**Trades in year 2012**
The year 2012 has started with a bang, and we have been buying Nifty from 4750 levels and have sold at 5250, and 5350 levels. Once Nifty moved above 5000, we increased the capital deployment significantly, and have benefited from that decision. We still have long positions in some Nifty and Nifty Junior stocks. Following are our main trades of the year 2012 so far:
- Nifty — Bought @ 4750 and Sold @ 5450
- Reliance Industries — Bought @ 735 and Sold @ 845
- Reliance Infra — Bought @ 425 and Sold @ 555
- Reliance Capital — Bought @ 275 and Sold @ 425
- DLF — Bought @ 185 and Sold @ 235
- ICICI Bank — Bought @ 770 and Sold @ 880
- IDFC — Bought @ 115 and Sold @ 135
- Hindalco — Bought @ 125 and Sold @ 155
Depending on the market conditions, we will be back in these stocks at suitable times.
Please Note: All our trades are done in parts, where we book profits at each intermediate target. All capital is not deployed in the start. Capital is added in phases, and profits are also taken out in phases. The above gains have come after many months of downtrend in the year 2011. So it was good to see FIIs finally deciding to buy Indian stocks at low prices. The beaten down stocks in Infra, Metals, Banks, Real Estate have done well in 2012 so far.
**Trades in year 2011**
| Stock | Action | Buy Price | Sell Price | Gain | Duration |
| Gold ETF | Buy | 1975 | 2175 | 10.13% | 12 weeks |
| Gold ETF | Buy | 2175 | 2575 | 18.39% | 6 weeks |
| Gold ETF | Buy | 2550 | 2750 | 7.84% | 4 weeks |
| Stock | Action | Buy Price | Sell Price | Gain | Duration |
| Nifty | Buy | 4920 | 5350 | 8.74% | 3 weeks |
| Nifty | Buy | 5550 | 5270 | -5.05% | Stop Loss |
| Nifty | Short | 4900 | 5560 | 13.47% | 5 weeks |
| Nifty | Buy | 5520 | 5920 | 7.25% | 3 weeks |
| Nifty | Short | 5350 | 5980 | 11.78% | 6 weeks |
| Stock | Action | Buy Price | Sell Price | Gain | Duration |
| Reliance | Buy | 735 | 795 | 8.16% | 4 weeks |
| Reliance | Buy | 810 | 880 | 8.64% | 4 weeks |
| Reliance | Buy | 853 | 805 | -5.63% | Stop Loss |
| Stock | Action | Buy Price | Sell Price | Gain | Duration |
| DLF | Buy | 210 | 242 | 15.24% | 4 weeks |
| DLF | Buy | 195 | 223 | 14.36% | 4 weeks |
| DLF | Short | 200 | 225 | 12.50% | 2 weeks |
| DLF | Buy | 235 | 270 | 14.89% | 4 weeks |
| DLF | Short | 235 | 275 | 17.02% | 3 weeks |
| Stock | Action | Buy Price | Sell Price | Gain | Duration |
| Hindalco | Buy | 123 | 140 | 13.82% | 4 weeks |
| Hindalco | Buy | 133 | 155 | 16.54% | 4 weeks |
| Hindalco | Buy | 133 | 125 | -6.02% | Stop Loss |
| Hindalco | Short | 160 | 180 | 12.50% | 3 weeks |
| Hindalco | Short | 175 | 195 | 11.43% | 3 weeks |
| Stock | Action | Buy Price | Sell Price | Gain | Duration |
| Tata Steel | Buy | 415 | 455 | 9.64% | 3 weeks |
| Tata Steel | Buy | 435 | 495 | 13.79% | 3 weeks |
| Tata Steel | Buy | 595 | 565 | -5.04% | Stop Loss |
| Tata Steel | Short | 495 | 545 | 10.10% | 2 weeks |
**Trades in year 2010**
| Stock | Buy | Sell | Profit |
| Reliance Industries | 925 | 1057 | 14.27% |
| Reliance Industries | 1047 | 1093 | 4.39% |
| Reliance Infrastructure | 965 | 1090 | 12.95% |
| Reliance Infrastructure | 1030 | 1130 | 9.71% |
| Reliance Capital | 690 | 765 | 10.87% |
| Reliance Power | 153 | 175 | 14.38% |
| DLF | 345 | 383 | 11.01% |
| DLF | 310 | 335 | 8.06% |
| DLF | 270 | 291 | 7.78% |
| Ranbaxy | 535 | 600 | 12.15% |
| IFCI | 54 | 60 | 11.11% |
| IFCI | 58 | 63 | 8.62% |
| IFCI | 60 | 75 | 25.00% |
| IndiaBulls Real Estate | 172 | 195 | 13.37% |
| IndiaBulls Real Estate | 179 | 197 | 10.06% |
| Tata Steel | 510 | 490 | -3.92% |
| Tata Steel | 525 | 560 | 6.67% |
| Visa Steel | 33 | 37 | 12.12% |
| Varun Industries | 120 | 145 | 20.83% |
| Varun Industries | 170 | 197 | 15.88% |
| Varun Industries | 191 | 227 | 18.85% |
| IDBI Bank | 127 | 147 | 15.75% |
| IDBI Bank | 137 | 157 | 14.60% |
| BHEL | 2500 | 2650 | 6.00% |
| ONGC | 1235 | 1350 | 9.31% |
| Cairn India | 343 | 330 | -3.79% |
| Indian Hotels | 103 | 99 | -3.88% |
| Hindalco | 150 | 161 | 7.33% |
| GujaratNRECoke | 81 | 92 | 13.58% |
| GujaratNRECoke DVR | 39.5 | 43 | 8.86% |
| Tata Motors DVR | 735 | 780 | 6.12% |
| Sesa Goa | 320 | 360 | 12.50% |
| Sesa Goa | 350 | 335 | -4.29% |
| Devlpmt Credit Bank | 50 | 63 | 26.00% |
| Areva T&D | 310 | 295 | -4.84% |
| Suzlon Enegy | 57 | 54 | -5.26% |
| Indowind Energy | 46 | 52 | 13.04% |
| Indowind Energy | 42 | 46 | 9.52% |
| Panacea Biotec | 210 | 235 | 11.90% |
| Panacea Biotec | 195 | 221 | 13.33% |
| RPG Life Sciences | 91 | 115 | 26.37% |
| JM Financial | 34 | 37 | 8.82% |
| JM Financial | 40 | 46 | 15.00% |
Please note the following points regarding the above table:
- We will do multiple trades in stocks that are giving us profits.
- Our average profit per trade is about 7-10% and we are happy with it because it does not put too much expectation into the returns from any particular trade, which is more consistent than targeting big returns per trade, which has lower probability.
- When a trade starts going against our plan, we want to limit the loss by exiting that stock with 5-7% loss, and use that capital for a new trade in another stock.
- We track about 20 large liquid stocks that we can actively trade in, and therefore our trading capital is never concentrated into any one stock, because that increases risk, which is avoidable by trading in multiple stocks at any given time.
- When we sell a stock as part of trading, it does not change our position on that stock from an investment perspective. For example, we may buy and sell some shares of Reliance Infra as a trade, but that does change our view of Reliance Infra as a good investment over 5 years. In other words, we remain long-term bullish on all the stocks in the list above. Our trading just aims to profit from the short term market fluctuations in our portfolio stocks.
Please Note: The returns in the above tables are indicative trades, and any specific returns are neither implied nor promised.
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