Do you play the stock market

normally_crazy · 17th December 2007, 12:18

No the money is deposited back in your account or a cheque is sent to you by the company.

Suppose you apply with 10000 rs and you are allotted shares worth 2000 rs - the 8000 rs will be sent back via cheque /ecs whichever you have chosen.

merve_extreme · 17th December 2007, 12:22

Quote:

Originally Posted by DCEite

So does it mean you loose your money if shares are not alloted to you?

No,you get the money back if you are not allocated the shares.If you apply for 1000 and get only 100 then the rest of the money for the 900 shares is returned.The problem is that your money gets locked with the issuer and you are not sure wether you will get the shares or how many if you do.

DCEite · 17th December 2007, 15:09

Could someone explain the meaning of terms in bold (taken from hindu online):

We recommend a buy in Cipla. From the weekly chart of Cipla, we note that it was on a long-term downtrend since its all-time high of Rs 304, made in April 2006. However, the stock found support at Rs 165 in late August 2007 (which coincides with the 200-week moving average line) and with this the long-term downtrend got arrested. Since then the stock has been on an up move. We note that the stock has moved above the 200-day moving average line and a key resistance of Rs 200 recently on good volumes. The daily momentum indicator is featuring in the bullish zone and the weekly momentum indicator is on the verge of entering this zone. The immediate support for the stock is at Rs 180 and the next support is pegged at Rs 165. Taking cues from the above mentioned factors, we direct the investors to buy the stock at current market price. We expect the stock to move up to Rs 240 in the short-term. The short-term traders can buy the stock with a stop loss at Rs 190.

lambuhere1 · 17th December 2007, 15:15

Quote:

Originally Posted by DCEite

Could someone explain the meaning of terms in bold (taken from hindu online):

We recommend a buy in Cipla. From the weekly chart of Cipla, we note that it was on a long-term downtrend since its all-time high of Rs 304, made in April 2006. However, the stock found support at Rs 165 in late August 2007 (which coincides with the 200-week moving average line) and with this the long-term downtrend got arrested. Since then the stock has been on an up move. We note that the stock has moved above the 200-day moving average line and a key resistance of Rs 200 recently on good volumes. The daily momentum indicator is featuring in the bullish zone and the weekly momentum indicator is on the verge of entering this zone. The immediate support for the stock is at Rs 180 and the next support is pegged at Rs 165. Taking cues from the above mentioned factors, we direct the investors to buy the stock at current market price. We expect the stock to move up to Rs 240 in the short-term. The short-term traders can buy the stock with a stop loss at Rs 190.

Resistance if broken, stock will go up. Hence the target was given as 240.

Support: Stock will not fall below that: Rs 180, If it does, next support price for stock is 165.

Stop Loss: Exit the stock with mimimal loss if the price falls below resistance level again. In this case if the stock is falling, exit it at 190.

Hope it clears ur doubts.

Charting always helps you to get these data. You can learn it yourself.

DCEite · 17th December 2007, 21:22

Thanks a lot fro the info, Lambuhere
@To all
Are there any online resources to learn basics of buying and selling stocks?

horsepower · 18th December 2007, 13:23

DCEite, open up the websites of Kotak Securities and Reliance money, there is lot of information for first time investors.

amu1983 · 26th December 2007, 18:05

Have been tracking and playing the markets actively since 2004. Made some gains, burnt fingers plenty of times too. And then, I've reached the final, boring conclusion which most of us do not like to hear. But it's an inconvenient truth - Let the pros handle your money. After all, those IIM grads must be getting paid as highly as they do, for some reason, right? Invest in a mutual fund and forget about it. Treat it like an FD (Fixed Deposit), and redeem it only after 3-4 years or when you need the money.

You may hear a lot of 'success' stories of people having bought a stock at 2 Rs. which now trades at thousands. But, believe me, it's very very hard to have that kind of luck, patience and discipline. When you see your stock even at 2-3 times your price, the temptation to sell is unavoidable. If you try hard and resist it, and if the price drops by 20-30% you kick yourself for not selling before and click the Sell button. On the other hand, if it keeps going up, your temptation to take away the profits gets bigger and bigger and at a point it just snaps...

In any case, few months later you find the same stock at 4-5 times your initial price. 'Better late than never', you say to yourself and buy it again with a 'long term' view. Market crashes over some crappy P-Notes or subprime issue (which has nothing to do with your company)... your stock tumbles with it. The 'experts' on the TV start predicting the beginning of a 'bearish' phase and economic downturn and what not. And.. you are tempted to book losses.. once again.

spadival · 26th December 2007, 18:13

Quote:

Originally Posted by amu1983

You may hear a lot of 'success' stories of people having bought a stock at 2 Rs. which now trades at thousands.

