simple logic

Simple Logic

PLEASE GO THU THIS EXPLANATION CAREFULLY

say current nifty is at 8000 level

nifty : currently, average intraday fluctuation is 120  (counting every single up and down movements)

nifty : Average mthly - fluctuation 120 *24 (working days)= 2880 points

nifty : Average yearly - fluctuation 2880 *12 = 34560 points (say 35000 )

( with 35000 points of yearly fluction, say the nifty still hovers around 8000 mark )

suppose if u want to earn 100% return (pa) on current nifty ( say 8000) u have to earn yearly 8000 pts/rs

from the entire flutuation of 35000, to earn full 100% ( after deducting all costs of transections)

which means,

one has to earn (8000/12) = 666 per month (nett)

one has to earn (667/24)(working days) = 28 per day (nett)

ROI

market scenerio with the

best of analyst and fund managers

Now earning 28 per day can make u earn

100 % return pa

unachivable

Earning 28/2 = 14 per day will give u

50% retuns pa

not likely

Earning 14/2 = 7 per day will give u

25 % returns pa

likely but not consistently

Earning 7/2 = 3.5 per day will give u

12.5 % returns pa

likely but without assurance

cost per trade

as per the example given above to earn 3.5 per day one would earn 12.5% pa

fact: our cost per trade is cloase to 3.5 per TRADE (INCLUDING TRADES WITH LOSSES) , which

means the brokerage and other costs is far more than we require to earn per day on 12.5% return per annum basis

in a nutshell : one's costs are MORE THAN 30-35 % returns which one would earn yearly if the costs

were refunded at the end of the year ,which otherwise are pocketed by brokers and government authorities, THAT IS WHY U SEE BROKERS GROWING FROM STRENGTH TO STRENGHT

WE , WITH OUR YEARS OF EXPERIENCE AND RESEARCH CAN MAKE THE CHANGE TO TRY AND EARN THE INVESTOR AVERAGE

3.5 -7 PER DAY TO GET U RETURNS OF 12 -25% PA, IRRESCPECTIVE OF VOLATILITY AND WITHOUT PARTING WITH YOUR MONEY