Copying a Legend-Rakesh Jhunjhunwala

[mehtaka]

Talk about RK Damani .... check this out he agrsseively bought 20% share in
cigarette company VST industries at Rs151/- ten years later the price was Rs1350/- !!

Also an investment of just Rs63 crores netted him a dividend onlt of Rs71 crore in this same period so basically 60 crore netted him dividends of rs71 crore so his investment was recovered just be dividneds and the capital appreciation was Rs520 crore.

So basically Rs60 crore turned into Rs 590 crore in 10 years in 2011

today feb 2013 the price is Rs1799/- so basically he's made in excess of Rs750 crore just from an investment of Rs60 crore

Lesson: Throw out Macd and ma crossover 50% fib ob/os levels and learn value investing there is not one person in india who is a technical trader who as rich as Damani, there is not one person in the world who is a
technical trader who is a s rich as WB.

Hello,
When Damani or WB entered the mkts, the financial mkts were developing. They entered a developing mkts. That time the stratergy based on technicals were not much famous. Only fundemetal and speculation worked. After the Satyam Scam, no one is much belief with the fundemetal news. The no.2 software company got burst.
R.J,... R,D..des people had entered the mkts when sensex was just 150 points...today its hovering arnd 20000. One cannot work on the same stratergy which worked 10 years back.
People have to keep on upgrading their stratergy on time to time. I am sure, R.J wont invest in a company for 10-15 years view which he used to do 15 yrs back.

 

[MANISH_DAMANI]

Hello,
When Damani or WB entered the mkts, the financial mkts were developing. They entered a developing mkts. That time the stratergy based on technicals were not much famous. Only fundemetal and speculation worked. After the Satyam Scam, no one is much belief with the fundemetal news. The no.2 software company got burst.
R.J,... R,D..des people had entered the mkts when sensex was just 150 points...today its hovering arnd 20000. One cannot work on the same stratergy which worked 10 years back.
People have to keep on upgrading their stratergy on time to time. I am sure, R.J wont invest in a company for 10-15 years view which he used to do 15 yrs back.

You are absolutely right and now they had people working for them. Even RJ also admits in some of his interview even he follow technicals for trading and without trading no body can make big money.Big investor never disclose their entry time its time when their quota finished then market come to knew the truth.There is cartel working in stock market :thumb:

 

[aryabhatta]

Hello,
When Damani or WB entered the mkts, the financial mkts were developing. They entered a developing mkts. That time the stratergy based on technicals were not much famous. Only fundemetal and speculation worked. After the Satyam Scam, no one is much belief with the fundemetal news. The no.2 software company got burst.
R.J,... R,D..des people had entered the mkts when sensex was just 150 points...today its hovering arnd 20000. One cannot work on the same stratergy which worked 10 years back.
People have to keep on upgrading their stratergy on time to time. I am sure, R.J wont invest in a company for 10-15 years view which he used to do 15 yrs back.

yes this is very true, but there were also people who entered when RJ & RKD did at 150 on the sensex and lost everything and are not even around today

one thing is for sure there are certain "trade secrets' they never disclose to the public, they say its a combination of common sense, hard work , et etc and this is not entirely true.

To give an eg RKD found a way and he taught it to RJ step by step and RJ was a great success .... Larry Williams won the robins trading championship in I think 1987, ten years later he taught his daughter Michelle Williams exactly what to do step by step and she was also a great success and won the same championship although she was just a teenager with no prior trading experience whereas other seasoned traders like Ryan Jones were trying for years and could'nt even get in the top 5, Richard Dennis as many know decided to mentor a small group of novices which he called his turtles although 23 were chosen from over a 1000 applicants these 23 knew nothing about trading (I think only one of them did) he taught them exactly what to do and how to do it and they made 200 million dollars in two years. I read 3 books on the turtles and Richard Dennis made all the turtles sign a non-disclosure agreement with a heavy penalty and possible prosecution if the disclosed the strategy for a period of 10 years. I can give so many more examples Ed Seykota showed Michael Marcus exactly what to do , list goes on and on

Point I'm making is there are certain methods which really work which are not disclosed but are kept closely guarded by those who know. Traders who come on forums and say "most strategies are profitable, its the trader who is at fault beacuase all you need is hard work, discipline, good money management etc .... " are in my opinion not even profitable traders because this is not true they just come to seek some attention and adulation from novices and this makes them feel important.

