Everybody needs rest to reflect. The market does that by pulling back from highs. It tempers enthusiasm and makes the market healthy.
Archives for January 2021
The concept of Inflection Point
Price Action Investing is all about capturing the moment when the market changes its perception PE about a business. It’s all about getting that inflection point when things turnaround pretty dramatically. Let me explain this with one case study.
PE ratio is the most useless indicator when it comes to investing
If you are a long-term value investor, the first thing you look at is the PE ratio. You even have screeners for that. Sometimes you don’t invest in great businesses because you don’t find it cheap. How can you buy a stock that is trading at obscene PE multiples, that’s crazy!!! As a good value […]
Price Action of Bharti Airtel: Nobody knows why?
There is a trending stock and then there is a random moving stock. Bharti Airtel stock raised enormous hope when it rallied like crazy before the covid pandemic but the price action move in 2020 has been completely disappointing. Traders don’t like stocks that give mixed signals and do not have clear trends.
Follow the Leader: Deepak Nitrite Story
When it comes to the stock market, the most popular show: Follow the Leader. Once you have identified a Leader, you can get great returns just by following it closely and buying every dip it offers or simply just being invested in it. Here’s one case study to illustrate that point.