In the previous blogposts, I wrote about how to use trendlines to identify changes in stock trends and the significance a trendline carries. This week we are going to look at a very important concept that can help you to ride long term compounding stories- Parallel channels. How to identify a Parallel Channel? Previously, IContinue reading “Parallel channels and its Significance”
Author Archives: The Trendline Investor
Three rules to identify the importance of a Trendline
In the previous blogpost, I wrote about how to identify changes in trends using trendlines. However, the question we most often ask is- what is the importance of a specific trendline that is drawn? There are three main rules that can be used to determine the importance of the trendline. We will take the exampleContinue reading “Three rules to identify the importance of a Trendline”
Using Trendlines to identify changes in Stock trends
In the previous blogpost, I explained how to identify whether the stock is in an Uptrend or a Downtrend. This week, let’s jump into how to use Trendlines to identify the points where a stock trend changes from Uptrend to Downtrend/Sideways and vice versa. What are Trendlines? Trendlines are nothing but straight lines connecting theContinue reading “Using Trendlines to identify changes in Stock trends”
Identifying the Stock trend
Before diving into understanding the basics of identifying the trend of a stock, you must read the previous blog about ‘Understanding Demand and Supply in Stocks’. What is a Trend? Google defines a trend as ‘a general direction in which something is developing or changing’. Yes, that’s right and everything in this world follows aContinue reading “Identifying the Stock trend”
A tool to understand the stock itself : Screener.in
Why use a screening tool? There are two things you want to consider while analyzing a stock. One is the technicals and the other the fundamentals of it. For the technicals, I have written a blogpost of how you can use the chartink.com site. In this post, I will explain how to analyze the fundamentalsContinue reading “A tool to understand the stock itself : Screener.in”
A tool to scan stocks: Chartink.com
Why use a scanning tool? There are thousands of stocks listed in the Indian markets on both the NSE and BSE. It is just impossible to go and look at every stock and read about it. So, you will need a scanning tool which allows you to view a subset of stocks based on yourContinue reading “A tool to scan stocks: Chartink.com”
Understanding candlesticks and interpreting them
Understanding Candlesticks The below image is from Investopedia which I will refer to, in order to explain candlesticks. A Black/Red candle signifies that the price moved down, during a specific time period. A White/Green candle signifies that the price moved up, during a specific time period. What is the significance of a Candlestick? Let’s takeContinue reading “Understanding candlesticks and interpreting them”
Understanding Demand and Supply in stocks
Demand and supply in the time of Covid The price of every product in this world, including stocks, is driven by demand and supply and depending on which is greater, the price either rises, drops or stagnates. The best example is the correlation between the recent corona virus and the demand for masks. No oneContinue reading “Understanding Demand and Supply in stocks”
Psychology to sustain yourself in Markets
There are many attributes one must have to succeed in markets, be it in investing or trading. But the most important attribute is the mindset one needs to have to sustain in markets. But why is mindset the most important attribute? The answer is simple- because it involves money. Money can ruin lives in trading/investing.Continue reading “Psychology to sustain yourself in Markets”
Which broker to use?
In India, when it comes to choosing stock market brokers, we are spoilt for options. There are at least 8 reliable brokers in India. Angel broking HDFC securities ICICI direct Kotak securities Motilal oswal Share Khan Upstox Zerodha And many more… My top 2 picks in the above list include Zerodha and ICICI direct. WhyContinue reading “Which broker to use?”