Bottom line is you do need good mm, discipline, emotional control etc ... but most important thing is you need a profitable strategy. Even Jack Schwager says this in his book to paraphrase "there are many ways to make profits in the market but they are all very hard to find"

Victor Neiderhoffer says the same thing in his book to paraphrase "it is inconceiveable that someone would disclose a get rich scheme for the price of a book"

I personally know this and can give you the following proof. In forex for the MT4 platfrom we have mql wherein one can write an EA, an Ea ia a fully automated trading program where in you can program exact entry rules, exit rules including all types of profit taking like trailing stop partial profits etc, you can program in the position sizing, money management and the EA will trade with perfectly discipline no human on earth can match the discipline an EA will trade with because it has no emotion. If all you needed was something like an Ma cross with RSi or stochs etc, no Ea would fail but fact is 99.9% of them lose money over the long run this clearly shows discipline and money management are not the answer although they are critical you still need a proven profitable strategy.

Those who know like RJ, RKD wont talk and those who dont know like the clowns on CNBC and some on traderji forum will talk and talk and talk,

 

[The Piedpiper.]

yes this is very true, but there were also people who entered when RJ & RKD did at 150 on the sensex and lost everything and are not even around today

one thing is for sure there are certain "trade secrets' they never disclose to the public, they say its a combination of common sense, hard work , et etc and this is not entirely true.

To give an eg RKD found a way and he taught it to RJ step by step and RJ was a great success .... Larry Williams won the robins trading championship in I think 1987, ten years later he taught his daughter Michelle Williams exactly what to do step by step and she was also a great success and won the same championship whereas others like Ryan Jones were trying for years and could'nt even get in the top 5, Richard Dennis as many know decided to mentor a small group of novices which he called his turtles although 23 were chosen from over a 1000 applicants these 23 knew nothing about trading (I think only one of them did) he taught them exactly what to do and how to do it and they made 200 million dollars in two years. I read 3 books on the turtles and Richard Dennis made all the turtles sign a non-disclosure agreement with a heavy penalty and possible prosecution if the disclosed the strategy for a period of 10 years. I can give so many more examples Ed Seykota showed Michael Marcus exactly what to do.

Point I'm making is there are certain methods which really work which are not disclosed but are kept closely guarded by those who know. Traders who come on forums and say all you need is hard work, discipline, good money management etc .... are in my opinion not even profitable traders because this is not true they just come to seek some attention and adulation from novices and this makes them feel important.

Bottom line is you do need good mm, discipline, emotional control etc ... but most important thing is you need a profitable strategy. Even Jack Schwager says this in his book to paraphrase "there are many ways to make profits in the market but they are all very hard to find"

Victor Neiderhoffer says the same thing in his book to paraphrase "it is inconceiveable that someone would disclose a get rich scheme for the price of a book"

I personally know this and can give you the following proof. In forex for the MT4 platfrom we have mql wherein one can write an EA, an Ea ia a fully automated trading program where in you can program exact entry rules, exit rules including all types of profit taking like trailing stop partial profits etc, you can program in the position sizing, money management and the EA will trade with perfectly discipline no human on earth can match the discipline and EA will trade with because it has no emotion. If all you needed was something like an Ma cross with RSi or stochs etc, no Ea would fail but fact is 99.9% of them lose money over the long run this clearly shows discipline and money management are not the answer although they are critical you still need a proven profitable strategy.

Those who know like RJ, RKD wont talk and those who dont know like the clowns on CNBC and some on traderji forum will talk and talk and talk,

well said, very true.

 

[MANISH_DAMANI]

yes this is very true, but there were also people who entered when RJ & RKD did at 150 on the sensex and lost everything and are not even around today

one thing is for sure there are certain "trade secrets' they never disclose to the public, they say its a combination of common sense, hard work , et etc and this is not entirely true.

