Detailed Study of Stocks that became 5X in past 2 Years
A Mega Thread🧵
Concepts :
Relative Strength
Stage Analysis
Retweet and Comment If you want a PDF
We have Got around 86 Stocks that became 5X in 2 years
These Belonged to various sectors and Groups
Excel Link for List of Stocks docs.google.com/document/d/1J-…
( As on 30th March 2022)
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All stocks had few things in common :
Stocks doubled Before entering into Stage 2 Uptrend
52 week RS was positive in stage 2
90% stocks even gave all time high breakout after Stage 2
60 Stocks had market cap less than 1000 Cr
Examples : OLECTRA , PGEL
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So What is Relative Strength ?
Relative strength is a strategy used in momentum investing and in identifying value stocks.
It focuses on investing in stocks or other investments that have performed well relative to the market as a whole or to a relevant benchmark.
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How to Apply ?
Type
“Relative Strength”
Choose any
By bharattrader
By traderlion
By Modhelius
I use by bharattrader
In setting use 52 period
Use Weekly Chart 4/n
Helps to filter out stocks in good momentum and that are giving better returns than nifty
These stocks tend to outperform the market for a long term
These are potentially superstocks
52 period signifies 1 Year of trading
In 1 Year we have around 52 trading Weeks 5/n
What is Stage Analysis ?
Stage 1 : Accumulation Phase
Stage 2: Advancing Phase This is the stage where we should be looking to take long positions in a stock or index. Buyers are now in control and the balance of power is now in line with demand
Look for Stocks in Stage 2 6/n
Past Leaders Charts :
3 types of entries
Stage 1 Breakout
52 week high Breakout
All time / Multi Year Breakout
[7/n] #LTI#JSLHISAR#Tatalexsi
Trading Strategy to find new Leaders :
Let us now summarize everything and apply the whole concept in real trading
What are we looking for ?
Stock breaking out of stage 1 and above 30 wema
Relative strength > 0 and increasing
Example : #MRPL , #SDBL , #MARATHON
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The more time RS was positive before the breakout the better .
Enter on Stage 1 Breakout
Look for rising Volumes on right side of base
Volume on Updays should be greater than Volume on Downdays
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Observations of Past data
✴️Only ¼ of the stocks were trading above 100 before they became 5X
✴️Out of 85 Stocks only 20 were above 100 rs
✴️Even now 50 Stocks are having market Cap less than 5000 Cr that means they were having market cap of around 1k cr before they become 5X
10
20 Stocks are having market cap above 20k cr now
66 Stocks have market cap 10k Cr now !
Only 11 Stocks had ROE and ROCE >20 That means Fundamentals didn’t matter that much #CentruyPly#Onwardtech
Stage 2 Screener Video :
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Stoploss Also Hits using The same Stratgey #CosmoFilms #PrakashIndustry
Risk Reward Will always be > 1:10 As if we ride the complete trend till stage 3 Breakdown then stocks become 2X 3X easily
Small Losses should be Booked and Re entry should be Taken if stock regains momentum
Some Stocks That are coming out of stage 1 and 52 week RS Increasing and >0 #Shankara#HSCl#RuchiraPapers #SDBL
Using the Same Concepts of Stage Analysis and Relative Strength
𝘋𝘦𝘵𝘢𝘪𝘭𝘦𝘥 𝘠𝘰𝘶𝘵𝘶𝘣𝘦 𝘝𝘪𝘥𝘦𝘰 (𝗗𝗼𝗻𝘁 𝗠𝗶𝘀𝘀 !)
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RULES :
➡️Enter Near Stage 1 Breakout and Pyramid Slowly
➡️Use 30 Wema trailing Stoploss
➡️ Look for Stocks below 1000 cr Market cap
➡️Fundamentals dont matter much if you use stoploss
✅Mentorship starting from 7th August on weekends only with recording (5 Sessions)
✅Covering Pure Price Action , Relative Strength, Stage Analysis, How to find Super Stocks
Relative Strength vs Relative Strength Index
Tool to level up your Trading 🔥
A Thread 🧵
Kindly Retweet and 🩷
Relative Strength :
¢Relative strength is a strategy used in momentum investing and in identifying value stocks.
¢ It focuses on investing in stocks or other investments that have performed well relative to the market as a whole or to a relevant benchmark.
Indicator Values :
💠0 line that helps to differentiate between underperformer and outperformer
💠>1 Outperforming the markets
💠<0 Underperforming the markets
7 less known Tradingview Indicators that all traders should know about
A thread🧵
1. @TraderLion_ Enhanced Volume Indicator
Lime Green Bars Suggests day when the stocks closes near the days high and volume greater than past 10 down volume days Suggesting Institutional Accumulation
Modified version of Bollinger Bands
When price is written in blue, volatility overall is falling. When the outer bands start to fatten up in blue, a contraction signal is forming. Works with any length of your choosing tradingview.com/script/fXnublK…
Find the Strongest Sectors and Stocks for Free
A Thread🧵
Retweet for PDF !
Go to :
Here you can find custom made indices like EMS , Diagnostic Chains , Logictics etc which exchanges don't provide . tijorifinance.com/in/markets
To find the Stongest Sectors we will select those sectors which are trading near 52week high in market corrections .
If market has corrected 10% but index has not means its relative strength is high .
Sort the strongest sectors :
A thread to pick stocks moving 20-30% in a week🧵
( Chartink link at the end of tweet )
Technical Criteria 1. Stock near 5% of 52 week high 2. Stock above 30 weekly ema : Stage 1 uptrend 3. 21ema > 50ema signifying strong uptrend
You can also add Volume criteria
Top 6 Underdogs in Recycling/Waste Management Sector ♻️
A Thread🧵
Hidden Gem
#GemEnviro
GEM Enviro Management Limited is a waste management company specializing in recycling all packaging waste, including plastic waste.
Company is in SME : Lot Size above 2 Lakh
Entry above 200
Stoploss : 160
Enter in this stock if your entire capital is above 20L as part of Risk Management of max 5-10% Allocation per stock
Target : 300-320
#Wastemangement
#AWHCL
Stock again of Waste Management
Breakout Above 850 can lead to good Rally till 1000
Stoploss below the swing 800
Entire Sector in Good trend
#Wastemangement