REMOVE YOUR FEAR WITH SUBCONSCIOUS MIND

 

              HOW TO REMOVE YOUR FEAR WITH SUBCONSCIOUS MIND

                    ONE OF OUR STUDENTS TOLD ME THAT HE WAS INVITED TO SPEAK AT A BANQUET. HE SAID HE WAS PANIC-STRICKEN AT THE THOUGHT OF SPEAKING BEFORE A THOUSAND PEOPLE. HE OVERCAME HIS FEAR THIS WAY. FOR SEVERAL NIGHTS HE SAT DOWN IN AN ARMCHAIR FOR ABOUT FIVE MINUTES AND SAID TO HIMSELF SLOWLY, QUIETLY, AND POSITIVELY, "I AM GOING TO MASTER THIS FEAR. I AM OVERCOMING IT NOW. I SPEAK WITH POISE AND CONFIDENCE. I AM RELAXED AMD AT EASE". HE OPERATED A DEFINITE LAW OF MIND AND OVERCAME HIS FEAR.

               THE SUBCONSCIOUS MIND IS AMERABLE TO SUGGESTION AND IS CONTROLLED BY SUGGESTION. WHEN YOU STILL YOUR MIND AND RALAX, THE THOUGHTS OF YOUR CONSCIOUS MIND SINK DOWN  INTO THE SUBCONSCIOUS THROUGH A PROCESS SIMILAR TO OSMOSIS, WHEREBY FLUIDS SEPERATED BY A POROUS MEMBRANE INTERMINGLE. AS THESE POSITIVE SEEDS, OR THOUGHTS, SINK INTO THE SUBCONSCIOUS AREA, THEY GROW AFTER THEIR KIND, AND YOU BECOME POISED, SERENE, AND CALM.

                                              MAN'S GREATEST ENEMY

             IT IS SAID THAT FEAR IS MAN'S GREATES ENEMY. FEAR IS BEHIND FAILURE, SICKNESS, AND POOR HUMAN RELATIONS. MILLIONS OF PEOPLE ARE AFRAID OF THE PAST, THE FUTURE, OLD AGE, INSANITY, AND DEATH. FEAR IS A THOUGHT IN YOUR MIND, AND YOU ARE AFRAID OF YOUR OWN THOUGHTS.

             A LITTLE BOY CAN BE PARALYZED WITH FEAR WHEN HE IS TOLD THERE IS A BOOGIEMAN UNDER HIS BED THAT IS GOING TO TAKE HIM AWAY. WHEN HIS FATHER TURNS ON THE LIGHT AND SHOWS HIM THERE IS NO BOOGIEMAN, HE IS FREED FROM FEAR. THE FEAR IN THE MIND OF THE BOY WAS AS REAL AS IF THERE REALLY WAS A BOOGIE MAN THERE. HE WAS HEALED OF A FALSE THOUGHT IN HIS MIND. THE THING HE FEARED DID NOT EXIST. LIKEWISE, MOST OF YOUR FEARS HAVE NO REALITY. THEY ARE MERELY A CONGLOMERATION OF SINISTER SHADOWS AND SHADOWS HAVE NO RELAITY.

                                              DO THE THING YOU FEAR

                      RALPH WALDO EMERSON, PHILOSOPHER AND POET SAID, "DO THE THING YOU ARE AFRAID TO DO, AND THE DEATH OF FEAR IS CERTAIN". THERE WAS A TIME WHEN THE WRITER OF THIS CHAPTER WAS FILLED WITH UNUTTERABLE FEAR WHEN STANDING BEFORE AN AUDIENCE. DO THE THING I WAS AFRAID TO DO, AND THE DEATH OF FEAR WAS CERTAIN. WHEN YOU AFFIRM POSITIVELY THAT YOU ARE GOING TO MASTER YOUR FEARS, AND YOU COME TO A DEFINITE DECISION IN YOUR CONSCIOUS MIND, YOU RELEASE THE POWER OF THE SUBCONSCIOUS, WHICH IN RESPONSE TO THE NATURE OF YOUR THOUGHT. 

                                               BANISHING STAGE FRIGHT

               A YOUNG LADY WAS INVITED TO AN AUDITION. SHE HAD BEEN LOOKING FORWARD TO THE INTERVIEW.

                HOWEVER, ON THREE PREVIOUS OCCASIONS, SHE HAD FAILED MISERABLY DUE TO STAGE FRIGHT.

              SHE POSSESSED A VERY GOOD VOICE, BUT SHE WAS CERTAIN THAT WHEN THE TIME CAME FOR HER TO SING, SHE WOULD BE SEIZED WITH STAGE FRIGHT. THE SUBCONSCIOUS MIND TAKES YOUR FEARS AS A REQUEST, PROCEEDS TO MANIFEST THEM, AND BRINGS THEM INTO YOUR EXPERIENCE . ON THREE PREVIOUS AUDITIONS THE SANG WRONG NOTES, AND SHE FINALLY BROKE DOWN AND CRIED. THECAUSE AS PREVIOUSLY OUTLINED, WAS AN INVOLUNTARY AUTOSUGGESTIONS, I.E, SILENT FEAR THOUGHT EMOTIONALIZED AND SUBJECTIFIED.

               SHE OVERCAME IT BY THE FOLLOWING TECHNIQUE. THREE TIMES A DAY SHE ISOLATED HERSELF IN A ROOM. WHE SAT DOWN COMFORTABLY IN AN ARMCHAIR, RELAXED HER BODY, AND CLOSED HER EYES.

              SHE STILLED HER MIND AND BODY TO THE BESTOF HER ABILITY. PHYSICAL INERTIA FAVORS PASSIVITY AND RENDERS THE MIND MORE RECEPTIVE TO SUGGESTION. SHE COUNTERACTED THE FEAR SUGGESTION BY ITS CONVERSE, SAYING TO HERSELF. "I SING BEAUTIFULL. I AM POISED, SERENE, CONFIDENT, AND CALM".

              SHE REPETED THE WORDS SLOWLY, QUIETLY, AND WITH FEELING FROM FIVE TO TEN TIMES AT EACH SITTING. SHE HAD THREE SUCH "SITTING" EVERY DAY AND ONE IMMEDIATELY PRIOR TO SLEEP AT NIGHT. AT THE END OF THE WEEK SHE WAS COMPLETELY POISED AND CONFIDENT, AND A DEFINITELY OUSTANDING AUDITION.CARRY CONFIDENT, AND GAVEA DEFINITELY OUTSTANDING AUDITION. CARRY OUT THE ABOVE PROCEDURE, AND THE DEATH OF FEAR IS CERTAIN. 

