Long term WATCHLIST
SAB INDUSTRIES
IST LTD
NIKS TECHNOLOGY
GNFC
LIBAS

Abdul Raheem:
First thing
Our example
We want to buy 100 shares of abc with present CMP 120

Now let us say we want to do pyramiding that is adding 50% at every increase of 3% on cmp (not value)


So if we plan to complete our 100 qty in 6 different orders
So our qty will be some thing like this
50
25
13
7
3
2 etc

Like wise our buying CMP at each order will be
120
123.60
127.31
131.13
135.06
139.11

Hope this is clear until here ?

What we r doing is at every increase of 3% on our CMP we buy next mentioned qty

50x120=6000
25*123.60=3090
13*127.31=1655
7*131.13=917.89
3*135.06=405.18
2*139.11=278.23

Total
100 qty and total Investment is 12346.30

Correct ?
Now what I am getting benefit from this ?

My average price is 123.46
Present CMP is 139.11
139.11-123.46=15.65

Even if I am adding while increasing in the manner we discussed above we have profits of 1565 on total investment of 12346.30

If I had purchased at one go I would have invested 100*120=12000

What I had spent more is 12346.30-12000=346.30
Correct ?

Now the benefit of this is until the price increase by 3% I am left with an amount 50% or less for another trade

Like my initial investment was supposed to be 12000 for one go but I invested only 50% that is 6000 and I remain with 60000 for another trade

Whatever time it takes for increase of 3% even after it falls and reaches back to 3%+on my previous CMP I am having that amount for another trade

Now you may be thinking that we have 3% in crease on cmp for each order by so we are loosing the average benefit

But let us check

What is the total amount invested by pyramiding 12346.30 instead of 12000
So what is the percentage difference

How much more are you investing
It is just 2.89% more that's it

So the super benefit is I have cash in hand for another trade
I am at less loss even if the stock falls
I also have an option of doing averaging like in earlier session where stock fell 20% and we exited with profits as well
All benefits by just spending more 2.89%

I can easily cover up this 346.30 extra amount by using 6000 amount in another trade
My trade is safe, my investment is safe and even at the last buy we still are in profits of 1564.70

From: Aijaz Mohsin

Let me tell you one trick in picking fundamentally strong stocks
Please do not interrupt for 5/10 mins

Look
As we trade in Shariah compliant stocks already Debt, financial ratios are covered
Shariah compliant stocks means fundamentally strong stocks
Point number one

Second what we need to check is growth so how do we do it?

Check which sector it belongs to
Then check sub sector
The growth of that sub sector should be greater than 7-10%

Now where did this 10% come from,it is simple it came from average GDP

Now the next step is to check the growth of the stock

If the growth of the stock in percentage is more than the sector growth then it is a best buy

From: Aijaz Mohsin

🚨🚨🚨

Bhaiyon
DII lagatar defend kar rahe hain FII ki selling ko
Ye bhi bohut dangerous hai
Kisi na kisi din unhe bhi bechna Hoga
So be cautious while trading

Enter with small quantities only
If SL hit exit immediately
Monitor your trade
Always try to book profits even if it is below targets or ensure you trail your SL
INSHA'ALLAH KHAIR

Quick session on fundamental analysis today in group after ESHA insha'Allah

Session starts in one minute insha'Allah

Session 2 on Fundamental Analysis

INSHA'ALLAH Ab Assets, liabilities aur equity ko detail me samjhenge jisse mota moti balance sheet dekhna seekh jayenge.

Jab bhi business start karte hain to sabse pehle arrangement aap ko paison ka karna hota hai, Apne business me assets create karne honge.

Paisa 2 tareeqon se aa sakta hai, ek hota hai equity yaani owner ya investor paisa lagate hain doosra hota hai Debt matlab ke loan (kisi se bhi)

Ab jab business shuru ho gaya aur business operation se profit aana shuru hota hai, to us profits se aap apna loan aur taxes bharte hain kisko priority deni hai ye bhi aaj discuss karenge

So financial equation me ek equation hai
Equity = Assets – Liabilities

Isse ham derive karte hain
Assets = Equity+Liabilities, so balance sheet me Assets and Liabilities dono barabar hona chahiye

Example se samjhte hain

Maan lijiye ke aap koi property khareedna chahte hain, jiski keemat 50 lakh hai aur aapke paas 10 lakh hai, to aap 10 lakh apne pass se cash de dete hain aur baaki ke 40 lakh voh aap loan lete hain.