To give an eg RKD found a way and he taught it to RJ step by step and RJ was a great success .... Larry Williams won the robins trading championship in I think 1987, ten years later he taught his daughter Michelle Williams exactly what to do step by step and she was also a great success and won the same championship although she was just a teenager with no prior trading experience whereas other seasoned traders like Ryan Jones were trying for years and could'nt even get in the top 5, Richard Dennis as many know decided to mentor a small group of novices which he called his turtles although 23 were chosen from over a 1000 applicants these 23 knew nothing about trading (I think only one of them did) he taught them exactly what to do and how to do it and they made 200 million dollars in two years. I read 3 books on the turtles and Richard Dennis made all the turtles sign a non-disclosure agreement with a heavy penalty and possible prosecution if the disclosed the strategy for a period of 10 years. I can give so many more examples Ed Seykota showed Michael Marcus exactly what to do , list goes on and on

Point I'm making is there are certain methods which really work which are not disclosed but are kept closely guarded by those who know. Traders who come on forums and say "most strategies are profitable, its the trader who is at fault beacuase all you need is hard work, discipline, good money management etc .... " are in my opinion not even profitable traders because this is not true they just come to seek some attention and adulation from novices and this makes them feel important.

Bottom line is you do need good mm, discipline, emotional control etc ... but most important thing is you need a profitable strategy. Even Jack Schwager says this in his book to paraphrase "there are many ways to make profits in the market but they are all very hard to find"

Victor Neiderhoffer says the same thing in his book to paraphrase "it is inconceiveable that someone would disclose a get rich scheme for the price of a book"

I personally know this and can give you the following proof. In forex for the MT4 platfrom we have mql wherein one can write an EA, an Ea ia a fully automated trading program where in you can program exact entry rules, exit rules including all types of profit taking like trailing stop partial profits etc, you can program in the position sizing, money management and the EA will trade with perfectly discipline no human on earth can match the discipline an EA will trade with because it has no emotion. If all you needed was something like an Ma cross with RSi or stochs etc, no Ea would fail but fact is 99.9% of them lose money over the long run this clearly shows discipline and money management are not the answer although they are critical you still need a proven profitable strategy.

Those who know like RJ, RKD wont talk and those who dont know like the clowns on CNBC and some on traderji forum will talk and talk and talk,

THEY HAVE COURAGE TO TRADE.THEY HAVE FIRM BELEIVE ON THEIR TRADE. YOU ARE RIGHT THAT THEIR OTHER PREOPLE TOO THAT TIME.ITS ALL IS ATTITUDE IN YOU THAT YOU WILL.THEIR IS NOTHING HIDDEN.ONCE I WAS WATCHING RJ INTERVIEW," HE WAS TALKING ABOUT RKD.IN STOCK EXCHANGE ONCE A PARTICULAR SHARE RKD START SELLING BUT ITS GOING UP, UP, HE IS SELLING SELLING SELLING AT VARIOUS LEVELS. RJ THAT TIME SAYS RKD TOLD HIM " KAHA TAK JAYEGA KABHI TO NICHE AYEGA". LIKE FROM THIS TYPE OF ATTITUDE THEY USED TO TRADE AS PER THEM. I KNEW FEW PEOPLE IN MARKET ABOUT THEM THEIR IS RUMOR THAT THEY HAD CONTACT WITH ARSHAD MEHTA AND FROM THEM THEY ARE GETTING TIPS AND AT THAT TIME THEIR GAME CHANGE. MOST OF PEOPLE WHO ARE BIG INVESTOR THEIR LIFE CHANGES IN TIME OF ARSHAD MEHTA WHEN SMALL INVESTORS LOOSED. AFTER MAKING FEW CRORES THEN PEOPLE START CARTALISING. IT IS VERY BIG YOU DONT UNDERSTAND AND EVEN I AM ALSO VERY SMALL TO UNDERSTAND THIS.
BASIC PARAMETER IS SAME FOR ALL, STRATEGIES ARE ALO MORE OR LESS SAME, THING IS THAT WHEN YOU TAKE DECISION AND IS THAT RIGHT FOR IT AND DO U BELIEVE YOUR TRADE. SEE IF YOU HAVE CHECKS ON YOUR EMOTIONS, BELIEVE IN YOU AND THEN SEE AFTER 10 YRS YOU BE NEXT RJ AND RKD. WHEN DHIRUBHAI STARTS HE HAS NOT MUCH BUT HE HAS CONFIDENCE AND BELIEVE IN HIMSELF. WHEN MITTAL STARTS HE HAS SAME ATTITUDE.WE MIDDLE CLASS HAVE PROBLEM. WE WANT TO GO AHEAD BUT WE WANT TO FOLLOW OTHERS. JUST BE YOUR SELF AND THEN SEE MAGIC. YOU WILL BRO MIGHT BE BETTER THEN THEM. ITS REALLY NEED HARD WORK, PATIENT, WISDOM, ATTITUDE, BELIEF.RESPECT THEM AND LEARN FROM THEIR WORK AND DONT BE CRAZY ABOUT THEM. BECAUSE THEY ARE NOT GOING TO DO MAGIC IN YOUR LIFE ITS YOU WHO HAVE TO CHANGE YOUR LIFE. YOU SEE HISTORY OF ALL ACHIEVERS LIKE THEM 90% ARE DIFFERENT AND WHEN THEY WHERE POOR OR STARTER THEN PEOPLE LAUGH ON THEM AND THEY HAVE TO FACE LOTS OF CHALLENGE BUT THEY STICK TO THEIR GOAL. WE ALL WANT EASY MONEY. STOCK MARKET IS NOT TREE OF MONEY ITS LIKE OTHER BUSINESS. DO IT AS BUSINESS. ELSE YOU FIND YOURSELF TALKING ABOUT THESE BIG PEOPLE THROUGH OUT YOUR LIFE AND TIME HAS GONE WHEN YOU CAN REALLY DO SOMETHING FOR YOURSELF. TIME IS VERY PRECIOUS. I KNOW AFTER THIS YOU DONT LIKE ME AND BUT DONT MISUNDERSTAND.ITS JUST MY PERSONAL OPINION.:thumb:

