Tuesday, September 20, 2011

Art of short selling

How to make money in falling markets?
9 out of 10 people don’t know how to short the markets.
Almost any investment technique will work well in a bull market – but they collapse when the markets turn treacherous… like they have recently.
The short selling strategy is one part "contrarian investing," one part "short-term profiteering," and one part "capitalizing on the biggest financial conspiracy since the breakup of Standard Oil nearly a century ago."

It is a radically different approach to investing… one that can earn big short-term profits using a simple technique.
Bottom Line: When you need to know which stocks are troubled and headed down, experts are mute. Like we said before, it's a silent conspiracy. And the people they're conspiring against are you and every other investor out there. Here's what they don't want you to know…
Short selling is a tool that can be valuable in a number of ways.
For instance, you may want to speculate that a stock is likely to decline. There could be any number of reasons. You may feel that its sales have topped out, that earnings will fall short of expectations, that the company has too much debt or too many successful competitors, that its industry is in a slump, or simply that the shares are overpriced. Short selling allows you to take advantage of these situations without resorting to using options or other derivatives.
While options can give you leverage that a short sale cannot, they have one very serious drawback: their time premium. That means when you buy a put option, unless the stock falls fairly substantially and within the relatively short time period defined by the premium, you may miss out on the profit if the stock falls after the expiration of your option.
But the past two years have been outlandishly profitable for investors who used the short selling technique.

 Warm Regards

Atul Sikrai
Sr Vice President & Head Equity
wiTdom investment advisory.

Sunday, September 4, 2011

Mother Of All Trade :

This is a true story of Mother’s Sacrifice during the China Earthquake.
After the Earthquake had subsided, when the rescuers reached the ruins of a young woman’s house, they saw her dead body through the cracks. But her pose was somehow strange that she knelt on her knees like a person was worshiping; her body was leaning forward, and her two hands were supporting by an object. The collapsed house had crashed her back and her head.

With so many difficulties, the leader of the rescuer team put his hand through a narrow gap on the wall to reach the woman’s body. He was hoping that this woman could be still alive. However, the cold and stiff body told him that she had passed away for sure.

He and the rest of the team left this house and were going to search the next collapsed building. For some reasons, the team leader was driven by a compelling force to go back to the ruin house of the dead woman. Again, he knelt down and used his had through the narrow cracks to search the little space under the dead body. Suddenly, he screamed with excitement,” A child! There is a child! “

The whole team worked together; carefully they removed the piles of ruined objects around the dead woman. There was a 3 month’s old little boy wrapped in a flowery blanket under his mother’s dead body. Obviously, the woman had made an ultimate sacrifice for saving her son. When her house was falling, she used her body to make a cover to protect her son. The little boy was still sleeping peacefully when the team leader picked him up.

The medical doctor came quickly to exam the little boy. After he opened the blanket, he saw a cell phone inside the blanket. There was a text message on the screen. It said,” If you can survive, you must remember that I love you.” This cell phone was passing around from one hand to another. Every body that read the message wept. ” If you can survive, you must remember that I love you.” Such is the mother’s love for her child!!

As Mark Of Respect To Our Mother
Pass this Story to all your Friends.

Warm Regards

Atul Sikrai

Vice President wiTdom investment advisory
Founder Brand Diagonal.