LONE WOLF's Investment Diary

Hello All,

This is the start of my investment Journey and my investment diary. Since last 1.5 year or so, I have been a full time trader and have never done any investment. But realizing the power of quality investment over time, I decided to start out my own portfolio. I had to make a choice between SIP fund vs Direct Equity Investment. In SIP fund, I can make better use of market diversification and less prone to market volatility and crash. plus timing the investment is not important. But I decided to go with direct Equity route with the following plans

1. Since I am a full time trader and has time to track the price/fluctuations of price etc, I want to make best use of it for studying about quality investments and time the investment.

2. Every month I will fuel the investment account by the same fund which I would have given to SIP fund.

3. Over time I will include more sectors and stocks to portfolio to make it a diversified one.

4. I am starting out with a very small amount at start, and every month I will keep adding money to this account.

5. Not to keep all the eggs in one basket, I will divide my portfolio in to 5 equal parts, each parts will be allocated for a separate sectors. I am planning to track and invest only 5 sectors in beginning. (Not to crowd my portfolio or my investment)

6. I am a big ZERO in investment and fundamental analysis. So I will use technical analysis primarily for investment decision. Will buy the weekly uptrend/Break out with in the monthly market structure.

7. I will use the stocks whose market capitalization is above 1000 Cr.

8. I will scan the selected sectors and the filtered stocks every weekend to check for the potential technical upside.

Any suggestions are welcome from all who are investing and has experience. Any kind of participation from new investors along with the Ace ones are always welcome.

The sectors that I have in mind are as such -

1. TYRES
2. BANKING (Private + PSU)
3. Finance (General + Housing + lending + investment + Institutions)
4. Auto (Automobiles, 2/3 wheelers, Cars + Auto Ancillaries)
5. Construction vs Metal & Steel Sectors

Please suggest if one should focus on any particular better sectors and industry in the beginning stage.

Sector rotation depends on the market cycle.

Wish you Good Luck to see your Investment grows!!!:thumb:

Where is pharma in this cycle ?

In the 1st 2 diagram, they are Drug, and Health care respectively.

Any stocks that you have decided.

No Vagar, Initially I was thinking of doing investment only based on technical analysis on a larger timeframe like MOnthly and Weekly. But later from discussion and from Smart_Trade's post I came to know how important fundamental study is when we are talking about valued investment. So has kept this investment to back seat for the time being now., Will start studying about Motilal OSwal's wealth creation study for last few years and will gein knowledge on Fundamental analysis.. Technical analysis can be used to time the entry once we fine a fundamentally strong stock.. So I need a combination of both..

Will start updating this thread with my notes/learning on Fundamental aspects once I start learning about it..

This is the one and only one stock that I was tracking around FEB end, prior to making a decision of investment solely on technical ground. I do not know how sound this stock is on fundamental ground. So I did not take a chance with any of my money on this stock.. I still track it today on a weekly basis. LOL

But now I need to learn on fundamental studies and use the technical aspect to time the entry/exits etc.

Take a look at these.
Atul Auto
Amara Raja
Supreme
Havells
DCB Bank
Kajaria Ceramics
Vadilal
Bata
Cholaman.Inv.&Fn
Shriram Trans.
Ajanta Pharma