Now apne is example se ham apne terms Assets, Equity aur Liabilities ko samjhte hain

Ab in me se jo aapne 10 lakh diye voh ho gai Equity aur jo 40 lakh loan liya voh hogayi aapki Liability (Fareeza jo aapko lautana hai)

So isse ye pata chala ke Equity fund kahan se aata hai? Owner se aor investors se

Assets kya hote hain, jo resources ham khud as an individual ya apni company control karti hai jo future cash flow generate karne me help karta hai (matlab paisa kama ne ka zariya)

Hamare example me jo property se rent kama sakte hain to future cash flow mil rahe hain aapko aur us asset ko (property ko) aap khud hi control kar rahe hain, bhale aaj ki tareekh me ye property aapki 100% ownership nahi hai, kyun ke aap ne 40 Lakh yaani 80% loan liya hai.

Next Liabilities – Liabilities obligations hote hain individual ya company ke

Jaise apne example me jo loan liya hai who liability hoti hai, isi tarah liabilities kai qism ki ho sakti hain jaise aapne kisi se udhar liya ho, ye sab liabilities me aate hain

Liabilities kahan se aa sakti hain, lenders se ya creditors se, lenders jaise banks, creditors jaise dost se udhar leliya.

Ab raha Equity ko samjhna, isko imagine karna thoda sa mushkil ho jata hai, kyun ke assests appko dikh rahi hai aur pata bhi hai, Liabilities bhi pata hai, Equity me confuse hote hain. Equity ko simple tareeke me yun keh sakte hain ye aapki ownership hai

So apne example me 50 lakh ke property me 10lakh ki ownership hai aapki yaani 20% ki equity hai ya ownership hai, baaki 80% bank ka hai correct? Ab dheere dheere jab aap loan chukate rahenge aapki ownership badhti jati hai.

So hamare example se is equation Equity = Assets – Liabilities me dalenge toh

Equity = 50 Lakh – 40 Lakh = 10 Lakh, jo ke 20% hain

Yahan ham ye keh rahe hain ke equity yani ownership 10 Lakh hai

Maze ki baat ye hain ke Equity ke kai naam hain, isko Net Worth bhi kehte hain, Net Assets bhi kehte hain, so all are same simple


Ab ham in sab cheezon ko Business me fit karte hain

Maan lijiye aap ko Ek business shuru karna hai ek retail store ka, ab iske liye aapko 50 Lakh chaiye aur aapke paas 10 Lakh hai aur aapne 40 Lakh loan le liya aur aapko is business se har saal 20 Lakh ka profit ho raha hai to equity kya rahegi

Assets - Liabilities = Equity

Year-1 me 50 Lakh - 40 L = 10 L

Profit in year1 = 20 Lakh hua aur aapne ye loan chukka diya

Year-2 me 50 Lakh – 20L = 30L
Yahan aapki equity yaani apni ownership badha li

Usi Tarah next year bhi aapko 20L ka profit hua toh equation banegi
Year-3 me 50Lakh- 0L = 50 L

Year-4 me 70 Lakh – 0L = 70L
Yahan aapka profit asset me add hua kyun ke aap ke paas abhi liabilities nahi hai.

Ab isko ham thoda sa aur expand karte hain,
assets, equity aur liability alag alag tarah ki hoti hain, jaise

Assets:
1- Current Assets
2- Non-Current Assets

Current Assets voh hote hain jinko aap cash me convert kar sakte hain ek saal ke andar andar, example, inventory, finished goods etc

Non-Current Assets voh hote hain jinko aap cash me convert ek saal ke baad kar sakte hain jaise land building, machines

Similarly

Liabilities bhi do tarah ki hoti hain,
1- Current Liabilities
2- Non-Current liabilities,

Jo liabilities ya loans aapko ek saal ke andar ada karni hai voh current liablities

aur ek saal baad deni hai who hoti hain non-current liabilities

Equity kitne tarike ki hoti hain, broadly do qism ki hoti hain,
1. Preferred Equity
2. Common Equity

Jaisey aapne udhar liya aur commitment bhi di ke main aapko sabse pehle paisa wapas doonga voh ho jati hai Preferred Equity,

Common Equity voh hoti hai jo preferred ke baad aati hai, in simple last me aati hai

Now

Common Equity do types ke hote hain,
1- Equity Share capital and
2- Reserves and Surplus (yaani Retained Earnings)

Equity share capital matlab jis amount se aap business start karte hain

Reserves and Surplus matlab jo profits aate hain unka tax dene ke baad jo bachta hai voh Reserves and surplus bolte hain, isko retained earnings bhi kaha jaata hai (aksr US me)


We were discussing preferred equity, Jaisa ooper kaha ke aapne kisi ko commit Kiya ke aap sabse pehle kisi dost ko paisa wapas karenge toh woh equity sub category me Chali jaati hai yaani preferred equity.

