Momemtum stocks are the ones that are currently in favour by investors. Karan Bhojwani and Nikita Singh explain how one can identify momentum stocks even as DSIJ team identifies top momentum stocks to invest in at this juncture.
Mihir Das is a 36-year-old marketing professional from Mumbai. After having worked for over 10 years in the marketing domain, he had invested a decent corpus of his savings in fixed deposits (FDs) of his bank. Now his FDs were about to mature and at maturity he was going to get a decent lump sum amount. He wished to invest the amount in the stock market. However, he faced a major challenge when looking for a stock to buy as there are more than 2,000 stocks listed on the Indian stock exchanges. Even when an investor/trader focuses on a small universe of stocks, such as the 500 in All Ordinaries, there is still a larger array of choices than most investors can deal with and this is an issue not quite restricted only to Mihir Das, but many other investors/traders face similar dilemma when they think about investing or trading. There are a large number of trains at the platform to reach the destination, yet which is the correct one to board is the big question mark!
Given the large number of alternatives, it is not surprising that investors tend to concentrate on stocks that are every now and then featured on television or in the financial press. As most people do not have an objective process for choosing stocks, more often than not, they purchase stocks going by the news stories and other random recommendations and endorsements by friends, relatives and colleagues.
However, following these random recommendations and endorsements usually result in erosion of your wealth. If you want to be successful in the stock market, you need to select stocks using an investing style. This is a distinctive way of picking stocks that gives you objective rules for selecting which stocks to buy and which ones to sell.
Denne historien er fra November 26, 2017-utgaven av Dalal Street Investment Journal.
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Denne historien er fra November 26, 2017-utgaven av Dalal Street Investment Journal.
Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.
Allerede abonnent? Logg på
How To Invest In An Ageing Bull Market
Bull rallies (periods when stock prices rise) and bear declines (periods when stock prices fall) are natural parts of stock market cycles, but they don't follow a fixed timeline.
Should You Entrust All Your Money To A Single AMC?
If you are a market participant, you have probably heard the quote 'don't put all your eggs in one basket', which suggests diversification. Investors often focus on diversifying across categories like large-cap, mid-cap and small-cap, but they may unintentionally overlook diversification across different AMCs. The question arises: is AMC-wise diversification really necessary? Rakesh Deshmukh takes a closer look at this scenario
Wild Swings Engulf Global Equities
U.S. stock markets experienced significant volatility. An early-week rally pushed the markets to new highs, but this momentum faded, primarily due to weaknesses in the tech sector. The major indices had a mixed finish with, S&P 500 and Nasdaq closed lower, while the Dow recorded a notable gain.
U.S. Elections and China's Economy Hamper Commodities
Commodity markets experienced selling pressure in the last fortnight, driven by uncertainties surrounding the upcoming U.S. presidential elections, concerns about the Chinese economy, and increased agricultural production in Brazil.
Wealth Building For Retirement Through Mutual Funds
Retirement is one of the most crucial and lifechanging phases. It marks a period where maintaining your lifestyle becomes paramount even though your regular income stops.
Mastering Investment with Information Ratio
Information Ratio helps in navigating the complexities of the investment landscape by assessing an active fund manager's performance. And though it has its limitations, it remains an essential part of the finance industry. The article explains what Information Ratio is and how investors can use it as another tool
Plan To Be Financially Independent
Each of us aspires to be financially independent as it ensures having enough resources to be self-sufficient and control our finances.
❝Technology is the new game-changer"
With a new breed of young investors entering the financial markets, it is the use of technology that is increasingly playing a major role in how investments are done and tracked. Anand Radhakrishnan, Managing Director, Sundaram Mutual Fund, shares his opinion about how this factor is turning into a significant tool and how it will shape the strategies of his company
What If Donald Trumps?
The potential election of Donald Trump as president in the U.S. carries significant implications for the Indian equity market. It could lead to changes in the global trade dynamics, in particular affecting the Indian IT sector while also raising inflation levels and leading to yet another revision in the visa programme for Indians who want to work in the US. The article takes a closer look at what may lie in store
Sectoral Gains Make A Mark
Benchmark indices continued their uptrend, reaching new record highs, although the pace has slowed as the broader markets faced selling pressures
