Pattern of mistakes (IM 697)

The path to success starts with knowing the weakness and mistakes and challenging them. The reflection of the mistakes is crucial to progress from it. I have been noticing that I have made a lot of mistakes. Here I have enlisted my painful mistakes that I’ve made in investment career till now. I wrote down…

Lesson from “The Millionaire Next Door” (IM 549)

Thomas J. Stanley, in his book ” The Millionaire Next Door: The Surprising Secrets of America’s Wealthy”, identifies and reveals the seven common traits that shows up again and again among those American who accumulate prodigious amount of wealth. Defining three terms Prodigious Accumulator of Wealth (PAW), Under Accumulator of Wealth (UAW) and Average Accumulator…

Perspective is everything (IM 393)

A wind extinguishes a candle but fans a fire. Whatever the impact is, the consequences is always good on the background even though there is negative impact directly. It is up to us how we view consequences. Everything depends on perspective. We can benefit a lot from this….

Every condition reverse itself (IM 322)

….. and tries to become normal. That’s the nature’s law… What goes down will rise and what rises will fall trying to come to normalcy. Same applies in investing as well: oversold stocks will rise and overbought stocks will fall trying to become neutral.  

Consider these before investing (IM#295)

Always be prepared for the worst possible scenario. Play/invest only with what you can afford to lose. Learn from every moves and make principles from it. Stick to your principles. Be patient and read the market and the patterns. Differentiate yourself from others. Be consistent and disciplined.

Weekly goal for trading (IM#281)

I decided to make a weekly goal for trading which goes as below: Select 2-3 stocks for the entire week and trade those by studying the patterns (Only quality stocks). Buy 1-2 options below $35 (target price) and sell those within 2-3 days. Don’t buy unfamiliar and unstudied options. Don’t keep options for more than…

Investing-101(IM#269)

These three things should be considered before investing in stocks or ETFs: a. Be consistent: Look for the quality stocks and be consistent with it. b. Have structure: Study the structure of the stocks and ETFs or where you ant to invest. Only focus on horizontal and upward pattern neglecting downward pattern. It’s important to…

The goal of investing is not to make more money (IM#256)

The goal of my investing right now is not to make more money but to learn and experience my every move. The important tool in investing is time and it is very necessary. I believe without learning how the market works, we won’t be successful in investing. This is the reason why I’m experimenting with…

Two lessons from investing (IM#244)

The most important lesson I learned from investing is that the market is the market is the market is the market. The price of the stocks rise and fall depending on the market. If we have the patience then we can make money, else we lose it and someone else is going to make it….

Power of compounding (IM#101)

In 1790, before Benjamin Franklin died, he left about $1000 to each cities of Boston and Philadelphia with a request of not to use it for 100 years. With 8% annual compound rate, after 200 years, in 1990, that money amounted to $6.5 millions. This is the power of compounding. Recently, I went through a…