Equity Investing

why one should invest in equity.

The market was very volatile (as usual) in the recent times.

During 2009 Sensex was at a high of 15600 in June and at a low of  8047 in March.

If you buy and hold at every low you would have gained in an average 20% to 30%.

If you feel the return of 20 % to 30 % in  share market is very less, then you dint understand market and it is not the place for you. you have to start some other business.

You buy regularly at every low and hold it for a long term. ( long term differs from person to person). For someone who earned or lost huge in share market one month is long term.

Normally you hold it for min 3 years, accumulate at every opportunity. if the price of your holding rises more than 70% sell it off. Sit on cash. wait for the opportunity.

It happened between March’09 to June’09. Unimaginable return. Axis Bank, ICICI Bank and Reliance Capital gave more than 150% return.

it is very occasional. at times you may loose also but never sell at a loss. wait for the opportunity to buy. every fall is an opportunity.

So invest in equity, treat it as a business, devote time for this every day.

Happy Trading

to be continued