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Basic Syllabus For Stock Market (For Beginners)

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Tech Guru
bikidas2060

Three Things You need
1) Observation Skills
It is self explanatory. We can train our eyes. But some are born curious and they will always have an edge on these things. But we can always become alert and look around. Same goes with Chart reading skills, correlating product popularity and stock picking impulses, different styles and quickly adapting new styles. Unfortunately I don’t know, how to explain it.

2) Technical Analysis
Candlestick Patterns (https://zerodha.com/varsity/chapter/getting-sta...)
Support and Resistance (Supply/ Demand Zones) # https://www.investopedia.com/trading/support-an...

  1. https://zerodha.com/varsity/chapter/support-res...
    Indicators
    Two types of indicators are there
    1) Leading They predict future outcome by mathematical calculation. They show results earlier than events are triggered, hence is the name.
    Example: Price (You heard it right. Some patterns now predict the future. Basically we use candlestick patterns for this only)
    Fibonacci retracements, Chanels, Support and Resistance levels, Stochastic Momentum Index, William %r (very underrated in Indian market), RSI, https://www.dailyfx.com/education/technical-ana...
    2) Lagging They predict future outcome by mathematical calculation of past data available.
    Example: Moving Averages(both simple and exponential, hybrid when we use Moving average crossovers), MACD etc.
    Moving Averages # https://www.investopedia.com/articles/active-tr...
  2. https://zerodha.com/varsity/chapter/moving-ave....
    MACD
  3. https://zerodha.com/varsity/chapter/indicators-...
  4. https://www.investopedia.com/terms/m/ma...sp
    RSI
  5. https://www.investopedia.com/terms/r/r...sp
  6. https://school.stockcharts.com/doku.php?id=tech...
  7. https://zerodha.com/varsity/chapter/indicators-...
    VWAP
  8. https://www.investopedia.com/terms/v/vw...sp
  9. https://zerodha.com/varsity/chapter/supplementa...
    Honorable mentions Parabolic SAR, William %R(I personally use it), RSI divergence, Stochastic Momentum Index
    Fibonacci retracements
  10. https://www.investopedia.com/ask/answers/05/fib...
  11. https://www.investopedia.com/articles/active-tr...
  12. https://zerodha.com/varsity/chapter/fibonacci-r...

3) Fundamental Analysis
"@BubbleBoyChickenLittle":https://www.desidime.com/users/1059107 bhai since you are a CA student, if you could comment about it then it will be really amazing.
okay. We will handle this thing mathematically as things become real boring while reading.
https://ticker.finolo...n/ open this
then watch this


Actually Pranjal Kamra is founder of Finology. He has explained different ratios.
That is half work done
Next is
https://www.tickerta...n/

Zerodha also explained different mathematical approaches to Fundamental analysis for objective analysis here.

Next is Annual Report


It is a tutorial for how to read a balance sheet, an initiative by Zerodha. 1 hour duration. Watch it.

Next is two beautiful videos explaining Global Macros.



P/L statement reading

Individual sector analysis and product popularity. Just google about it. Then you will get to know a lot about it.
https://www.moneycontrol.com/stocks/marketinfo/...
is an exhaustive list of stocks categorized into different sectors. I started my career from fertilisers. The stock I chose has already been delisted haha.
https://www.screener.in/sc...s/ is a good source to see different stocks fulfilling different parameters.

+Under performing Sectors Find+ https://www.moneycontrol.com/stocks/marketstats...

Honestly I have very little idea(couple of drops of water from an ocean of vast ocean) about these things. And they worked well for me. I will encourage you to keep on digging more and more. And please share your process too.