                                                                               ❤❤❤

 

HOW TO BUILD HABIT

 

                 REMOVE YOUR MENTAL BLOCK WITH SUBCONSCIOUS

                 THE SOLUTION LIES WITHIN THE PROBLEM. THE ANSWER IS IN EVERY QUESTION. IF YOU ARE PRESENTED WITH A DIFFICULT SITUATION AND YOU CANNOT SEE YOUR WAY CLEAR, THE BEST PROCEDURE IS TO ASSUME THAT INFINITE INTELLIGENCE WITHIN YOUR SUBCONSCIOUS MIND KNOWS ALL AND SEES ALL, HAS THE ANSWER, AND IS REVEALING IT TO YOU NOW. YOUR NEW MENTAL ATTITUDE THAT THE CREATIVE INTELLIGENCE IS BRINGING ABOUT A HAPPY SOLUTION WILL ENABLE YOU TO FIND THE ANSWER. REST ASSUMED THAT SUCH AN ATTITUDE OF MIND WOULD BRING ORDER, PEACE, AND MEANING TO ALL YOUR UNDERTAKIGS.

           

                                     HOW TO BREAK OR BUILD A HABIT

                   YOU ARE A CREATURE OF HABIT. HABIT IS THE FUNCTION OF YOUR SUBCONSICOUS MIND. YOU LEARNED TO SWIM, RIDE A BICYCLE, DANCE, AND DRIVE A CAR BY CONSCIOUSLY DOING THESE THINGS OVER AND OVER AGAIN UNTIL THEY ESTABLISHED TRACKS IN YOUR SUBCONSCIOUS MIND TOOK OVER. THIS IS SOMETIMES CALLED SECOND NATURE, WHICH IS A REACTION OF YOUR SUBCONSCIOUS MIND TO YOUR THINKING AND ACTING.

            YOU ARE FREE TO CHOOSE A GOOD HABIT OR A BAD HABIT. IF YOU REPEAT A NEGATIVE THOUGHT OR ACT OVER A PERIOD OF TIME, YOU WILL BE UNDER THE COMPULTION OF A HABIT. THE LAW OF YOUR SUBCONSCIOUS IS COMPULSION.

                                       HOW HE BROKE A BAD HABIT

               MR.JONES SAID TO ME, "AN UNCONTROLLABLE URGE TO DRINK SEIZE ME, AND I REMAIN DRUNK FOR TWO WEEKS AT A TIME. I CAN'T GIVE UP THIS TERRIBLE HABIT". TIME AND TIME AGAIN THESE EXPERIENCES HAD OCCURED TO THIS UNFOTUNATE MAN. HE HAD GROWN INTO THE HABIT OF DRINKING TO EXCESS. ALTHOUGH HE HAD STARTED DRINKING OF HIS OWN INITIATIVE, HE ALSO BEGAN TO REALIZE THAT HE COULD CHANGE THE HABIT AND ESTABLISH A NEW ONE. HE SAID THAT WHILE THROUGH HIS WILL POWER HE WAS ABLE TO SUPPRESS HIS DESIRES TEMPORARILY, HIS CONTINUED EFFORTS TO SUPPRESS THE MANY URGES ONLY MADE MATTERS WORSE. HIS REPEATED FAILURES CONVINCED HIM THAT HE WAS HOPELESS AND POWERLESS TO CONTROL HIS URGUE OR OBSESSION. THIS IDEA OF BEING POWERLESS OPERATED AS A POWERFUL SUGGESTION TO HIS SUBCONSCIOUS MIND AND AGGRAVATED HIS WEAKNESS, MAKING HIS LIFE A SUCCESSION OF FAILURES.

             I TAUGHT HIM TO HARMONIZE THE FUNCTIONS OF THE CONSCIOUS AND SUBCONSCIOUS MIND. WHEN THESE TWO COOPERATE, THE IDEA OR DESIRE IMPLANTED IN THE SUBCONSCIOUS MIND IS REALIZED.

              HIS REASONING MIND AGREED THAT IF THE OLD HABIT PATH OR TRACK HAD CARRIED HIM INTO TROUBLE, HE COULD CONSCIOUSLY FORM A NEW PATH OF FREEDOM, SOBRIETY, AND PEACE OF MIND. HE KNEW THAT HIS DESTRUCTIVE HABIT WAS AUTOMOTIC, BUT SINCE IT WAS ACQUIRED THROGH HIS CONSCIOUS NEGATIVELY, HE ALSO COULD BE CONDITIONED POSITIVELY. AS A RESULT, HE CEASED THINKING OF THE FACT THAT HE WAS POWERLESS TO OVERCOME THE HABIT. MOREOVER, HE UNDERSTOOD CLEARLY THAT THERE WAS NO OBSTACLE TO HIS HEALING OTHER THAN HIS OWN THOUGHT. THEREFORE, THERE WAS NO OCCASION FOR GREAT MENTAL EFFORT OR MENTAL COERCION.

                                  THE POWER OF HIS MENTAL PICTURE

                   THIS MAN ACQUIRED A PRACTICE OF RELAXING HIS BODY AND GETTING INTO A RELAXED, DROWSY, MEDITATIVE STATE. THEN HE FILLED HIS MIND WITH THE PICTURE OF THE DESIRED END, KNOWING HIS SUBCONSCIOUS MIND COULD BRING IT ABOUT THE EASIEST WAY. HE IMAGINED HIS DAUGHTER CONGRATULATING HIM ON HIS FREEDOM, AND SAYING TO HIM, "DADDY, IT'S WONDERFUL TO HAVE YOU HOME"! HE HAD LOST HIS FAMILY THROUGH DRINK. HE WAS NOT ALLOWED TO VISIT THEM, AND HIS WIFE WOULD NOT SPEAK TO HIM.

               REGULARLY, SYSTEMATICALLY, HE USED TO SIT DOWN AND MEDITATE IN THE WAY OUTLINED. WHEN HIS ATTENTION WANDERED. HE MADE IT A HABIT TO IMMEDIATELY RECALL THE MENTAL PICTURE, OF HIS DAUGHTER WITH HER SMILE AND THE SCENE OF HIS HOME ENLIVENED BY HER CHEERFUL VOICE. ALL THIS BROUGHT ABOUT A RECONDITIONING OF HIS MIND. IT WAS A GRADUAL PROCESS. HE KEPT IT UP.

              HE PERSEVERED KNOWING THAT SOONER OR LATER HE WOULD ESTABLISH A NEW HABIT PATTERN IN HIS SUBCONSCIOUS MIND.

             I TOLD HIM THAT HE COULD LIKEN HIS CONSCIOUS MIND TO A CAMERA, THAT HIS SUBCONSICIOUS  MIND WAS THE SENSITIVE PLATE ON WHICH HE REGISTERED AND IMPRESSED THE PICTURE. THIS MADE TO FIRMLY IMPRESS THE PICTURE ON HIS MIND AND DEVELOP IT THERE. FILMS ARE DEVELOPED IN THE DARK, LIKEWISE, MENTAL PICUTURES ARE DEVELOPED IN THE DARKROOM OF THE SUBCONSCIOUS MIND.

