. In other words those who start with passion very often find that those feelings are...

As predicted successfully last week in our previous analysis, Nifty had a humpty dumpty  fall and fell over 3% last week. Nifty was facing heavy resistance at 8500 levels with option data suggesting a positive bias. Monetary policy on Tuesday, June 02, 2015, provided adequate reasons for stakeholders to exit their long positions which were made the week before. Apparently the institutional investors haven't made short positions in stocks by now but the current options data suggest the shorting is on the way. It is still not the correct time to enter the markets with a long bias. However those who are looking for investments can keep accumulating but again, don't go all in. It is quite expected from Nifty to touch 7800 levels before entering into any significant dominant trend to the upside. Technical Analysis Weekly Chart: Nifty on weekly chart completed its 5th sub wave of 3rd major wave in uptrend in first week of March. Going further it sta...

The word stop loss is an order to exit either a long or a short position once the price of the position crosses a particular predetermined price level. It is a tool which help investors to control their risk of loosing money more than their pocket allows. Mainly used in intraday trading. It can prevent small losses becoming the large ones. It can save you from unexpected news that come in the market because of which there is a sudden price action against your position. The stop loss facility is free of charge and no higher commission is charged. Traders can trade with the time freedom and freedom from monitoring the same stock again and again. Most of the times investors have experienced it that if they do not placed the stop loss order and assumed that they will exit the stock manually once price reached their exit level, the have suffered more losses just because they could not exit on time due to higher volatility. Here the stop loss comes into picture. Though many investors...

Apparently Nifty is in complex correctional phase with a negative bias. This is certainly not the right time to go shopping with a short term time horizon. However if you are an investor, you should still try to go long at dips more than 5%. However it is certainly not advisable to go all in. Financial discernment is called for !! Nifty Weekly Analysis: Nifty on weekly chart completed its 5th sub wave of 3rd major wave in uptrend in first week of March. Going further it started its correctional wave (assumed to be 4th wave of the uptrend in consideration). It is also expected that it shall form a complex wave pattern. Probability is a 3.3.5 correction. The first A wave (3) ended on 30 April week. Currently the Nifty has closed just above the Bb middle. It shall continue the up move further.  MACD too is open wide to the downside. Today it trades within the 5-10 MA. State:  Correctional Wave  (sub waves e xpected  3.3.5) Important Pivots: 8550 lev...

As we eagerly wait the FOMC meeting outcome which many feel can have a negative impact on the Indian Financial Markets as it is expected that the US Federal Reserve may raise the US Interest Rates in June. Such a move can strengthen the already strong looking Dollar and shake the emerging markets like ours. At the moment 8620 seems to be an important support level and once broken can further take markets down by 1-1.5% to 8500. However markets may resume its uptrend if Nifty closes above 8760. Trade Cautiously !! If you don't understand what is happening, best is to stay away !!

Rajan, now the Reserve Bank Governor, was the Chief Economist and Research Director at the IMF during 2003-2006. Showering fulsome praise on Raghuram Rajan, IMF chief Christine Lagarde on Tuesday said not listening to his prediction of 2008 credit crisis was a big mistake of the multilateral funding agency. Rajan, now the Reserve Bank Governor, was the Chief Economist and Research Director at the IMF during 2003-2006. He is credited with correctly forecasting in 2005 an impending global financial crisis at the annual meeting of prominent economists and bankers at Jackson Hole, US. "The period when nobody was really forecasting the prices that what he did...thing that was one of his many-many accomplishments. One of the many drawbacks of the Fund was not listen to him enough at that time. "But, we do now pay attention to anything that 'Raghu' says," Lagarde said at an event organized by the Reserve Bank, which the Governor chaired this evening. Lagarde said...

We are happy for the thousands of investors who are counting on the investments in stock markets to deliver them a hefty, safe, sound , long term return, however at the same time we are also worried for the millions of baby boomers who are counting on stock prices for their petty returns.

Inflation, as measured by the wholesale price index (WPI), fell to a steep -2.06 percent, marking the fourth straight month of deflating prices. A CNBC-TV18 poll of economists forecast WPI to come in at -0.65 percent. Data released by the government today showed year-on-year inflation fell to the lowest level since it has been tracked in the current 2005 series. WPI inflation for December was revised lower from 0.11 percent to -0.5 percent. The February contraction was led by a month-on-month decline in all three broad groups that make up the index. Primary articles (index weightage: 20.11 percent) were down 1.9 percent, fuel & power (weightage: 14.91 percent) fell 4.43 percent, while manufactured products (weight: 64.97 percent) were down 0.26 percent. Primary articles comprise primarily of food articles; fuel & power group is made up from coal, oil and electricity; manufactured products comprise of food products, textiles, chemicals, basic metals among others. “At -2 perce...

Onset, I would like to introduce my self to you. I completed my regular masters in business administration with functional in finance from Panjab University. I am a founder member of NDPMS Wealth Management.  We are financial services provider and started our operations in May 2012 from Chandigarh. We are a child concern of SM Investors (since 1985). For well over three decades now, SM Investors have been helping investors reach their financial goals, and live fuller, richer and more satisfying lives. Over these years, our family has made hefty returns in form of strong relations with our clients, employees and stakeholders. Now, with our training program, we are all set to make our presence felt with people; who want to but still are reluctant in investing into Indian financial markets. We remain committed to offer the best of our services, skills and expertise to all our valued investor clients. We aim to provide an unparalleled quality of financial service ...