My Process
Let’s take an example of my recent find Garware Technical Fibres.
How did I find
I was randomly searching https://www.tradingvie...m/ . So I was seeing about the market movers couple of days ago. Quickly my eye fell on GARFIBRES. It was trading at 1770 maybe. Honestly it sounded like a penny stock. I thought that it is a garbage one.
Next
Then I googled about it. I thought Fibre means some textile raw material maker. I visited it. https://www.garwarefibre...m/
Next Since it is important to know about your company
I clicked on Solutions tab. I saw it caters to a lot of industries.
FISHERIES, AQUACULTURE, SHIPPING & INDUSTRIAL, YARN & THREADS, SPORTS, COATED FABRICS, AGRICULTURE, GEOSYNTHETICS. It is a copy of its products copied straight from the website itself.
Next
Fired up https://www.moneycontrol.com/india/stockpricequ...
Checked Financial
Net Profit
140.53 125.68 105.17 84.36 61.90
That is yearly growth. Is not it decent?
Checked shareholding pattern
Standalone June 2020 March 2020 September 2019 March 2019
Promoters 50.71 50.71 50.7 50.7
Pledged 0 0 0 0
Sounded promising
Then I checked the chart
575.5% rise in 5 years. Then saw some patterns.
Googled about its debt
Garware Technical Fibres’s net debt is only 0.80 times its EBITDA. And its EBIT covers its interest expense a whopping 16.9 times over. So you could argue it is no more threatened by its debt than an elephant is by a mouse.Jan 14, 2020
Source: https://simplywall.st/news/garware-technical-fi...
Next advice seeking
Then I asked "@malikcool":https://www.desidime.com/users/184763 "@guest_999":https://www.desidime.com/users/94783 @ garamjalebi. It was trading at some 1750 maybe. It was Saturday, Market holiday. Got some reviews on it. And bhai I could not touch it. In two days it reached almost 2k.
But you got to be really humble here, to respect people, who are dealing in security market. If you don’t discuss, your horizon wont widden.
Similarly I had a heated debate in our whatsapp group about caplin point. It traded above 660-670, RSI was 85+ on daily chart. Big people are there. They said price action and stuff like that. I said exit and you will be trapped for a while. RSI cooled down, stock fell 100rs almost in intraday. But I learnt a lot about price action and the products made by Caplin. You can see in moneycontrol. They have shared info about their products for the first time in their history.
So, have a good discussion group too.
We regularly discuss things with "@malikcool":https://www.desidime.com/users/184763 "@BubbleBoyChickenLittle":https://www.desidime.com/users/1059107 "@Dastro":https://www.desidime.com/users/370689 "@drupal":https://www.desidime.com/users/10553 "@xuseronline":https://www.desidime.com/users/17318 "@adrishya":https://www.desidime.com/users/604263 "@garamjalebi":https://www.desidime.com/users/1148315 "@guest_999":https://www.desidime.com/users/94783 and many others in https://www.desidime.com/discussions/ipos-in-oc...
Having a good discussion group helps a lot.

One Important Thing I realized, whilst being in the rat race of making money that if a company is good, has sound business(customer, products, management, sustainable), has good leadership then a good chart will be made for it most probably. So, in the end, long term investment beats everything, please know your company in and out. What to do? There is no shortcut around it.
Well of Optimism in share market has no bottom. So, if you don’t take risk, you won’t win but stay safe. If you fall, you will keep falling without any safety nest. Money will be gone and most importantly time too. Build a safety net first. In share market it is called stoploss. And in real life, it is friends and family. Their love and support will protect you from harm. Respect them

Try to find a sector that has not been performing since a while. Example Pharma sector. And the shares, who gave decent returns in those sectors in the past, while the sector was not performing, they might not perform during the rally. Example Pfizer. Compare Pfizer with Caplin Point, and their returns in following years. Pfizer gave 10-14% return since recent crash. Caplin has already given more than 100% return. So, choose your horses wisely

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Deal Cadet Deal Cadet
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If any one wants to join my telegram channel. You can. Ping me. Will be sharing short term, long term and options strategies for free to all members of the group….!!! Also I have broadcast channel. I can only add if u msg/dm me with ur mob no. N name….!!!

Tech Guru Tech Guru
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Bhai. Discussion should be like, hey I found this share A, what do you guys think of it? Mere suggestions ll make us handicaps.

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Deal Newbie Deal Newbie
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Bro, since you are looking for long-term, Don’t just for stocks just because their market price is less. Look for good quality stocks – the businesses you would like to own

Deal Newbie Deal Newbie
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I’ve started a blog related to investments. Removed
I’ll be posting about investments.

Tech Guru Tech Guru
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A useful video on MACD

Deal Lieutenant Deal Lieutenant
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..Some points to remember for beginners…

…fundamentals can be learnt and these are very helpful to tame market for long term….

…for intraday or short term sentiment is more important and there is like no course for it…

…charts are extremely useful….

…luck and happy trading…
Tech Guru Tech Guru
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For sentiment identification there are courses/books. And sometimes they work, sometimes they don’t.

Deal Cadet Deal Cadet
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I am absolutely clueless about this stuff, but gotta appreciate bikidas effort. Top poster this guy.

Tech Guru Tech Guru
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Thanks bhai

Deal Cadet Deal Cadet
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VU for the effort but as said:

1) Leading They predict future outcome by mathematical calculation. They show results earlier than events are triggered, hence is the name.
Example: Price (You heard it right. Some patterns now predict the future. Basically we use candlestick patterns for this only)
Fibonacci retracements, Chanels, Support and Resistance levels, Stochastic Momentum Index, William %r (very underrated in Indian market), RSI,

Stochastic Momentum Index, William %r (very underrated in Indian market), RSI are not leading indicators as far as I know. All these changes with price, if RSI goes from 50-60 it doesn’t mean it will continue till 70-80+ before reversal. It is calculated based the past price and hence a lagging indicator.