                                                                           👀👀👀

STOCK NEVER DECLINES ENDLESSLY

 

                                         A STOCK MARKET DICTIONARY

               AS YOU HAVE SEEN IN THE PREVIOUS TIP, STOCK OF COMPANY STARTS FALLING EVEN SIX MONTHS TO ONE YEAR BEFORE ACTUAL DECLINE IN THE PERFORMANCE OF THAT COMPANY, AS THE RUMOUS LEAKED BY INTERNAL SOURCES OF THE COMPANY KEEP FINDING THEIR WAY TO THE MARKET.

              HOWEVER, WHEN THE STOCK STARTS FALLING AFTER THE RUMOUR IS OUT, SOME GREEDY INVESTORS START BUYING THE SAME THINKING THAT THEY SHOUD NOT LOSE THE CHANCE OF ACQUIRING SUCH A COSTLY BLUECHIP STOCK AT SUCH A CHEAP RATE. ON THE OTHER SIDE, EVEN SOME LONG-TERM FUNDAMENTAL INVESTORS SLOWLY STRONG STOCK, EVEN IF ITS PERFORMANCE DECLINES FOR A YEAR OR TWO, ITS PACE OF RECOVERY IS ALSO QUITE FAST WHEN ITS PERFORMANCE PICKS UP.

               HENCE, SUCH PURCHASES MADE BY SMALL INVESTORS BECAUSE OF THEIR TENDENCY TO BUY STOCKS THAT HAVE CRASHED BY HALF (THOUGH THIS TENDENCY IS NOT CORRECT, YOU HAVE ALREADY READ IN MY PREVIOUS CHAPTER, "HOW TO MAKE PROFIT IN SHARE MARKET" THAT THE STOCK HAVING 52 WEEKS HIGH/52 WEEK LOW OVER 2 SHOULD NOT BE BOUGHT FOR LONG-TERM INVESTMENT) OR MADE BY LONG-TERM FUNDAMENTAL INVESTORS AS THEY START INVESTING IN SUCH STOCKS IN INSTALMENTS, ENABLE THE STOCK TO START GAINING SLOWLY EVEN AFTER THE RUMOUR IS OUT. PEOPLE THINK THAT THE RUMOUR HAS BEEN PROVEN WRONG AND AS THE STOCK HAS STARTED APPRECIATING, THEY SHOULD BUY THE SAME. THIS FUTHER GIVES A TEMPORARY JUMP TO THE STOCK PRICE. BUT, AFTER THAT, THE STOCK FALLS EVEN MORE THAN WHAT IT HAD GAINED.

                TO UNDERSTAND THIS PRACTICALLY, LET US TAKE THE EXAMPLES OF YES BANK AND IOC. BOTH THE STOCKS ARE INCLUDED IN NIFTY AND BOTH HAD CRASHED BADLY FROM THEIR YEAR HIGHS DURING 2018.

                YOU CAN SEE THAT THOUGH IOC HAS CRASHED FROM ITS HIGHEST LEVEL TO LOW LEVEL, ITS FALL HAS NOT BEEN SMOOTH, RATHER IR EXPERIENCED BOUNCE BACKS ON ITS WAY. SIMILARLY, THOUGH YES BANK HAS CRASHED FROM ITS HIGHEST LEVEL AND REACHED ITS LOWEST LEVEL, HERE ALSO THE CHART OF ITS DECLINE IS NOT A STRAIGHT LINE. THIS ALSO HAS SMALL BOUNCE BACKS IN BETWEEN.

               YOU MAY BE WONDERING WHAT YOU SHOULD BE CONCERNED OF ALL THIS. THE RELEVANT TO YOU IS ONLY THAT IF YOU WERE USING THOSE TWO STOCKS FOR SWING TRADE AS PER THE PROCESS EXPLAINED EARLIER, AND AVERAGING OUT ON REGULAR BASIS ONCE IN A WEEK AT PREVIOUS DAY'S VWAP, THEN, EVEN IF YOU HAD BOUGHT THEM AT THEIR HIGHEST LEVELS OF THE YEAR, YOU COULD EASILY EXIT AFTER BOOKING 2 % - 3 % PROFIT OVER YOUR AVERAGE PRICES BY TAKING ADVANTAGE OF THESE SMALL BOUNCE BACKS. AFTER YOUR EXIT, YOU COULD HAVE REVIEWED AND FOUND THAT THE STOCKS WERE NOT IN THE RANGE OF 15 % FROM THEIR 52 - WEEK HIGHS ANYMORE AND, HENCE, WOULD HAVE SELECTED FROM NIFTY SOME OTHER STOCKS TRADING NEAR THEIR 52-WEEKS HIGH. 

              I HAVE A YOUTUBE VIDEO ALSO ON THIS SUBJECT, WHERE I HAVE EXPLAINED HOW IOC STOCK CRASHED ALMOST 65 % IN A YEAR AND, WITH THE HELP OF SWING TRADE, YOU COULD HAVE BOOKED PROFIT 8 TIMES EVEN DURING THAT 65 % CRASH. 

                                     REVIEW SWING TRADE PORTFOLIO 

                  AS HAS BEEN EXPLAINED IN THE PREVIOUS TIP, THERE ARE SOME STANDARDS FOR SELECTION OF STOCKS FOR INDEXES, LIKE NIFTY, SENSEX, ETC. THESE STANDARDS ARE SET BY WELL-KNOWN EXPERTS IN ECONOMICS TO ENSURE THAT ONLY BEST COMPANIES ARE INCLUDED IN SUCH INDEXES.

                BUT, WHEN A COMPANY IS NOT ABLE TO MEET THOSE STANDARDS BECAUSE OF ITS POOR PERFORMANCE, SUCH A COMPANY IS REMOVED FROM INDEX AFTER THE PROCESS OF PERIODICAL ASSESSMENT OF INDEX COMPANIES AND IN ITS PLACE, A NEW COMPANY THAT MEETS THOSE STANDARTS.

               HENCE, IF YOU ARE ENGAGED IN SWING TRADES AFTER SELECTING STOCKS FROM NIFTY/SENSEX FOLLOWING THE PROCESS EXPLAINED IN PREVIOUS TIPS AND ANY OF YOUR SELECTED STOCKS IS REMOVED FROM INDEX, YOU SHOULD ALSO STOP TRADING IN THAT STOCK FROM NIFTY/SENSEX IN ITS PLACE FOR INCLUSION IN YOUR SWING TRADE PORTFOLIO.

               THAT MEANS IF THE STOCK THAT HAS BEEN REMOVED FROM INDEX STARTS DECLINING, YOU SHOULD STILL CONTINUE TO AVERAGE OUT THE SAME EVERY WEEK BASED ON PREVIOUS DAY'S VWAP AND EVENTUALLY, AFTER YOU EXIT WITHOUT LOSS WHENEVE YOU GET 0.5 % PROFIT ON YOUR AVERAGE PRICE, YOU MAY PICK A NEW STOCK FROM INDEX IN PLACE OF THAT REMOVED STOCK.

