How An Obvious Idea Made Me An Millionaire

There are many businesses that are established today but most of them fail. This is due to the fact that the people are truly hard to convince and to educate especially if you are still at the bottom of the ladder. Being a contrarian trader is not really a hard task but there are certain contrarian strategies that you have to follow in order for your business to thrive.

In the beginning, you will not really see the effects of the success but this is also like the other methods. What is worse about them is that there are no guarantees that you will be able to make your company as flourishing as the others. However, if you are a contrarian, you will be able to give your business a good start.

As you go along, you will be able to determine what the steps are in being the best contrarian like all the other successful persons in the business. One thing that is required here is having an exit strategy. This entails the period when everything you have planned is going south. This way, you will be able to get rid of the situation fast and during this process you will also be able to protect most of your investments without having to worry about your competitors.

The first thing that you have to do is to form your own opinion when trading stocks. Being a contrarian trader, as the name implies, means that you will have to think the other extreme from the masses. An exit plan is also needed as well as a price point. This will enable you to get out from the situation quickly without worrying about your losses. Price point is the particular amount of a certain product that a contrarian investor believes is the high feature of the stock.

The most important thing to remember when being a contrarian trader is that what you give is always what you get. If you have made an assumption that you will have to follow what the others are doing, you will eventually get the same results as them. On the other hand, if you go against the normal flow of business and you exert more efforts, you will definitely be rewarded in the long run.

If you want fantastic results, then you need to think like a contrarian trader. It truly helps when you make decisions that are diverse because it has been attested from several years in the history of business that investors have been successful in their endeavors because of what they believe in and not what others have said.

Read More

E-S-C Analysis

Economic-Sector-Company Analysis is just like a funnel used to seperate one ideal stock from a big lot. The impurities in the form of not so desirable stocks are inspected and thereby removed and then a fine range of few stocks are selected for investment. In short E-S-C analysis is used for filtration of fundamentally good companies from the economy as a whole.
E-S-C analysis is a part of security analysis where forces affecting the value of the global and national economy are taken into consideration. Later as per the economic conditions, various sectors viz; IT Sector, Retail Sector, Power Sector, Insurance Sector, Service Sector, Auto Sector, Banking Sector etc. and industries within these sectors are examined on the basis of demand-supply factors. Ultimately, a scanning of the companies including their financial data, management, business and competition with others is done. This can further be elaborated to Global economy- local economy-Sector-industry-company. This reduces the risk of random selection and maximizes profits.
Fundamental analysis helps in analyzing the performance at each level:
Firstly forecast the performance of all the major economies of the world and analyze their growth cycle i.e. the rate of inflation or recession. This Study might indirectly reveal the condition of Power sector or Banking Sector.
Secondly study the local economy in comparison with the world economy in terms of its GDP, currency valuation, Government taxation policies, Employment and other natural factors. Analysis at this stage automatically helps to generate the performances of Agricultural sector, IT Sector, Retail Sector etc.
Subsequently evaluate different sectors in accordance with the conditions prevailing in the economy. Some sectors (agricultural) work better than others during specific economic conditions (monsoon).
The segregation of the sector into various industries (sugar, cotton etc) is the following step. The fittest during that period is taken into consideration.
Ultimately once the possible industry is narrowed down, the investor is left with a few potential individual stocks based on the synthesis of their financial statements and management and most importantly their performance as compared to other businesses within the same industry (Renuka, Balrampur Chini, Triveni etc).
So if you are looking for a successful life time value investment in the stock market, just go for it!!!
For More Updates Visit

Read More