 

[PartTime_Trader]

I think maybe you are offended by the last line of my post, please don't mind .. .... also i actually like you quite a lot you're a funny guy I love reading your posts they are very entertaining :thumb:

yep, typing in All Caps (Shouting) without any indent/formatting is really funny

Cheers
::thumb::

 

[Macro Trader]

boss is not always right. He purchased ato z maintenance. Its current price is about 10% at what rate he purchased.there are two many script in which he lost heavily. He is still purchasing titan at this price. He is known to me for about 20 years. No doubt he is great,may be called warren buffet of india.but you cant follow him blindly. When marketmen come to know about his entry in any script, people started buying and he starts selling. He lost heavily in 1992,1997,2003. But everytime his luck saved, he gained heavily post pokhran. He was the highest tax payer in mumbai in 1998. In 1992 he ec\scaped when harshad mehta scam came into light. In mid 1997 he lost heavily, but pokhran test saved him. In 2003 he lost heavily but his fast freind rd saved him. I like him very much

you say you know RJ for about 20 years, pls reclarify the above things once again from him, in 1992 he made the greatest trade when he shorted the market when harshad mehta scam came to light. Another great trade he made in 2003, when he made a big winning by going long tata motors .

pls recheck this with RJ , and tell me that i am wrong.

And regarding a few loosers , isnt that a part of this business ????

 

[aryabhatta]

you say you know RJ for about 20 years, pls reclarify the above things once again from him, in 1992 he made the greatest trade when he shorted the market when harshad mehta scam came to light. Another great trade he made in 2003, when he made a big winning by going long tata motors .

pls recheck this with RJ , and tell me that i am wrong.

And regarding a few loosers , isnt that a part of this business ????

although I don't know RJ I believe you are quite correct.

infact it was RKD who figured out the Harshad Mehta rally and the reason behind it and took big short positions betting against him, RJ being so close to RKD followed his mentor ...... they were both short with large bets during the Harshad Mehta scam.

Of course i don't know for sure but I read it in this article below a couple of years ago

http://valuestockplus.wordpress.com/2007/09/09/radhakrishnan-damani-the-return-of-mr-white-white/

 

[Macro Trader]

although I don't know RJ I believe you are quite correct.

infact it was RKD who figured out the Harshad Mehta rally and the reason behind it and took big short positions betting against him, RJ being so close to RKD followed his mentor ...... they were both short with large bets during the Harshad Mehta scam.

Of course i don't know for sure but I read it in this article below a couple of years ago

http://valuestockplus.wordpress.com/2007/09/09/radhakrishnan-damani-the-return-of-mr-white-white/

yes, you are right that they both shorted and made huge profits in the post harshad mehta crash, the other fact is that they also made huge profits in the harshad mehta led market rise as well.

The same scene repeated in the tech boom in 2000, but RKD lost huge money trying to short after which he quit speculation and focused on long term investing and his Dmart business venture .But RJ continued trading and investing , and it is the bull market of 2003-2007 that he says that he made most of his wealth.

 

[The Piedpiper.]

Ok Guys Take a Break and Watck This RJ Interview .

Rakesh Jhunjhunwala Part 1

Rakesh Jhunjhunwala Part 2