                                                                     👀👀👀

 

ABOUT LONG-TERM INVESTMENT

 

       DO NOT MIX INTRADAY TRADING AND LONG-TERM INVESTMENT

                        IF YOU BUY A STOCK FOR INVESTMENT AND THE SAME STARTS GIVING A PROFIT OF 5 % TO 6 % ON THE SAME DAY OR AFTER 1-2 DAYS, YOU SELL THE SAME THINKING THAT YOU WOULD BUY THE SAME BACK WHEN THE PRICE COMES DOWN AGAIN, BUT, IT'S NOT POSSIBLE EVERY TIME. HENCE, NEVER MIX DAY TRADING WITH LONG-TERM INVESTMENT. HENCE, NEVER MIX DAY TRADING WITH LONG-TERM INVESTMENT. KEEP, NEVER MIX DAY TRADING WITH LONG-TERM TRADING, SHORT-TERM INVESTMENT. KEEP YOUR CAPITAL SEGREGATED ONTO DAY TRADING, SHORT-TERM INVESTMENT AND LONG-TERM INVESTMENT SEGMENTS, AND DO NOT MIX THEM.

                   AS FAR AS MY ADVICE IS CONCERNED, I FEEL THE SWING TRADE METHOD MAY BE MORE BENEFICIAL FOR YOU AS COMPARED TO BOTH INTRADAY TRADING AND LONG-TERM INVETSMENT.

                                                                         ❤❤

                IF SWING TRADE IS DONE IS GOOD BLUECHIP STOCKS AND YOU ARE ABLE TO GENERATE AN AVERAGE RETURN OF 2 % PER MONTH FROM THE SAME, YOU MAY EARN 26.82 % IN A YEAR CALCULATING THE RETURN BASED  ON COMPOUND RATE. WHEREAS, IT IS POSSIBLE THAT EVEN THOUGH YOU SELECTED A GOOD STOCK FOR LONG-TERM INVESTMENT, THE SAME MAY NOT PERFORM WELL DURING THAT YEAR AND YOU MAY NOT BE ABLE TO MAKE ANY MONEY, INSTEAD YOUR STOCK MAY EVEN GO IN LOSS. HOWEVER, UNDER SWING TRADE (DETAILS OF WHICH ARE DISCUSSED LATER ). YOUR RETURN FOR THREE YEARS, CALCULATED AT COMPOUND RATE, MAY GO UP TO 103.99 % IF YOU ARE ABLE TO MANAGE 2 % RETURN ON A MONTHLY BASIS. YOU CAN UNDERSTAND THAT THERE IS NO GUARANTEE OF YOUR STOCK SELECTED FRO LONG-TERM INVESTMENT GOING UP BY 103.99 % IN THREE YEARS, WHEREAS, EVEN IF YOU EARN HALF ON YOUR TARGET IN YOUR SWING TRADES, YOU WOULD DEFINITELY EARN AT LEAST 50 % IN THREE YEARS.

               DO NOT GET WORRIED, THE ENTIRE PROCESS OF SWING TRADE WOULD BE EXPLAINED IN SUBSEQUENT TIPS.

                                             DO NOT FIGHT THE MARKET

                   A TRADER SHOULD BE FREE FROM THE EMOTIONS OF GREED, FEAR AND EGO. YOU WOULD HAVE TO TRADE LIKE A ROBOT TO BECOME A SUCCESSFUL TRADER. DO NOT MIX EMOTIONS WITH YOUR TRADE. YOU MAY BE WONDERING NOW AS TO WHY I HAVE STARTED PREACHING SO MUCH!

                YOU WOULD BE ABLE TO UNDERSTAND MY LESSON AFTER GOING  THROUGH THE STORY OF LALIT PRAHAPET. LALIT PRAJAPAT HAD DISCOVERED A MARVALOUS WAY OF TRADING. INFACT, GETTING USED TO SHOOTING IN THE DARK, HE THOUGHT OF A STRAGEGY - LET'S ME TREAT PREVIOUS DAY'S CLOSE PRICES FOR SOME TIME, THE STOCKS STARTED FALLING BELOW THOSE PRICES, LALIT TOOK SHORT POSITIONS THE MOMENT THEIR PRICES CAME BELOW PREVIOUS DAY'S CLOSE PRICES, AND HE MADE GOOD AMOUNT OF MONEY AS STOCKS FELL FURTHER DOWN.

              NEXT DAY, LALIT LALIT ATTEMPTED THE SAME STRATEGY WITH DOUBLE THE MARGIN MONEY. FOR STOCKS THAT STARTED BELOW PREVIOUS DAY'S CLOSE PRICES, HE KEPT ON TAKING "BUY" POSITIONS THE MOMENT THEY MOVED ABOVE THEIR CLOSE PRICES, AND SIMILARLY, FOR STOCKS THAT WERE MOVING ABOVE THEIR PREVIOUS DAY'S CLOSE PRICES, HE KEPT ON TAKING "SELL" POSITIONS THE MOMENT THEY FELL BELOW THEIR CLOSE PRICES. HE MADE GOOD PROFIT THAT SECOND DAY ALSO.

            NOW, ON THE THIRD DAY, HE INCREASED HIS MARGIN MONEY FURTHER AND FOLLOWED THE SAME PROCESS. BUT, MARKET WAS QUITE VOLATILE THAT DAY, I.E, THE MARKET DID NOT MOVE IN THE SAME DIRECTION, INSTEAD, IT FELL FIRST AND THEN WENT UP FAST. THUS, WHEN HE TOOK SHORT POSITIONS FOR STOCKS THAT HAD MOVED BELOW PREVIOUS DAY'S CLOSE PRICES AFTER HOVERING ABOVE THOSE PRICES, THE STOCKS MOVED UP WITH DOUBLE THE SPEED AFTER SOME TIME AND THEY CLOSED ALSO AT HIGHER LEVELS. MR. LALIT HAD TO SUFFER A GOOD AMOUNT OF LOSS.

             NOW, LALIT FELT - MY METHOD WAS NOT WRONG (THIS IS WHAT IS CALLED THE SENSE OF EGO). I JUST DID NOT SET STOP-LOSS. I SHOULD SURELY TAKE A SHORT POSITION WHEN A STOCK GOES BELOW PREVIOUS CLOSE PRICE,  BUT I WOULD SET A STOP-LOSS OF PREVIOUS CLOSE PRICE JUST IN CASE THE STOCK MOVES UP AGAIN'. 

             BUT, HOW TO RECOVER THE LOSS INCURRED IN SUCH POSITIONS? LALIT THOUGH OVER THE SAME AND TOOK A DECISION - IF AFTER FALLING BELOW PREVIOUS CLOSE, THE STOCK STARTS MOVING UP AGAIN, I WOULD CLOSE MY SHORT POSITION AT PREVIOUS CLOSE PRICE AND TAKE A LONG POSITION (BUY POSITION) FOR DOUBLE QUANTITY. THE DOUBLE PROFIT THAT I MAKE FROM THIS POSITION WOULD BE ENOUGH TO SET OFF MY ABOVE LOSS FROM STOP-LOSS AND STILL PROVIDE ME SOME EARNING (THIS WAS THE SENSE OF GREED).

