HOW AND WHEN TO INVEST IN INDIA?
From my 25 years experiences in the stock market, I am sharing the following tips to invest in India:
- Invest in IPOs, if it is rightly priced. Since it is much more safer than secondary market.
- Invest in a share, if it is available in the market at a discounted value, after listing.
- You must study the stock market at least 10 hrs. per day, if you are a new investor.
- Never depend upon a stock expert or advisor, because most of the time they are advising to buy a stock when it is increasing. In reality, it should be the opposite.
- Always follow Mr. Warren Buffet, “Buy a stock when everybody is selling”.
- Buy a good share during the time period of March – May and sell it in Nov. – Jan. every year.
- Whatever may be the reason, if a good stock is available at market at a discounted price, buy it.
- Find out the best performing sectors in the upcoming days.
- Follow OI (open interest) in option chain very carefully and find out the bid of prices the max. investors.
- The delivery % is a very imp. matter. If it is higher, it is positive for the stock.
- Try to find out the reasons of uptrend or downtrend of a stock.
- Study the best websites for investment like moneycontrol.com, economictimes.com, investingindia.com, trendlyne.com etc. and different blogs for investment.
- Instead of making a SIP in mutual fund, make a DIYSIP (Do it yourself SIP) by yourself. Act just like a MUTUAL FUND MANAGER.
- Invest at the end of each month (generally from 25th-28th) , since at that time the NIFTY is at its lowest level due to F&O (Future & Option) Expiry.
- Make a detailed FUNDAMENTAL & TECHNICAL ANALYSIS of a stock.