How the stock market works
This tells the working of a stock market. The stock market is a auction driven market place which in long term is based on finance fundamentals and in short term, it is a traders market. The criss-cross does not leave room for following one strategy, it requires you to take the best of both worlds. Analyse prices and volumes on an ongoing basis and keep an eye on quarterly results.
Our working is based on this criteria only:
- Pick stocks which are fundamentally strong
- Monitor them on an ongoing basis for momentum. Identify when the momentum on a particular stock is picking up. Build position at right time.
- Hold the position till the stock beats the market by a good margin.
- If the stock shows potential of being a multi-bagger, craft a strategy to make it work.