Ab aate Hain priority of payments par,
Ab hame liabilities chukane Hain to Sab se pehle kisko denge, ye bhi important hai jisse EBIT AUR EBITDA SAMJHNA HOTA HAI

So sabse pehle payment hogi
1. Interest on loans : Interest on loans pay Karne se, ham liabilities ko pay ya Kam kar rahe hain

2. Taxes : Tax pay karte Hain govt ko.

3. Dividends to preferred share holder:
Teesra hamne bola ke preffered equity share holders ko returns denge, Ya ham dividend ke form me de sakte Hain ya koi aur form me

4. Reserves and surplus :
(common equity Wala)
Ye bhi divend ke form me de sakte Hain ya isi paise ko wapas business expansion me Laga sakte hain.

From: Aijaz Mohsin

FII SELL NET RUPEES 7,818.61 CR OF INDIA SHARES TODAY || DII BUY NET RUPEES 6,086.92 CR

@shariahshare

Few strong companies can be grabbed in this fall for long term
Do only pyramiding
R SYSTEMS
Finolex cables
Naukri
Century ply
Gufix Bio
Finpipe
TECHM
Trident
Divis Lab
Polycab
TCS

SONA COMSTAR ANNUAL REPORT: CO. Says EVs have become a significant part of our portfolio and account for 62% of the net order book.

Our dependence on pure ICE is also reducing, going down to 18% from 25% last year. As part of our future -forward technology roadmap, we introduced three new products in FY 2021 -22.

SONA COMSTAR Says automobile sector is also going through a global semiconductor chip shortage. The supply side pressure on the industry is intense with a move toward vehicle electrification and hybridisation.

The industry solution is the development of a robust semiconductor manufacturing ecosystem.

SONA COMSTAR Says The sales of electric cars – Battery Electric Vehicles (BEVs) and Plug in Hybrid Electric Vehicles (PHEVs) – nearly doubled to 6.6 million in 2021, representing more than 8% of total light vehicle sales. It is up from 4.0% in 2020 and a noticeable leap from 0.9% in 2016.

As we advance, the increase in sales of EVs will be a big goal to meet CO2 targets.

GSS INFOTECH
SL HIT
EXIT

CENTRAL BUREAU OF INVESTIGATION HAS BOOKED DHFL IN THE BIGGEST BANKING FRAUD #INDIA HAS EVER SEEN. THE BANK FRAUD IS OF OVER RS 34,615 CRORES

#DHFL
#PIRAMAL

Stoploss kisko kehte hain ?

Stoploss ek method hota hai jis se ham Apne losses ko control ya limit Karna Chahte Hain

Stop loss order broker app pe available hai Jahan ek certain price par stock price pahunche toh sell order trigger/execute ho AISA kar sakte Hain,

Mainly there are several methods to put stop loss. And we will categorize our trades short, mid and long term and try to understand how stop loss works.

Methods are:
1. At Support and Resistance levels
2. Percentage method
3. Fibonacci levels
4. Technical indicators
5. ATR value based

1. Support and Resistance levels:

Identify SR(support and resistance) on hourly, daily, weekly and monthly time frames,As per your trade.

For Short Term: Place it on hourly, daily SR.
For Mid Term: Place it at weekly SR.
For Long Term: Place it at Monthly SR.

2. Percentage method:
Here we see the risk to reward ratio and if we are comfortable we can place the SL at 2/3/5/10%
Risk to Reward should be atleast 1:1

3. Fibonacci levels:
These are considered to be one of the best ones in cash trading.

We can consider like this
If the stock is trading above 38% levels then your immediate stoploss should be 38%

Just as a caution place SL 2/5 points below the fib level to avoid freak trading.

Lekin stock price par depend HOTA.
100 ka hai to 2 point neeche
1000 ka hai toh 5/10 point neeche Etc.

4. Technical indicators for SL:

For Short Term:
If the stock is trading above 20dma
Then SL can be at 20 DMA coz if the stocks goes below 20 DMA for short term it is a down trend

For Mid Term: It can be 50dma

For Long Term: It is 200dma

Now technical indicators are many
Second I dictator is the candle itself.

For Short Term If the price crosses below the previous candle low on a weekly time frame then you can exit or place a SL on previous candle low of weekly time frame.

Like wise for any reason a shorter time frame like 20dma crosses below 50dma can also exit.

For Mid Term: it will be monthly candle.

5. ATR:
What ever is the ATR value while entering the trade, multiply the ATR value by 2 and keep SL as
CMP-(2xATR). This is less known.