Problem with these Rs 2 stocks stories is that you cant buy them in huge quantities.. either because they are too risky or your buying or selling itself will influence the stock price. The end result is - In absolute terms, a guy buying Largecap or midcap stocks makes the same amount of profit as the guy who buys pennycap stocks, while not taking the same amount of risk !!

PS: My current fav is Mundra port - Stock appreciated by 30% since I bought it (Not thru the IPO)

harjeev · 27th December 2007, 11:55

my approach from the past 4 years has been to keep buying in small quantities every month really good fundamentally strong scrips and stay invested into them no matter whether the market comes down or goes up.

I always try to keep looking for buying opportunities when there is a crash. Like I read in some book and this has always appealed to me

When the neighborhood supermarket puts up a sale all of us rush to the supermarket to buy stuff and fill our houses. On the contrary when there is a sale in the stock market (in times of crash) all the investors (i'll prefer to call them traders) run away from the market like there is no tomorrow and dump all their stocks.

Another thing that I never do is to leverage. In other words I never invest on borrowed money. Investment should always be done with excess capital.
As whenever there will be a crash it would make the investor panic and would prompt the investor to sell and realize whatever is left of the capital.

Third I consider investment as becoming a part of a business. To operate a business one has to understand the business. I have to understand the business first before I put any money into it. If I dont understand I dont invest. This the the most important rule.

I have not sold a single fundamentally good scrip in that past 4 years and the benefit is that I have stocks like RIL @ 400, TataMotors @ 100, Tatasteel @ 370. (this is the price that I invested at. Not the quantity) The list goes on and on...

vkochar · 27th December 2007, 13:16

Yes I play the Market

Just bought Dish TV - Looks very Nice.

BUSA · 14th January 2008, 23:36

Guys, the market has gone quite down in the recent days? What could be the reason? I think IPOs are coming hence.

Surprise · 15th January 2008, 07:42

I have been never into this. Based on friends advice, had opened a demat account to purchase Reliance Power IPO.

DirtyDan · 15th January 2008, 08:06

I used to play the stock mrket. Now every quarter I take a couple handfuls of 500s into my back yard and set them on fire. I find this more profitable.

khanak · 15th January 2008, 08:26

Anyone investing in the Reliance Power IPO?

horsepower · 15th January 2008, 09:08

I guess whole India Is Investing in Reliance Power IPO. Reliance Money and ICICI bank are offering free demat a/c's to all those who want to apply.

View Poll Results: Stocks as a percentage of my net assets are -
0 - 25% -- I'm like the most conservative Indians. I love FDs.	410	31.78%
26 - 50% -- I have a few stocks.	575	44.57%
51 - 75% -- I'm an active trader.	212	16.43%
76 - 100% -- Hey, I'm an i-banker!!!	93	7.21%
Voters: 1290. You may not vote on this poll

17th December 2007, 12:18	#91
normally_crazy Senior - BHPian Join Date: Feb 2004 Location: Mumbai Posts: 4,369 Thanked: 539 Times View My Garage	No the money is deposited back in your account or a cheque is sent to you by the company. Suppose you apply with 10000 rs and you are allotted shares worth 2000 rs - the 8000 rs will be sent back via cheque /ecs whichever you have chosen.
	() Thanks

17th December 2007, 15:09	#93
DCEite Senior - BHPian Join Date: Sep 2004 Location: NCR Posts: 3,560 Thanked: 3,326 Times	Could someone explain the meaning of terms in bold (taken from hindu online): We recommend a buy in Cipla. From the weekly chart of Cipla, we note that it was on a long-term downtrend since its all-time high of Rs 304, made in April 2006. However, the stock found support at Rs 165 in late August 2007 (which coincides with the 200-week moving average line) and with this the long-term downtrend got arrested. Since then the stock has been on an up move. We note that the stock has moved above the 200-day moving average line and a key resistance of Rs 200 recently on good volumes. The daily momentum indicator is featuring in the bullish zone and the weekly momentum indicator is on the verge of entering this zone. The immediate support for the stock is at Rs 180 and the next support is pegged at Rs 165. Taking cues from the above mentioned factors, we direct the investors to buy the stock at current market price. We expect the stock to move up to Rs 240 in the short-term. The short-term traders can buy the stock with a stop loss at Rs 190.
	() Thanks

17th December 2007, 21:22	#95
DCEite Senior - BHPian Join Date: Sep 2004 Location: NCR Posts: 3,560 Thanked: 3,326 Times	Thanks a lot fro the info, Lambuhere @To all Are there any online resources to learn basics of buying and selling stocks?
	() Thanks

