Effective from March 09, SEBI increased lot sizes by almost 4 times, hence the margin in same proportion. With a small capital of 1.3 Lakhs we were able to buy/short two lots at once with worst case averaging limit of 4-5 lots. But now, that option is no longer available. Either we need to increase our capital to 4-5 lakhs or increase our expertise to do more correct analysis and risk evaluation. The first option is very difficult hence we are proceeding with the second one. Alternatively, there is an option of using department D when we predict bullish short term trend. We can buy few shares which we can average instead of taking risk of full lot. But in case of short sell, we have to take risk. Probably, SEBI also wants the same thing - more equity traders (investors) than f&o (traders).
We love challenges, we'll come out with solution and move ahead.
To our current and future aspirant shareholders, we are happy to announce that we did our first trade with new lots today. Bought reliance lot at 1264 and sold at 1280 earning 4800 rs. Although it reached intra-day high of 1297 due to heavy buying in last 15 minutes, we are happy with our small first gain. MandY Holdings has earned 17% profit on the investment of Rs. 1,20,000 in 6 weeks time.
Tough time ahead for MandY Holdings - Department D
Thursday, February 26, 2009 | Labels: MandY Holdings | 0 Comments
Half Life of Knowledge
Once we learn something, we never forget that completely. But it decays if we do not refresh it. Like radioactive element, it is never destroyed by it reduces in exponential pattern.
I found an interesting concept - Half Life of Knowledge. Sharing presentation slides on the same. It discusses theorotical compuer science in relation to this topic.
The research has been done by one of my professor in IIT Bombay - H. V. Sahasrabuddhe. Here is the link for his homepage. You may find some more interesting topics like Computational Musicology.
Monday, February 23, 2009 | Labels: Computer Science | 2 Comments
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