Tech Guru Tech Guru
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It’s a controversy actually. Some say it’s leading, some say lagging, even if it’s based upon price, I say it’s a leading indicator. 🙂

Tech Guru Tech Guru
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Two months have been passed and Garware Technical Fibres gave reasonable returns. 12-20% not bad, right??

Tech Guru Tech Guru
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Garware technical fiber is still running.

Deal Cadet Deal Cadet
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Vu+ KG+ Best post ever for beginner who want to enter stock market!!
Kudos for your efforts !! :’)

Deal Newbie Deal Newbie
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Investing now is foolishness… Most of the stocks are up…March April was golden time

Deal Cadet Deal Cadet
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Vu + kg for efforts

Deal Lieutenant Deal Lieutenant
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plus1 plus1 beers beers
Deal Newbie Deal Newbie
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Thanks

Deal Subedar Deal Subedar
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Following

Super Stud Super Stud
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Thanks @bikidas2060 for this amazing series. I have some dobuts now it’s clear

Deal Newbie Deal Newbie
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Nice information.

Deal Newbie Deal Newbie
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Can anyone add me in some good discussion group…

Tech Guru Tech Guru
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Just posted some new links in Deal Wiki Section

Deal Cadet Deal Cadet
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I am new to the stock market. I want to open a trade and demat account so that I can learn by investing in small amounts. Which broker should I choose?

I have one choice – Espresso discount broker by Sharekhan

Features:
1. Waiver of account opening charges of Rs 354.
2. There is no AMC charged on Demat account for the first year.
3. For Equity delivery, No brokerage on delivery trades.
4. For Equity Intraday, Brokerage will be 0.01% or Rs 20 for every executed order. Moreover, No brokerage on loss-making trades.
5. For Equity Futures, Brokerage will be 0.01% or Rs 20 for every executed order. Moreover, Zero brokerage on square-off orders in case of loss. 0.5% for Delivery.
6. For Equity Options, Brokerage will be Rs 20 for every executed order. Moreover, Zero brokerage on square-off orders in case of loss. 0.5% for Delivery.

What is your take on Espresso?

Tech Guru Tech Guru
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Apologies for the late reply.
Take Fyer’s or Upstox or Zerodha.
Espresso is no bueno

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Deal Newbie Deal Newbie
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No one estimate. Those analysis obsolutly trash.

Deal Newbie Deal Newbie
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Good informative post..

Deal Subedar Deal Subedar
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On 1st day trading after reading the post

https://cdn0.desidime.com/attachments/photos/667259/medium/7404599freepressjournal-2020-10-1a463318-4f9d-480f-96ca-70dd364be07f-c-anchor-scam-1992-oct-14.jpg?1613882085

Tech Guru Tech Guru
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Hey guys

Check this. 🙂🙂🙂 New video from IIFL security. It has covered advanced technical analysis.

Helpful Helpful
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Nice one. VU.
Is there any group created. I would love to contribute and share my knowledge.

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Pro Coupon Hunter Pro Coupon Hunter
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Very nice thread. Thanks bro plus1 plus1 ok_handkg+

Tech Guru Tech Guru
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Love n regards 🙂

Deal Newbie Deal Newbie
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Pls DM me telegram group links. thanks in advance.

Deal Newbie Deal Newbie
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Dm Group link please

Deal Cadet Deal Cadet
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Started in May. Please DM me telegram group. Thanks 😊

Deal Subedar Deal Subedar
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Please DM me telegram group. Thanks 😊
Deal Lieutenant Deal Lieutenant
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Ye kunse Telegram Groups ki baat ho rhi hai? rolleyes

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Deal Newbie Deal Newbie
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Fr begginers… Trading (intraday, future etc) is gamble … so ready to commit suicide. Rule 2: invest only in long positions 1-5 years + wen market is in shitt + only good companies infosys hdfc dmart types + check financials… … Rule3: never invest all ur savings unless it is covid time market is in disc stuck_out_tongue_winking_eye

Tech Guru Tech Guru
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First point is correct. Beginners should explore companies. They should know that correlation between popular good companies and good returns is a myth. When I was beginning in the market Tata Global beverages, which is Tata Consumers right now, was available at 175. Nobody was talking about it. Same thing was with Grindwell Norton and Varun Beverages. I am glad that I explored well. And newbies should not aim for profit at all. They should invest in only 1-2 stocks n start practicing loss booking. Only after 2 years they should start buying stocks for long term. Intraday demands min 4-5 years of hardcore experience. If one only did long term investment, intraday can’t be done by one even after 8-9 years.Right experience and right practice matters.

Deal Newbie Deal Newbie
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Dho daala

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