18th December 2007, 13:23	#96
horsepower BHPian Join Date: Sep 2005 Location: Gurgaon Posts: 281 Thanked: Once View My Garage	DCEite, open up the websites of Kotak Securities and Reliance money, there is lot of information for first time investors.
	() Thanks

26th December 2007, 18:05	#97
amu1983 BHPian Join Date: Feb 2007 Location: Pune Posts: 144 Thanked: 0 Times	Have been tracking and playing the markets actively since 2004. Made some gains, burnt fingers plenty of times too. And then, I've reached the final, boring conclusion which most of us do not like to hear. But it's an inconvenient truth - Let the pros handle your money. After all, those IIM grads must be getting paid as highly as they do, for some reason, right? Invest in a mutual fund and forget about it. Treat it like an FD (Fixed Deposit), and redeem it only after 3-4 years or when you need the money. You may hear a lot of 'success' stories of people having bought a stock at 2 Rs. which now trades at thousands. But, believe me, it's very very hard to have that kind of luck, patience and discipline. When you see your stock even at 2-3 times your price, the temptation to sell is unavoidable. If you try hard and resist it, and if the price drops by 20-30% you kick yourself for not selling before and click the Sell button. On the other hand, if it keeps going up, your temptation to take away the profits gets bigger and bigger and at a point it just snaps... In any case, few months later you find the same stock at 4-5 times your initial price. 'Better late than never', you say to yourself and buy it again with a 'long term' view. Market crashes over some crappy P-Notes or subprime issue (which has nothing to do with your company)... your stock tumbles with it. The 'experts' on the TV start predicting the beginning of a 'bearish' phase and economic downturn and what not. And.. you are tempted to book losses.. once again. Last edited by amu1983 : 26th December 2007 at 18:11.
	() Thanks

27th December 2007, 11:55	#99
harjeev Senior - BHPian Join Date: May 2006 Location: New Delhi Posts: 1,901 Thanked: 296 Times View My Garage	my approach from the past 4 years has been to keep buying in small quantities every month really good fundamentally strong scrips and stay invested into them no matter whether the market comes down or goes up. I always try to keep looking for buying opportunities when there is a crash. Like I read in some book and this has always appealed to me When the neighborhood supermarket puts up a sale all of us rush to the supermarket to buy stuff and fill our houses. On the contrary when there is a sale in the stock market (in times of crash) all the investors (i'll prefer to call them traders) run away from the market like there is no tomorrow and dump all their stocks. Another thing that I never do is to leverage. In other words I never invest on borrowed money. Investment should always be done with excess capital. As whenever there will be a crash it would make the investor panic and would prompt the investor to sell and realize whatever is left of the capital. Third I consider investment as becoming a part of a business. To operate a business one has to understand the business. I have to understand the business first before I put any money into it. If I dont understand I dont invest. This the the most important rule. I have not sold a single fundamentally good scrip in that past 4 years and the benefit is that I have stocks like RIL @ 400, TataMotors @ 100, Tatasteel @ 370. (this is the price that I invested at. Not the quantity) The list goes on and on...
	() Thanks

27th December 2007, 13:16	#100
vkochar Senior - BHPian Join Date: Aug 2006 Location: Delhi / Agra / London Posts: 2,155 Thanked: 889 Times View My Garage	Yes I play the Market Just bought Dish TV - Looks very Nice.
	() Thanks

14th January 2008, 23:36	#101
BUSA Senior - BHPian Join Date: Aug 2005 Location: Bombay Posts: 5,130 Thanked: 23 Times View My Garage	Guys, the market has gone quite down in the recent days? What could be the reason? I think IPOs are coming hence.
	() Thanks

15th January 2008, 07:42	#102
Surprise Senior - BHPian Join Date: Feb 2005 Location: Chennai Posts: 2,530 Thanked: 461 Times	I have been never into this. Based on friends advice, had opened a demat account to purchase Reliance Power IPO.
	() Thanks

15th January 2008, 08:06	#103
DirtyDan Senior - BHPian Join Date: Jul 2007 Location: Dharamsala, H.P Posts: 2,101 Thanked: 1,645 Times	New option in investment. I used to play the stock mrket. Now every quarter I take a couple handfuls of 500s into my back yard and set them on fire. I find this more profitable.
	() Thanks

15th January 2008, 08:26	#104
khanak Senior - BHPian Join Date: Mar 2005 Location: Mumbai/Toronto Posts: 2,810 Thanked: 298 Times View My Garage	Anyone investing in the Reliance Power IPO?
	() Thanks

15th January 2008, 09:08	#105
horsepower BHPian Join Date: Sep 2005 Location: Gurgaon Posts: 281 Thanked: Once View My Garage	I guess whole India Is Investing in Reliance Power IPO. Reliance Money and ICICI bank are offering free demat a/c's to all those who want to apply.
	() Thanks