                                                                    ❤❤

              NEXT DAY, HE CHOSE THE STOCK A . ITS PREVIOUS CLOSE PRICE WAS $340.80. THE STOCK OPENED AT $342.40. AFTER TRADING FOR SOME TIME, IT CAME BELOW $340.80 TO $ 340.70. LALITJI FOLLOWED HIS METHOD AND SOLD 100 STOCKS. THE PRICE FELL DOWN FURTHER TO $337, BUT HE DID NOT BOOK PROFIT. HE THOUGHT, "NOW THAT THE STOCK HAS FALLEN THAT MUCH, WHERE IS THE CHANCE OF ITS GOING UP? LET IT FALL FURTHER AND INCREASE MY PROFIT (THE EMOTION OF GREED)". BUT JUST THE REVERSE HAPPENED. AFTER A SHORT TIME, THE STOCK SHOT UPWARDS AND FROM $340.70, IT WENT UP TO $341.30. LALITJI BOOKED LOSS IN HIS SHORT POSITION FOR DOUBLE THE QUANTITY). AFTER GOING UP, THE STOCK SUDDENLY WENT DOWN. HE HAD NOT SET ANY STOP-LOSS FOR THIS POSITION AND THE STOCK CAME DOWN TO $336. NOW, HE GOT SWAYED BY FEAR. HE IMMEDIATELY SOLD POSITION OF 200 STOCKS AND CREATED A SHORT POSITION FOR 400 STOCKS. BEFORE HE COULD SET A STOP-LOSS FOR THE SAME, THE STOCK CAME BACK TO $341. NOW, LALITJI STARTED FIGHTING THE MARKET. IF THE PRICE OF THE STOCK FELL, HE WOULD SHORT FOR DOUBLE THE QUANTITY AND IF THE PRICE WENT UP, HE WOULD BUY FOUR TIMES THE QUANTITY. AND, FIGHTING LIKE THAT, HE COULD NOT EVEN NOTICE THAT HE HAD INCURRED ASIZEABLE LOSS ON THE DAY MARRED BY WIDE FLUCTUATIONS.

            IT IS POSSIBLE THAT MANY OF THE TRADERS, WHO HAVE LOST MONEY FLIGHTING THE MARKET, MAY FIND THIS STORY TO BE THEIR OWN, BUT THIS MAY HAPPEN WITH ANYBODY AFTER GETTING SWAYED BY EMOTIONS.

           THUS, THE LESSON OF THE DAY IS - DO NOT FREQUENTLY CHANGE YOUR STRATEGY ON THE SAME DAY TO FIGHT THE MARKET. JUST REMEMBER THAT NONE OF THE STRATEGIES IS 100% CORRECT. IF YOU COULD NOT MAKE MONEY IN THE MARKET ON A DAY, JUST KEEP IN MIND THAT THE MARKET IS GOING TO OPEN AGAIN THE NEXT DAY.

           KEEP YOUR STOP-LOSS AND PROFIT TARGET FIXED. KEEP CONTROL OVER YOUR EGO, GREED, FEAR AND ANGER.

                                                                    👀👀👀

STATEMENT FOR YOUR LIFE

 

               HOW TO IMPROVE LIFE,  AND HEAL YOUR MIND AND BODY

                                                                                                             

  

 👀👀👀

               1. THINK GOOD, AND GOOD FOLLOWS. THINK EVIL, AND EVIL FOLLOWS. YOU ARE WHAT YOU THINK ALL DAY LONG.

               2. YOUR SUBCONSCIOUS MIND DOES NOT ARGUE WITH YOU. IT ACCEPTS WHAT YOUR CONSCIOUS MIND DECREES. IF YOU SAY, "I CAN'T AFFORT IT",IT MAY BE TRUE, BUT DO NOT SAY IT. SELECT A BETTER THOUGHT, DECREE, "I'LL BUY IT. I ACCEPT IT IN MY MIND".

               3. YOU HAVE THE POWER TO CHOOSE. CHOOSE HEALTH AND HAPPINESS. YOU CAN CHOOSE TO BE FRIENDLY, OR YOU CAN CHOOSE TO BE UNFRIENDLY. CHOOSE TO BE CO OPERATIVE, JOYOUS, FRIENDLY, LOVABLE, AND THE WHOLE WORLD WILL RESPOND. THIS IS THE BEST WAY TO DEVELOP A WONDERFUL PERSONALITY.

               4. YOUR CONSCIOUS MIND IS THE "WATCHMAN AT THE GATE", ITS CHIEF FUNCTION IS TO PROTECT YOUR SUBCONSCIOUS MIND FROM FALSE IMPRESSIONS. CHOOSE TO BELIEVE THAT SOMETHING GOOD CAN HAPPEN AND IT HAPPENING NOW. YOUR GREATEST POWER IS YOUR CAPACITY TO CHOOSE. CHOOSE HAPPINESS AND ABUNDANCE.

               5. THE SUGGESTIONS AND STATEMENTS OF OTHERS HAVE NO POWER TO HURT YOU. THE ONLY POWER IS THE MOVEMENTSOF YOUR OWN THOUGHT. YOU CAN CHOOSE TO REJECT THE THOUGHTS OR STATEMENTS OF OTHERS AND AFFIRM THE GOOD. YOU HAVE THE POWER TO CHOOSE HOW YOU WILL REACT.

              6. WATCH WHAT YOU SAY. YOU HAVE TO ACCOUNT FOR EVERY IDLE WORD.NEVER SAY, "I WILL FAIL" I WILL LOSE MY JOB, I CAN'T PAY THE RENT,. YOUR SUBCONSCIOUS CANNOT TAKE A JOKE. IT BRINGS ALL THESE THINGSTO PASS.

              7. YOUR MIND IS NOT EVIL. NO FORCE OF NATURE IS EVIL. IT DEPENDS HOW YOU USE THE POWERS OF NATURE. USE YOUR MIND TO BLESS, HEAL, AND INSPIRE ALL PEOPLE EVERYWHERE.

              8. NEVER SAY, "I CAN'T ". OVERCOME THAT FEAR BY SUBSTITUTING THE FOLLOWING, "I CAN DO ALL THINGS THROUGH THE POWER OF MY OWN SUBCONSCIOUS MIND".

              9. BEGIN TO THINK FROM THE STANDPOINT OF THE ETERNAL TRUTHS AND PRINCIPLES OF LIFE, AND NOT FROM THE STANDPOINT OF FEAR, IGNORANCE, AND SUPERSTITION. DO NOT LET OTHERS DO YOUR THINKING FOR YOU. CHOOSE YOUR OWN THOUGHTS AND MAKE YOUR OWN DECISIONS.

              10. YOU ARE THE CAPTAIN OF YOUR  SOUL (SUBCONSCIOUS MIND), AND THE MASTER OF YOUR FATE. REMEMBER, YOU HAVE THE CAPACITY TO CHOOSE. CHOOSE LIFE! CHOOSE LOVE! CHOOSE HEALTH! CHOOSE HAPPINESS!

