Morning Jewel-22.10.2020

 

• ·         SBI has announced another 25 bps cut in rates below already multiyear low rates for retail loans. This is good for consumer demand its a negative for many smaller banks & NBFC's which don't have a cheap CASA funds profile Margins get squeezed while Asset Quality under pressure.
• ·         When you are buying a stock trading at a PE of 120-150X you are essentially looking at accelerating growth over the next 3-5 years with improving profits. Highly unlikely in Avenue Supermarts .
• ·         US adds $5 trillion to GDP every 10 years. GDP of United States 1990: $5.9 trillion 2000: $10.2 trillion 2010: $14.9 trillion 2020: $20.8 trillion.
• ·         There will be a rotation from growth which has led for the last 10 years,into value . Value guys have got wiped out and are not heard of . Markets will bring them back when all have written them off . Saw it in 2000. Similar stage is set, waiting for the spark.
• ·         The segments that may be worst affected due to COVID19 are  urban poor, informal sector workers & smaller informal enterprises. The challenge is in devising targeted scheme. Distributing benefits to these segments, and not fiscal space, is our principal challenge:
• ·         1.6% of GDP is School Transportation . 33 Cr students are there and it represents 1.5% of GDP.
• ·         2.0 Cr Tourists come every year; It will take more time before normalcy could return here. It has its lag effect on GDP as well.
• ·         Construction is 85% back to normal.

Morning Jewels : 19.10.2020

•     "Free education is abundant, all over the internet. It’s the desire to learn that’s scarce.
•     "I think the best way to prepare for the future 20 years is find something you love to do, to have a shot at being one of the best people in the world at it. Build an independent brand around it, with your name."
•   Who is powerful? He that governs his passions.
•   To compound wealth, need to compound learning. The more you learn, the more you earn.
•  "In the post covid world, geography is history".This will give Indian founders an unprecedented opportunity for the global markets, not just in SaaS, but also in consumer internet and Fintech.
• · Hong Kong Sees "Alarming Rise" In Suicide And Depression Among Young People

Morning Jewels ( 18.10.2020)

 1. 10 Chart patterns you should know:

1) Cup and handle 2) Volatility contraction pattern (VCP) 3) Double bottom/top 4) Rounded bottom/top 5) Flat base 6) High tight flag 7) Ascending/descending triangle 8) Head and shoulders 9) Rising/falling wedge 10) Bullish/bearish pennant

2. 5 inspiring books for Traders:

1) The Richest Man in Babylon (Clason) 2) The Alchemist (Coelho) 3) Outliers (Gladwell) 4) Atomic Habits (Clear) 5) Power of Habit (Duhigg)

3, Best Trading Books for growth and momentum Traders:

1) How to Make Money in Stocks (O'Neil) 2) Trade Like a Stock Market Wizard (Minervini) 3) Momentum Masters (Minervini) 4) How to Trade In Stocks (Livermore) 5) How I Made $2,000,000 in the Stock Market (Darvas)