Trade Learner

[oilman5]

haricnair,
dots r u have to think .......reread.
emphasis on last phrase, words.........as many ideas which as per me stood test of time ,thats the idea behind.........

 

[oilman5]

learning of a discreationary trader '........read this article. things r clarified there

 

[oilman5]

and if not feeling bore , READ 'JOURNEY OF A TRADER'........there thought process r cleared

 

[Saint]

Good to have you back,my friend......do post every now and then when you do get the time.

All the best!
Saint

 

[oilman5]

thank u sir[saint],
some how i am playing game of survival to run a project....also i am learning fundamental now.
previously writen what i know, presently reading ur excellent thread.
regards as usual

 

[TFL]

haricnair,
dots r u have to think .......reread.
emphasis on last phrase, words.........as many ideas which as per me stood test of time ,thats the idea behind.........

Oilman5 sir,

Thank you for the explanation and I understand what you mean.
But my sincere suggestion is to limit it as it adds some difficulty reading your posts.
You may add two quotes "think" or some think like that if you need to emphasis those words or sentences.

If you are hurt from my suggestion please ignore this message. Hope you understand and consider for the fair of the readers.

Thank you again.
Hari

 

[oilman5]

no my dear,
i am above those hurting as i am old ,only sometimes i try to see trading views through old wine

 

[oilman5]

here i shall write now some rubbish and abc from basic.
..........................
since trading is a subject with greed,finance,invest and ofcourse maturity and adaptabilty.........i think a touch on finance /investment reqd.
...........................
in xii level........a/c , company , business r introduced also economics
so understand first.........debit/credit.
then ledger entry.......bank reconcilation statement
..........................
now learn balance sheet/profit & loss statement/cash flow. depreciation concept.
rule: asset=liability + owner's equity
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go to the cost concept,how estimate r determined ,product price and value.
..........................
understand some people r ahead of others........search for oppurtunity
some can identify & risk analyst by nature.
......others r gullible, simply bombard by media.....and believe to follow.they r the source of food for all.concept of marketing story..........a brahmin, a goat[ which he believes a dog due to self doubt,........ploy used by 3 thugs],an excellent teaching of panchatantra........u see in day to day life, media hype........understand how news flow

 

[oilman5]

so see how companyowner/ceo sees.basic idea of corporate finance.
budget concept .....forecasting.catch is assumption and actual performance checking
so when u understand this basic , look at macro economy.......govt has some agenda....what is it trying to implement.......so which sector /company may get back up.
economic cycle concept......boom-recession, affect of interest rate on modern economy and rbi policy r must to know.........to develop know why attitude.
otherwise comeback to saint's flow with flow.
......................................................
can u look little bit to understand theory of compounding.....to understand discounting/future cash flow?so now u know dcf model and p/e idea , just study basic risk /reward analysis.combine all3, u have fair idea what should be the value of stock.
only 2 thing further. what is lying in future? perception of people.......read newspaper and price reflection.......u can now find sufficient oppurtunity
.........................................................
this concept is useful in stock, however in commodity,forex, bond, derivative spl strategy with ta better alternative.

 

[oilman5]

some more rubbish
.........................
business: its an organized effort of individuals to produce and sell goods &services for profit.
...................
so organised effort must be there.
type A: produce product and then sell . make profit out of it.
type B: provide service , get profit.......service industry.
...................
service & goods MUST SATISFY customers.so needs and wants of customer r key determinant.so understand this .....who r ur potential customer and what may be needs.
.....................
let us try to understand production...............
5factor
.............
1. land
2.labour
3. capital
4. info
5. enterpreneur : risk taker who start business, for a dream of profit.its his vision and practical application and ability to mould as per demand of position
...........................................
so now come resource............always consider its restricted or limited.understand......for any product production distribution and consumption.simple idea on wheat.......can help u to learn commodity concept /economics
Big picture comes from macro economics.business is applied economics......so understand scarcity and oppurtunity cost.
skilled labour ,capital normally scarce.
OPPURTUNITY COST : is next
best alternative use of resources. say i am studying mba full time at 30 yr with 4lac /annum ......so tuition fee 2lac + 6lac , oppurtunity cost as 1.5 yr study time 1.5x4lac=6lac to be considered for cost of education.
..............in business decision making tree , oppurtunity cost is very vital
...........................
back to basic: what to be produced and for whom?
what resources .......how to arrange
.........................so market economy [capitalism]and mixed economy
classic case in indian oil marketing company,bpcl]r used in india
..........................
economic force : supply demand and equlibrium.........how price vary and percept of value is key theme.
for a company monopoly ,oligopoly[ a small number of big company controls ]r good for profit.
competition is ........company hates
............................
however due to free enterprise others r like to join.
growth of trade is policy a company. so any country's policy, present political boss , govt regulation .......+global concept is guideline
.........................
so for country's economic cycle ..........gdp, measuring growth,employment , inflation, balance of trade.....r key indicator
.....................
with regards