                                                                           ❤❤❤

                                                                                ❤❤❤

             11. WHATEVER YOUR CONSCIOUS MIND ASSUMES AND BELIEVES TO BE TRUE, YOUR SUBCONSCIOUS MIND WILL ACCEPT AND BRING TO PASS. BELIEVE IN GOOOD FORTUNE, DIVINE GUIDANCE, RIGHT ACTION, AND ALL THE BLESSINGS OF LIFE. 

             12. RADIATE LOVE, PEACE, AND GOOD WILL TO EACH OTHER, THESE VIBRATIONS ARE PICKED UP BY THE SUBCONSCIOUS  MIND RESULTING IN MUTUAL TRUST, AFFECTION, AND RESPECT.

              13. A NAGGING WIFE IS USUALLY SEEKING ATTENTION AND APPRECIATION. SHE IS CRAVING FOR LOVE AND AFFECTION. PRAISE AND EXALT HER MANY GOOD POINTS. SHOW HER THAT YOU LOVE HER AND APPRECIATED HER.

              14. IN MARITAL PROBLEMS, ALWAYS SEEK EXPERT ADVICE. YOU WOULD NOT GO TO A CARPENTER TO PULL TO TOOTHPASTE, NEITHER SHOULD YOU DISCUSS YOUR MARRIAGE PROBLEMS WITH RELATIVES OR FRIENDS. YOU SHOULD GO TO A TRAINED PERSON FOR COUNSEL.

              15. NEVER TRY TO MAKE YOUR WIFE OR HUSBAND OVER. THESE ATTEMPTS ARE ALWAYS FOOLISH AND TEND TO DESTROY THE PRIDE AND SELF-ESTEEM OF THE OTHER. MOREOVER, IT AROUSES A SPIRIT OF RESENTMENT THAT PROVES FATAL TO THE MARRIAGE BOND. CEASE TRYING TO MAKE THE OTHER A SECOND EDITION OF YOURSELF.

              16. PRAY TOGETHER AND YOU WILL STAY TOGETHER. SCIENTIFIC PRAYER SOLVES ALL PROBLEMS. MENTALLY PICTURE YOUR WIFE AS SHE OUGHT TO BE, JOYOUS, HAPPY, HEALTHY, AND BEAUTIFUL. SEE YOUR HUSBAND, AS HE OUGHT TO BE, STRONG, POWERFUL, LOVING, HARMONIOUS, AND KIND. MAINTAIN THIS MENTAL PICTURE, AND YOU WILL EXPERIENCE AND PEACE.            

                               HOW TO HEAL YOUR MIND AND BODY

   

                   

               1. FIND OUT WHAT IT IS HEALS YOU. REALIZE THAT CORRECT DIRECTIONS GIVEN TO YOUR SUBCONSCIOUS MIND WILL HEAL YOUR MIND AND BODY.

               2. DEVELOP A DEFINITE PLAN FOR TURNING OVER YOUR REQUESTS OR DESIRES TO YOUR SUBCONSCIOUS MIND.

              3. IMAGINE THE END DESIRED AND FEEL ITS REALITY. FOLLOW IT THROUGH, AND YOU WILL GET DEFINITE RESULTS.

             4. DECIDE WHAT BELIEF IS. KNOW THAT BELIEF IS A THOUGHT IN YOUR MIND, AND WHAT YOU THINK YOU CREATE.

            5. IT IS FOOLISH TO BELIEVE IN SICKNESS AND SOMETHING TO HURT OR TO HARM YOU. BELIEVE IN PERFECT HEALTH, PROSPERITY, PEACE, WEALTH, AND DIVINE GUIDANCE.

           6. GREAT AND NOBLE THOUGHTS UPON WHICH YOU HAZBITUALLY DWELL BECOME GREAT ACTS.

          7. APPLY THE POWER OF PRAYER THERAPY IN YOUR LIFE. CHOOSE A CERTAIN PLAN, IDEA, OR MENTAL PICTURE. MENTALLY AND EMOTIONALLY UNITE WITH THAT IDEA, AND AS YOU REMAIN FAITHFULLY TO YOUR MENTAL ATTITUDE, YOUR PRAYER WILL BE ANSWERED.

         8. ALWAYS REMEMBER, IF YOU REALLY WANT THE POWER TO HEAL, YOU CAN HAVE IT THROUGH FAITH, WHICH MEANS KNOWLEDGE OF THE WORKING OF YOUR CONSCIOUS AND SUBCONSCIOUS MIND. FAITH COMES WITH UNDERSTANDING.

          9. BLIND FAITH MEANS THAT A PERSON MAY GET RESULT IN HEALING WITHOUT SCIENTIFIC UNDERSTANDING OF THE POWERS AND FORCES INVOLVED.

          10. LEARN TO PRAY FOR YOUR  LOVED ONES WHO MAY BE ILL. QUIET  YOUR MIND, AND YOUR THOUGHTS OF HEALTH, VITALITY, AND PERFECTION OPERATING THROUGH THE ONE UNIVERSAL SUBJECTIVE MIND WILL BE FELT AND RESERRECTED IN THE MIND OF YOUR LOVED ONE.

                     

                                                                      👀👀👀

THE TIME

 

                                                           PROFIT POINTS

             1. PATIENCE, KINDNESS, LOVE, GOOD WILL, JOY, HAPPINESS, WISDOM, AND UNDERSTANDING ARE QUALITIES, WHICH NEVER GROW OLD. CULTIVATE THEM AND EXPRESS THEM, AND REMAIN YOUNG IN MIND AND BODY.

            2. SOME RESEARCH PHYSICIANS SAY THAT THE NEOROTIC FEAR OF THE EFFECTS OF TIME MAY WELL BE THE CAUSE OF PREMATURE AGINING.

            3. AGE IS NOT THE FLIGHTOF YEARS, IT IS THE DAWN OF WISDOM IN THE MIND OF MAN.

           4. THE MOST PRODUCTIVE YEARS OF YOUR LIFE CAN BE FROM 65 TO 95.

           5. WELCOME THE ADVANCING YEARS, IT MEANS YOU ARE MOVING HIGHER ON THE PATHOF LIFE, WHICH HAS NOT END.

           6. GOD IS LIFE, AND THAT IS YOUR LIFE NOW. LIFE IS SELF RENEVING, ETERNAL, AND INDESTRUCTIBLE, AND IS THE REALITY OF ALL MEN. YOU WILL FOREVER, BECAUSE YOUR LIFE IS GOD'S LIFE.

            7. EVIDENCE OF SURVIVAL AFTER DEATH IS OVERWHELMING. STUDY PROCEEDINGS OF PSYCHICAL RESEARCH SOCIETY OF GREAT BRITAIN AND AMERICA IN YOUR LIBRARY. OUTSTANDING SCIENTISTS BASE THE WORK ON THE SCIENTIFIC RESEARCH FOR OVER 75 YEARS.

