If you do not know why a big brokerage house is doing something, copying them because they are a big house is a sure way of wealth destruction. They play a lot of games and across different memberships. For example a broker could be buying and selling he same share – at small margins just to improve volumes. This is necessary if the ‘Institutions’ have to be convinced about the liquidity in that scrip.

If you cannot find an attractive idea, keep your money in the bank account. Cash does not bite.

If you want to trade, think like a trader. If you want to invest think like a businessman. Both need discipline. And till you master both, you need to keep them separate. I know people who use different brokers for different activities. Makes sense.

Opportunity chases money. If you have money, opportunity will seek you. Cash is king even in bull markets.

You need no more than 2 good ideas a year. Once you have found them and put enough cash to back your brain, stop listening to ‘experts’ just chill. Selecting which share to buy may be science, but to sit tight in a noisy market is an art. Can be learnt and mastered.

Rational need not be fashionable, and vice-versa. Just as in eating healthy and interesting may not be the same.

You can eat dull, boring, healthy food or flashy, greasy, loud, food. Short term pleasure is normally followed by long term pain – just as in investing.

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