Strategy required in this market?

nkuda · 1 Strategy required in this market? Fri Apr 29, 2011 1:12 pm

nkuda

Manager - Equity Analytics

Posts : 273
Equity Stars : 5259
Reputation : 11
Join date : 2011-02-19

Share price is not appreciate with good Q1 results of MBSL,COMB,SAMP.
Yesterday PABC had a run but today it is down. My strategy is buying shares is looking at law PE ratio, EPS improvement and future potential of share. But it is not working in this Market , As U think What kind of strategy is needed to success in this market?

worthiness · 2 STRATEGY REQUIRED IN MARKET Fri Apr 29, 2011 1:29 pm

worthiness

Senior Vice President - Equity Analytics

Posts : 2577
Equity Stars : 8937
Reputation : 115
Join date : 2011-04-08

Some strictly follow the fundamentals & technicals. Some do follow rumors given by their associates.
Some do comply with brokers' advices. Some chase the stocks with speculation. Some run with with others.

Knowledgable buyers still adhere to performance of enterprises (quantifiable factors) & qualitative factors as well. At the end of the run those who rely on performance would be the winners in achieving their own target. Because no company survives without proftability in the long run.

Most of investors now have relaized the nature of this market. But still panic buying & selling are happening. It is the nature of humans but not that of a good investor.

Cheers.

UKboy · 3 Re: Strategy required in this market? Fri Apr 29, 2011 2:55 pm

UKboy

Senior Vice President - Equity Analytics

Posts : 1943
Equity Stars : 7330
Reputation : 391
Join date : 2011-02-08
Location : Earth

nkuda wrote:Share price is not appreciate with good Q1 results of MBSL,COMB,SAMP.
Yesterday PABC had a run but today it is down. My strategy is buying shares is looking at law PE ratio, EPS improvement and future potential of share. But it is not working in this Market , As U think What kind of strategy is needed to success in this market?

CSE is a strange place & we are not able to apply most strategies in the book at CSE.

Buy at the lowest possible price you can find. Check the counter price today against at least two months back.
As long as you buy it low you will survive (mostly).

nkuda · 4 Re: Strategy required in this market? Fri Apr 29, 2011 4:05 pm

nkuda

Manager - Equity Analytics

Posts : 273
Equity Stars : 5259
Reputation : 11
Join date : 2011-02-19

UKboy wrote:

nkuda wrote:Share price is not appreciate with good Q1 results of MBSL,COMB,SAMP.
Yesterday PABC had a run but today it is down. My strategy is buying shares is looking at law PE ratio, EPS improvement and future potential of share. But it is not working in this Market , As U think What kind of strategy is needed to success in this market?

CSE is a strange place & we are not able to apply most strategies in the book at CSE.

Buy at the lowest possible price you can find. Check the counter price today against at least two months back.
As long as you buy it low you will survive (mostly).

It's more better strategy as I feel, No point to going only behind ratio like P/E in this market Smile

SL.Market · 5 Re: Strategy required in this market? Fri Apr 29, 2011 4:25 pm

SL.Market

Vice President - Equity Analytics

Posts : 1340
Equity Stars : 6750
Reputation : 146
Join date : 2011-03-15
Location : Colombo

CSE is a game with supporting P/E and other values... We have to play with our own stratergies after lot of studing.. Otherwise ultimately loss...
I see lot of inncent people losing their money investing lack of knowlege on the market and but just looking the past value the shares...

Actually first 2/3 month i did the same but lose very little coz i invested little at the begging due to one of my friend told That You can earn quick and same timeYou can lose investuing in Stock Market... Now I m confident with my own strategies and play with market...Upto now 95% successfull.

Happy trading

Last edited by SL.Market on Mon May 02, 2011 2:09 pm; edited 1 time in total

milanka · 6 Re: Strategy required in this market? Fri Apr 29, 2011 7:33 pm

milanka

Vice President - Equity Analytics

Posts : 1102
Equity Stars : 6846
Reputation : 164
Join date : 2011-01-28
Location : Q Soft.

UKboy wrote:

nkuda wrote:Share price is not appreciate with good Q1 results of MBSL,COMB,SAMP.
Yesterday PABC had a run but today it is down. My strategy is buying shares is looking at law PE ratio, EPS improvement and future potential of share. But it is not working in this Market , As U think What kind of strategy is needed to success in this market?

CSE is a strange place & we are not able to apply most strategies in the book at CSE.

Buy at the lowest possible price you can find. Check the counter price today against at least two months back.
As long as you buy it low you will survive (mostly).

CSE - is a strange place

Directors or others leak price sensitive information , Price bands , IPO's with unethical practices , Credit Clarence , sudden policy changes , Sudden holidays

we have to ensure we get a profit while being in this strange place.

Buying Strong shares at lowest possible price , Medium to long term holding , be aware of opportunities in between are the key to success.

ShareShares · 7 Re: Strategy required in this market? Fri Apr 29, 2011 8:57 pm

ShareShares

Assistant Vice President - Equity Analytics

Posts : 679
Equity Stars : 5672
Reputation : 152
Join date : 2011-02-02

Thanks all for sharing past experiences. Yes, because of sudden unexpected changes in regulations ability to hold medium to long term is a necessity. Some times these changes can move market upwards. Difficult to plan according to dates fixed by regulators, suddenly changes take place. Having margin facility is also a safety measure.

Antonym · 8 Re: Strategy required in this market? Fri Apr 29, 2011 11:04 pm

Antonym

Vice President - Equity Analytics

Posts : 1090
Equity Stars : 7443
Reputation : 275
Join date : 2011-02-09

Fact 1: Market prices had run ahead of performance and the PE ratio was looking expensive.
Fact 2: During the last 2 years, traders had got accustomed to making easy money on shares.

I expect that, with good government policies, corporate performance will continue to be good.

However, we need to brace ourselves for more realistic gains (25% per year would be great!) and longer holding periods. A focus on fundamentals will definitely pay off in the long run.