             8. YOU CANNOT SEE YOUR MIND, BUT YOU KNOW YOU HAVE A MIND. YOU CANNOT SEE SPIRIT, BUT YOU KNOW THAT THE SPIRIT OF THE GAME, THE SPIRIT OF THE ARTIST, THE SPIRIT OF THE MUSICIAN, AND THE SPIRIT OF GOODNESS, TRUTH, AND BEAUTY MOVING IN YOUR MIND AND HEART ARE REAL. YOU CANNOT SEE LIFE, BUT YOU KNOW YOU ARE ALIVE.

             9. OLD AGE MAY BE CALLED THE CONTEMPLATION OF THE TRUTHS OF GOD FROM THE HIGHEST STANDPOINT. THE JOYS OF OLD AGE ARE GREATER THAN THOSE OF YOUTH. YOUR MIND IS ENGAGED IN SPIRITUAL AND MENTAL ATHLETICS. NATURE SLOWS DOWN YOUR BODY SO THAT YOU MAY HAVE THE OPPORTUNITY TO MEDITATE ON THINGS DIVINE.

            10.WE DO NOT COUNT A MAN'S YEARS UNTIL HE HAS NOTHING ELSE TO COUNT. YOUR FAITH AND CONVICTION ARE NOT SUBJECT TO DECAY.

             11. YOU ARE A YOUNG AS YOU THINK YOU ARE. YOU ARE AS STRONG AS YOU THINK YOU ARE. YOU ARE AS USEFUL AS YOU THINK YOU ARE. YOU ARE AS YOUNG AS YOUR THOUGHTS.

             12. YOUR GRAY HAIR IS AN ASSET. YOU ARE NOT SELLING YOUR GRAY HAIRS. YOU ARE SELLING YOUR TALENT, ABILITIES, AND WISDOM, WHICH YOU HAVE GARNERED THROUGH THE YEARS.

            13. DIETS - AND EXERCISES WON'T KEEP YOU YOUNG. ASA MAN THINKETH, SO IS HE.

            14. FEAR OF OLD AGE CAN BRING ABOUT PHYSICAL AND MENTAL DE-TERIORATION. THE THING I GREATLY FEARED HAS COME UPON ME.

             15. YOU GROW OLD WHEN YOU CEASE TO DREAM, AND WHEN YOU LOSE INTEREST IN LIFE. YOU GROW OLD IF YOU ARE IRRETABLE, CROTCHETY, PETULANT, AND CANTANKEROUS. FILL YOUR MIND WITH THE TRUTHS OF GOD AND RADIATE THE SUNSHINE OF HIS LOVE-THIS IS YOUTH.

             16. LOOK AHEAD, FOR ALL TIMES YOU ARE GAZING INTO INFINITE LIFE. 

             17. YOUR RETIREMENT IS A NEW VENTURE. TAKE UP NEW STUDIES AND NEW INTERESTS. YOU CAN NOW DO THE THINGS YOU ALWAYS WANTED TO DO WHEN YOU WERE SO BUSY MAKING A LIVING, GIVE YOUR ATTENTION TO LIVING LIFE.

            18. BECOME A PRODUCER AND NOT A PRISONER OF SOCIETY, DON'T HIDE YOUR LIGHT UNDERA BUSHEL.

            19. THE SECRET OF YOUTH IS LOVE, JOY, INNER PEACE, AND LAUGHER. IN HIM THERE IS FULLNESS OF JOY. IN HIM THERER IS NO DARKNESS AT ALL.

            20. YOU ARE NEEDED. SOME OF THE GREAT PHILOSOPHERS, ARTISTS, SCIENTISTS, WRITTERS, AND OTHERS ACCOMPLISHED THEIR GREATEST WORK AFTER THEY WERE 80 YEARS OLD.

            21. THE FRUITS OF OLD AGE ARE LOVE, JOY, PEACE, PATIENCE, GENTLENESS, GOODNESS, FAITH, MEEKNESS, AND TEMPERANCE.

            22. YOU ARE A SON OF INFINITE LIFE, WHICH KNOWS NO END. YOU ARE A CHILD OF ETERNITY, YOU ARE WONDERFUL!.

                                                 THE FRUITS OF OLD AGE

               HIS FLESH SHALL BE FRESHER THN A CHILD'S, HE SHALL RETURN TO THE DAYS OF HIS YOUTH. OLD AGE REALLY MEANS THE CONTEMPLATION OF THE TRUTHS OF GOD FROM THE HIGHEST STANDPOINT. REALIZE THAT YOU ARE ON AN ENDLESS JOURNEY A SERIES OF IMPORTANT STEPS IN THE CEASELESS, TIRE-LESS, ENDLESS OCEAN OF LIFE. THEN, WITH THE PSALMIST YOU WILL SAY. THEY SHALL STILL BRING FORTH FRUIT IN OLD AGE, THEY SHALL BE FAT AND FLOURISHING.

           BUT THE FRUIT OF THE SPIRIT IS LOVE, JOY, PEACE, PATIENCE, GENTLENESS, GOODNESS, FAITH, MEEKNESS, TEMPERANCE, AGAINST SUCH THERE IS NO LAW.

           YOU ARE A SON OF INFINITE LIFE, WHICH KNOWS NO END, AND YOU ARE A CHILD OF ETERNITY.

                                                                          ❤❤❤

 

HOW TO PICK STOCKS FOR TRADING?

 

                                                    STOCKS FOR TRADING

            I WOULD GIVE PREFERENCE TO BTST (BUT TODAY, SELL TOMORROW) OVER INTRADAY AND TO SWING TRADE (WHEREA STOCK IS AVERAGED OUT EVERY WEEK UNTIL A RETURN BETWEEN 4.5% AND 0.5% OVER AVERAGE PRICE IS AVHIEVED) OVER BTST.

         I WOULD EVEN GO TO THE EXTENT OF GIVING YOU A NOBLE ADVICE AS YOUR ELDER BROTHER THAT YOU STICK TO SWING TRADE ONLY IN NIFTY/SENSEX STOCKS, AS THE SAME IS NOT ONLY SAFE BUT ALSO PROVIDES YOU THE MEANS TO TURN YOUR INVESTMENT OF $10,000 INTO $1.24 CRORES IN 30 YEARS EVEN IF YOU ARE ABLE TO GENERATE AVERAGE RETURN OF ONLY 2% EVERY MONTH. MUCH HAS BEEN DISCUSSED IN THIS REGARD IN PREVIOUS CHAPTERS.

           FOR SWING TRADE, YOU NEED TO PICK STOCKS FROM NIFTY 50- THIS HAS ALREADT BEEN EXPLAINED TO YOU. HOWEVER, YOU SHOULD PICK THE STOCKS THAT ARE TRADING NEAR (MAXIMUM 15% BELOW) THEIR 52-WEEK HIGHS, I.E, THE HIGHEST LEVEL DURING THE YEAR.

         WHY?

          BECAUSE STOCK MARKET RUNS ON THE INTINCTS OF GREED AND FEAR. HENCE, WHEN A STOCK KEEPS DECLINING AND ULTIMATELY REACHES THE LOWEST LEVEL OF THE YEAR, STOP-LOSS OF INVESTORS START GETTING TRIGGERED AND EVEN THOSE INVESTORS START SELLING THE STOCK, RESULTING IN FURTHER DECLINE.

