The Good Bad and Ugly weekly review : 16 Sep 2022

Performance Update

• Consolidation continues : Nifty attempted to sustain above the trend line but has been hit by strong resistance around that zone. This is an extremely crucial juncture that could decide the course of action for markets in the days ahead. If Nifty surpasses the above the trend line, we could see what is the beginning of another upward rally that may pave way for a fresh all time high. If not, we may see some more consolidation / correction. We are still comfortably above the 200 DMA but the Relative Strength Index has dropped below 50 for the first time in last 3 months.
• Nifty 50 was the weakest among all benchmark indices returning (-1.7%) this week while Nifty Next 50 was the strongest (relatively) staying flat. The latter has also been the strongest in the last quarter and also in FY 23 clocking (+21.5%) & (+7.2%) respectively.
• IT seems to be continuing on a drastic correction mode losing a massive 7% this week. In fact it is the only sector in the negative territory in the last quarter & has lost about 27% in the current FY. Talk about having a proper exit plan for your stocks ! Both PSU & PVT BANKS have been very solid clocking (+10%) & (+4.5%) respectively in the last 30 days & (+32%) & (+27%) respectively in the last quarter. AUTO sector continues to lead the current FY charts with gains of (+22%).
• Mi NNF 10 continued it’s phenomenal journey clocking (+2.14%) this week compared to a flat performance from it’s benchmark index, the Nifty Next 50. This strategy is also currently our best performer across several time frames – 1 week (+2.14%) , 1 month (+8.63%) , 3 months (+33.8%) , FY 23 (+15.5%). It has been a mind blowing journey so far benefitting thousands of investors. Mi ATH 2 has also been on a great trajectory of recovery clocking (+28%) in the last quarter. We hope to do well in the times to come.

The performance is updated below

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 questions we often get asked is whether markets will crash from here ? Should we exit ? and 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 NNF10 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 repeating 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 an advance notice here on the upcoming changes in your smallcase for Monday . This advance notice can be used to ignore Monday update if there is no change. If there is a change indicated you can use the smallcase app or login to weekendinvesting.smallcase.com to see the rebalance. A back up 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 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.! The several videos in this blog are from this series.

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.

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 a 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

Media

We had a terrific LIVE session with Mr Neeraj Arora hosted by Team Groww where we discuss “How to Beat Nifty using Momentum” Check it out below

Testimonials

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