Outperformance through Equities from a Trading Perspective…..This was the Theme chosen by a leading Broking Group at their 17th Foundation Day Celebrations last night
….and Mr Tulsian and I were invited to address 100+ Invitees on this Theme….Interesting and Intriguing……because it was specifically from a Trading Perspective rather than just an Investment Perspective…..and that they invited ‘Fundamental’ Guys like us for this…..I suppose if the Sensex had run away to 25000 they would have invited ‘Technical’ Guys…only these guys can give you 25 trading calls in a day !….but I sense that they sense too that the Sensex is behaving like ‘Ghajini’…goes off in one direction then pauses as it forgets where it wants to or has to go !….so it was Back to Basics and ‘Fundamentals’ to manage risks
Mr Tulsian spoke before I did…he appears on Stock Channels quite regularly…’Sweet’ Tulsian….he’s known for his affinity to Sugar scrips….feels the Sensex is not fairly valued…but is undervalued at 19000…and that a 2008 Crash like Situation is unlikely to occur again…this year saw a high of 21000+ in January and then a low of 8000 in October…he loves Larsen & Toubro just like I do….who does not ! ?
…I’m 100% sure that those who are selling Larsen & Toubro heavily,FIIs included, and have caused this correction from Rs 2200 levels in November 2010 to current Rs 1650 levels will re-enter again later this year….They’re selling for creating liquidity based on macro concerns…and they have made good to great gains in Larsen & Toubro….and so when they want funds they will sell all or reduce exposure in what they have made gains……it’s not because they think Larsen & Toubro is overpriced…so if Larsen & Toubro looked good at Rs 2200 it looks even better at lower risk price of Rs 1650…that’s basically my view and take on Larsen & Toubro in this correction
….basically I was expected to deliver an elixir in 30 minutes for what will happen in 300 Trading Days in 2011!…..For Inspiration I made all begin with a Prayer with mine being this:
“Dear God,I Pray for a FAT Bank Balance and a THIN Body….Please don’t mix these up like you did last year ! Amen ”
The address,peppered with humour, was well received but the feedback was that half an hour was too less…. guess the Humour did the trick !…….especially when I conveyed what SEBI really stands for !…….sensed they wanted more of it !…..covered a host of areas on a screen presentation…Macro domestic and Global concerns,Market Dynamics,FIIs,Momentum & Liquidity & Sentiment,Value v/s Price,Sensex last ten years and since inception and where is it headed this year and the next,Determining the Risk Range for Trading in Sensex Scrips,Timing & Tactical Strategies,USA & PIIGS,Investor Mistakes & Situations,Buy & Hold V/s Trading…Future Capital Holdings and Pantaloon Retail….Warren Buffett & Peter Lynch….Personal Attributes…..
Now this was amusing…..An Invited Comedian Performer who entertained the audience before and even after my address with Mimicry and Jokes commented in his Act that he found me very funny !….Thanks Pal ! I hope you were referring to what I said and not how I look !….and if my ‘Act’ was funnier,as overheard an invitee quip,it was because I had the advantage of Speaking about Stock Markets while you were imitating Donald Duck and Dinosaurs and Dev Anand !…Next Time Pal,when invited to perform a comedy and mimicry routine at a Stock Fraternity Function look to the Stock Markets for inspiration….Don’t worry if you are not a Stock Market Expert or even know nothing about it….none of us really do !…and that’s where the Humour will flow !….but your Donald Duck Imitation was good…you could incorporate this in your ‘Stock Market Act’….How ?….like when ‘Quack’ Experts,Anchors and Gyan Gurus appear on Stock Channels and go “Quack, Quack, Quack !”
The Celebrations were held under Open Skies on the Huge lovely Terrace of the Building which houses the Broking Group’s Mumbai Office in South Mumbai…coincidentally even mine….right under the nose of the Shapoorji Pallonji Towers,the tallest buildings in Mumbai yet…….the arrangements were elaborate….the weather perfect with a lovely wind blowing…..The Dinner was quite delightful and varied too and all Vegetarian…though I just nimbled on a little from here and there that the hosts had thoughtfully assembled on a Plate for me from various counters….Mysore Dosa…some Pasta with Fresh Lovely Brocoli in it….there was also the normal dinner spread….and for Dessert there was Hot and Rich ‘Moog ki Dal ka Sheera’……
….enjoyed interacting with a cross section of people…brokers,sub brokers,CAs,franchisees,mentor,clients of the Broking Group….especially a young couple from Ichalkaranji…both are Chartered Accountants…they received an Award too last night as the best Sub Brokers from outside Mumbai….Oh ! and one new entrant in the field of broking who exclaimed to me ” I love the way you speak !” and added ” No ! No! No ! and ofcourse what you spoke too !” when I countered him with ” And Not on what I spoke ?”……Another expressed his appreciation by saying that I had opened his mind and eyes on a host of issues…I told him that my wife expresses just the opposite !…..he thought I was jesting !
…..all in all an enjoyable evening….was presented with a lovely Memento and a Book to remember it…..Cheers !