             ANOTHER THEORY IS THAT STOCK MARKET KNOWS EVERYTHING, IN THIS AGE OF INFORMATION TECHNOLOGY, IF A COMPANY, IS EXCEPTING A DECLINE IN THEIR FORTHCOMING PERFORMANCE, THIS FACT GETS LEAKED THROUGH VARIOUS INTERNAL SOURCES AND FINDS ITS WAY THE NEWS COMES OUT IN THE OPEN. IN THE LANGUAGE OF STOCK MARKET, THIS IS CALLED "RUMOUR". YOU MAY CALL IT A RUMOUR, BUT EVEN SUCH RUMOURS ARE NOT WRONG IN 80% OF THE CAUSE, THE THOUGHT IT MAY TAKE A TIME OF SIX MONTHS TO A YEAR, THESE RUMOURS ARE PROVEN RIGHT QUITE OFTEN. HENCE, IF A STOCK COMES TO ITS 52-WEEK LOW WITHOUT ANY SPECIFIC REASON, IT IS GENERALLY OBSERVED THAT THE STOCK KEEPS ON DECLINING FURTHER AND MAKING NEW LOWS EVERY 10 TO 15 DAYS. EXACTLY THE SAME THING HAPPENS IN THE CASE OF A STOCK TRADING AT ITS HIGHEST LEVEL OR NEAR ITS 52-WEEKS HIGH. SUCH A STOCK KEEPS ON MAKING NEW HIGHS AT A FAST PACE. TRADING IN SUCH STOCKS PROVIDES YOU SEVERAL OPPORTUNITIES TO BOOK SMALL PROFITS (4.5% TO 0.5%) AT FREQUENT INTERVALS.

             THUS, THE FUNDA IS THAT SELECTING THOSE VERY 10-15 STOCKS OUT OF NIFTY/SENSEX STOCKS THAT ARE TRADING AT THEIR HIGHEST LEVELS OF THE YEAR OR TRADING WITHIN A RANGE OF 0% TO 15 % OF THEIR HIGHEST LEVELS MAY PROVIDE PROFITS AT A FASTER PACE.

          HERE, IT MAY ALSO BE RELEVANT TO MENTION THIS MAXIMUM OF THE STOCK MARKET - IF YOU BUY CHEAP STOCKS, YOU WOULD SEEL CHEAP, IF YOU BUY PREMIUM STOCKS, YOU WOULD SELL AT PREMIUM'.

         YOU MAY BE WONDERING, "WHILE TRADING NEAR HIGH, WHT IF I GET STUCK IN A HIGH POSITION? I MEAN, WHAT IF I HAVE TO FACE "MISFORTUNE IN THE VERY FIRST ADVENTURE" I.E, THE STOCK MAY BE AT ITS PEAK RIGHT AT THE TIME I BOUGHT THE SAME AND AFTER THAT, THE STOCK JUST KEEPS ON FALLING? THIS WILL BE ANSWERED IN SUBSEQENT TIPS.

                                      

                            WHY SHOULD YOU INVEST IN INDEX STOCKS?

   

            THERE IS A SAYING IN THE STOCK MARKET - IF YOU CAN'T BEAT THE INDEX, GO WITH THE INDEX.

           SUPPOSE, YOU STARTED INVESTING IN STOCK MARKET WHEN NIFTY WAS AT THE LEVEL OF 8,000. NIFTY IS AT 10,800 TODAY. THAT MEANS, NIFTY HAS GONE UP BY 30% DURING THE PERIOD OF YOUR INVESTMENT.

           IF YOU MADE A PROFIT OF OVER 30% DURING THE PERIOD OF YOUR INVESTMENT, YOU MAY BE TREATED AS A GOOD AND PROFICIENT INVESTOR (MOST OF THE SMALL INVESTORS, ON THE CONTRARY, LOSE VALUE OF THEIR PORTFOLIO BY 30%).

          THAT IS THE REASON THAT EVEN MUTUAL FUND MANAGERS TREAT SOME INDEX AS THEIR BENCHMARKS.

           ETFS HAVE BEEN DESIGNED ON THE SAME PRINCIPLE, FOR EXAMPLE, NIFTY BE ES OR NIFTY ETFS INVEST IN ALL THE STOCKS OF NIFTY INDEX IN THE PROPORTION SAME AS THEIR SHARE IN NIFTY. HENCE, THEIR MARKET PRICES HOVER AROUND 1/10 TH OR 1/100TH (AS PER THE PRICE DECIDED BY ETF FOR TIS UNITS) OF NIFTY AND SMALL INVESTORS MAY CONTINUE MOVING WITH INDEX BY INVESTING IN THEM THROUGH SYSTEMATIC INVESTMENT PLAN (SIP), JUST LIKE A MUTUAL FUND.

                             AVERAGING OUT IS NOT BAD EVERY TIME

            YOU HAVE READ IN TIP NO. 10 THAT YOU SHOULD NOT AVERAGE OUT A FALLING POSITION.

          THIS IS TRUE FOR AN INTRADAY POSITION, BUT AVERAGING OUT IS NOT BAD IN ALL SITUATIONS, FOR EXAMPLE, IN THE CASE OF A MUTUAL FUND, YOU USE SIP (SYSTEMATIC INVESTMENT PLAN) TO BUY UNITS FOR A SPECIFIC AMOUNT EVERY MONTH, THIS IS IN  WAY AVERAGING OUT THE UNITS ONLY.

          SIMILARLY, THE PROCESS OF SWING TRADE THAT HAS BEEN EXPLAINED IN PREVIOUS TIPS IN ALSO BASED ON A DISCIPLINED WAY OF AVERAGING OUT INDEX STOCKS FROM NIFTY, ETC, TO EARN RETURNS BETWEEN 4.5 % AND 0.5 % ON AVERAGE COSTS.

         THIS PROCESS IS SO EFFECTIVE THAT YOU WOULD BECOME ITS FAN ONCE YOU USE THE SAME, AS YOU BUY STOCKS ONCE IN A WEEK OR ONCE IN A MONTH FOR A DEFINITE AMOUNT AND YOU KEEP ON REVISING YOUR PROFIT TARGET DOWN WITH EVERY AVERAGE OUT ACTION, THIS ENSURES THAT YOU DO GET AN AVERAGE RETURN OF AROUND 2.5 % AND ALSO AND OPPORTUNITY TO EXIT SAFELY FOR EVERY POSITION. YOU HAVE TO JUST KEEP ACCUMULATING GOOD DIVIDEND-PAYING INDEX STOCKS BIT-BY-BIT AVERAGING OUT EVERY WEEK OR EVERY MONTH AT PREVIOUS DAY'S VWAP. THIS HAS BEEN EXPLAINED IN DETAIL IN PREVIOUS TIPS.

                                                                              👀👀👀