Tradevesting — Notes — 6
Class 6–2 Times in 3 Years
Business understanding is the most critical part of this strategy.
This strategy can give you the most attractive returns of all other strategies.
Ten conditions to meet:
- Stock price should come down > 67% from all time high (ATH)
- We must understand the reason of the fall:
- Sales down, net profit down, hence stock price down
- Sales OK, net profit down, hence stock price down
- Sales OK, net profit OK, still stock price down
3. The reason of the fall should not exist now.
4. There is a proven track record of performance in the past.
5. There should be an improvement in latest quarterly result.
6. There should be a good future growth prospect of its product and/or services.
7. After meeting above conditions, stock price should still be down > 50%
8. We will buy after all above conditions are met.
9. If there are 100% gain within an year, we will book the profit.
10. If there are no 100% gain within an year, we will book the profit at all time high (ATH).
11. We need to be blessed for above strategy to work.
Chanting, meditation, empathy, responsibility, mental and physical health. time management.
Stocks for 2023 : Indigo Paints, Bandhan Bank, General Insurance, JM Financial, New India Insurance, PnB, Ujjivan SFB*, Gland Pharma, Lux Industries, Relaxo, Vaibhav Global, Valiant Organics
Stock-Strategy Mapping
- # 2Ti3Y: All Stocks
- # V20: All 3 Groups (V40/V40N/V200)
- # RB-KD: V40
- # MA Cross-over: V40
- # Reverse H&S: V40/V40N
- # Cup with Handle: V40/V40N
