The Good Bad and Ugly weekly review : 02 Dec 2022

Market Overview

• Here’s the moment we were all waiting for since quite sometime now. Nifty 50 started its descent from previous high of 18604 back in Oct 2021 and it certainly has been a very volatile phase of correction since then. Our flagship index made continuous lower highs and lower lows before embarking on a super sharp rally around mid Jun 2022 which has taken the markets to a fresh all time high this week. Though the last couple of sessions may not be encouraging, the long term and short term trends do certainly look bullish and we hope we are set for a strong rally on the upside.
• It may be surprising to note that Nifty 50 was the weakest (relatively) among the indices we track at 0.99% this week while Mid-Small 400 & Nifty Jnr topped the charts with (+2.71%) & (+2.53%) returns respectively. With this week’s performance, all benchmarks are net positive for the current FY and more importantly smallcaps have started seeing some great traction heading into this uptrend.
• REALTY had a good outing coming on the back a scratchy last 4-5 months which also saw a 15% fall around mid Sep 2022. This sector witnessed a stellar run post COVID clocking almost (+250%) between May 2020 and Nov 2021. METALS have slowly and steadily gathered pace after losing about 35% from the Apr 2022 highs. Since Jun 2022, METALS have run up (+50%) and are close to a fresh all time high. Barring IT , PHARMA and REALTY, all sectors have turned green in the current FY.
• WeekendInvesting strategies had a spectacular week as well with most strategies capitalizing on momentum. Mi ST ATH was the star of the show grabbing (+3.62%) followed by Mi EverGreen at (+3.32%). In fact more than half of our strategies clocked more than 2% while a couple of strategies fared average. Mi 35 & Mi 20 have rocked the scene in the last quarter clocking (+14.5%) & (+14.3%) respectively compared to 3% to 4% on their benchmarks. Incredible performance so far. Mi MT Allcap has been the weakest amongst all strategies in the recent past but this consolidation is happening after a couple of unbelievably good performance in FY 2020 (+134%) and FY 2021 (+65%). Markets are cyclical after all. Do come in with a mindset to stick around for long term (4+ years) and you’ll automatically give yourself a better probability at doing well.
  

Brand New Smallcase – Mi India Top 10!

Mi India Top 10 has been received with so much love from all corners. We would like to convey our heartfelt thanks to each and every investor for the faith & we hope to see you invested for many many years and
This is AN AFFORDABLE – LOW CHURN – MONTHLY REBALANCED ROTATIONAL MOMENTUM strategy that invests in Top 10 trending stocks from the robust Nifty 50 Universe.

This Consolidated Document contains all details – Introductory Video, interactive performance Charts & ppt, all videos made on the strategy.

A SHORT COURSE to Help you Stay Calm in All Market Conditions

Usually, quick – sharp corrections amidst a Bull Run creates ambiguity in the minds of lots of new investors. The most important question we often get asked is whether markets will crash from here. Should we exit? and a few other questions like these. We have made several videos to help you clarify many such questions and help you have the RIGHT MINDSET for a rewarding journey in investing.

We have put together a few of our previous Daily Bytes which we think might be relevant for times like these. Do have a look and send us your thoughts, questions or comments if any.

The smallcase products are all LONG ONLY products that invest in various subsegments of the markets but have the momentum theme underlying in all of them. The strategies will pick strong outperforming stocks and remove weak ones once a week (except Mi NNF10, Mi EverGreen & Mi India Top 10 which is monthly rebalanced)

These are all long-term strategies that will create enormous wealth in each upswing and then maybe give some back in the downswing and repeat this process again and again achieving the compounding effect. With patience and grit to follow strategy over ups and downs over the last nearly five years, it has been shown that much superior CAGR returns are possible than the benchmarks.
FY22 was also superb and I will let the numbers speak for themselves. You may read the Consolidated FY22 report.

We give advance notice here on the upcoming changes in your smallcase for Monday. This advance notice can be used to ignore Monday’s update if there is no change. If there is a change indicated you can use the smallcase app or log in to weekendinvesting.smallcase.com to see the rebalance. A backup email is sent by mid-day Monday if you have not rebalanced by then and yet another one a day later.

Note: We are not including LIQUIDBEES as an ADD or an EXIT count.

The performance for the week and the month for all the smallcases is presented below.

WeekendInvesting Products – LIVE Index Data

Many of you had asked us to make the index series of all WeekendInvesting Products available so that you could perform your own analysis and studies. You can find a link to the LIVE sheet here and also on the HUB under the support column in the content tab.

WeekendInvesting Telegram and YouTube Channel

We post daily content related to investing on our Weekendinvesting Telegram Channel and YouTube channel to help our community take stock of the performance of markets, sectors & our products and touch base upon a new topic every day. We look forward to having you all there! Several videos in this blog are from this series.

WeekendInvesting Daily Insights – A New Initiative

We started a new initiative called – WeekendInvesting Daily Insights to share quick 1 minute content that can help you in your investing journey. Please do take a look at this week’s episodes by clicking on the image below.

Important Links you should know about!

We have created a document consolidating all important links that are often associated with WeekendInvesting. Click here (or on the image below) to access the same.

Mi 20 Product Description Video

STAIRS Revamped Models

We have launched revamped versions of our STAIRS models and we had made a video giving you a basic introduction to the models.

STAIRS is a LONG / SHORT derivative strategy that is designed to offer an uncorrelated diversification option to your equity portfolio. STAIRS will do well when there are up trends & also when there are down trends while giving up some of the gains when markets remain rangebound/volatile.

You may go through our latest weekly report for more details.
STAIRS Weekly Report: 1st December 2022

All 4 STAIRS models go in line with our fundamental philosophy of making the most and compounding aggressively when markets give us trends and go very defensive as trends fizzle out and enter a rangebound territory, thus providing robust capital & profit protection.

Effectively – STAIRS is a complete trading system (Futures & Options) that covers each of the following decisions required for a successful trading outcome:

• Markets – What to buy or sell?

• Position Sizing – How much to buy or sell?

• Entries – When to buy or sell?

• Stops – When to get out of a losing position?

• Exits – When to get out of a winning position?

We also run a dedicated telegram channel for STAIRS which you may join using this link

Testimonials

This is all for this week. Please stay safe and we shall meet again next week. Bye!