As usual very clear and this made the whole concept sit right in my head . Thanks a ton for this short but super useful video. Will add it to my tool kit as well
Thank you very much, Ishan ji. Yes, I'm reminded of an old Zen master quote: "I have just three things to teach -- Simplicity, Patience and Compassion. These three are your greatest treasures"
I must say you did technical analysis much much better than so called "technical experts" I always do investing based on fundamentals analysis but will use this tools for entry and exist for some extra gain.
A++ video. I really want to invest in NVDA but doing the math, it is 42% above the 50 day moving average. If I put my money in right now and it has a healthy pullback to the line... I will lose a lot of money and would have to bag hold until NVDA goes up 42% again just to break even. They might not even reach this high again.
Excellent explanation. Please make more video about technical indicators. I am a long term investor, but it helps to plan entry and levels for averaging.
Another excellent video Shankar, as always!! You’re just awesome!! Why don’t you do series of videos on Futures & Options with advantages and drawbacks followed by how one can hedge their stock portfolio using options? Perhaps it’s also worth discussing of Stock lending processes especially for people who’ve been investing for several years and accumulating great businesses for their future. Cheers. Thanks again!
Shankar sir the way you explain and the research you do based on previous years just one word AWESOME please don't stop these videos these are very helpful 😊
Thank you vey much, Bikash ji for your kind appreciation and for this nice gratuity. The topic on moving averages was a bit new for me and that's because many of us didnt want to understand it. We think it is some difficult concept but by breaking it down to understandable parts, my retention & therefore the usefulness of it came to light. This can certainly be one of the tools in our investing toolkit
Dear Shankar Nath, Such a fantastic stock picking (One of the criteria) tips found in this session. Here I found few stocks which applied the rule 20 SMA crossing 200 SMA from below in the screener list. Aavas, Vinati Org, Gujarat Floro, Deepak Fertiliser. I understand need to check fundamental and other aspect. Thanks a lot sir..for quick stock pick
If given an option, i want to give 1k likes myself. Thank you shankar sir. I wish to know more about you, in what setup you grew, what education, when you started thinking of finance and more. If you were to write a book, i will be first buyer 😊 You are my guru dronacharya. I wish i could meet you some day. THANK YOU SIR
Thank you for your continous patronage, Dheeraj ji. There's an interview I did with Neeraj on Groww's Market ki Baat that'll answer a few of your questions. Watch at leisure: th-cam.com/video/KFMssEZe4O4/w-d-xo.html
the undisputedly best channel for investment learning and stock markets.. totally no nonsense and unbiased approach to explain concepts.. main ek hi din mein bande ka JABRA FAN ban gaya hoon..
Appreciate the knowledge shared..I have also just started reading "The Intelligent Investor" which was kept near you in the video and it makes me happy that I am on right path 😊
Great session and simple tool for investors to accumulate more during value zone..🎉 As many have already pointed out, 50ma on monthly chart will be other extreme ( very little value zone). Daily or weekly chatt will be ideal I guess... We will wait ...
There is no set formula, but it is advisable to use higher day moving average on a higher time frame as it will consider larger set of candles for average
Great video as always 👏 Just curious about what will happen if we apply a slightly different strategy: Add/average down when the price starts going below the 50 DMA and start selling in increments when it crosses the 50 DMA level. Won't this allow a better way of averaging the price and increase returns?
Thanks. Curiosity is always good .. if you try it out yourself, please do publish the results here for the benefit of all. Perhaps you can try it for any one stock and the index over different time periods.
Loved it. Would love to hear your thoughts on which DMA is more suited for which style of investing. Eg. Is 50 DMA a more suitable indicator (for buy or sell) for a 3-5 month swing trader, as compared to a 200 DMA being more suitable for a buy and hold (long term) kind of strategy?
Thanks! The 200 DMA is definitely a more long-term indicator as compared to 50 DMA. This video is not a play on style of investing though; all the research I've done points out to having more tools in one's kit (swiss army knife from the Mental Models video) and understanding the basis technical analysis bit is certainly a part of it
Great insight to use moving average. Even one can use this concept in futures (with risk management) to generate exponential returns, like I'm doing for the last 2 years. Thanks sir you provided something new to your subscribers.
Thanks a lot for this great explanation sir. I am new to the world of investing and since a week started following your videos. Do you have any videos of yours from where I can start learning the basics? And also, can I only rely on this moving average method to start investing in stocks (completely from beginner perspective), or do I need to check any other factors before finalizing a stock to invest in? Thanks in advance sir. Much love to you
Hello Gowtham, welcome to my channel. 1. My videos are not a series; these go one topic to another so there is no start point. Maybe when I have a course, the structure will be more defined 2. Moving averages is just one of dozens of factors one must use before closing in on an investment. In a recent video on Mental Models, I explained this using the "swiss army knife" anology. May I suggest you watch all my videos over the coming few weeks and revisit this question. I'm certain this part will be clearer & you won't need me to answer it. Wishing you the best,
Shankar ji, why does 50 DMA or 200 DMA change when one looks at 1 yr vs 5 yr vs All time view? in fact the golden cross dates also change depending on how much past view one is seeing. which one is correct to take as reference?
Awesome Content Shankar Sir........... Please come up with a video on "LAZY PORTFOLIO" in Indian Context................ It will be very helpful to deploy a lumpsum amount across different asset classes and consistently beat inflation all time.......... Thanking You in Advance..................
I looked at it on monthly basis for long-duration charts (25 years). For more recent durations, I even went daily. I have to admit, I'm very new to this .. perhaps Kunal can answer this better. He's taking a break, will rejoin work after 3 days .. please allow until then.
Depends for how long you are planning to hold the trade. If you are planning to hold a stock for say 1-3 months, you can plot it on a weekly time frame If you are planning yo hold it for a few days to a few weeks, then you can plot it on daily timeframe. So, time frame depends upon trading style.
Thanks, glad you liked it. Curious to know - why not write a comment if a video is praise-worthy? An appreciation comment motivates the creator to create good content.
In a bill market typically the stock.prices trade way above 50.DMA... would you also explore the turtle strategy of 20 and 50/55 DmA and let us know if that works better?
I'll leave this for Kunal to answer. I'm a beginner here .. still learning. I think Kunal is occupied somewhere else for the weekend, please allow him some time to get back to you on this
Very useful video, if the stock prices goes below the 50 EMA, Then is it sure that the stock price will fall or else is there any chances of bouncing back from below the 50 EMA
Learn something new today. I was doing 20 MA and 50 MA and sometime 200 MA for big confirmation. Today 50 MA and 200 MA is different approach i think It works mainly for longer Trade 1 or 2 year with muxh safer way. Hope i am right Shankar ji. One question: for individual stock which one to apply Daily, weekly or monthly candle chart for MA??
Glad you found it informative and useful. The golden crossover is a very common strategy used esp. by long-term investors. For individual stocks, depending on the strategy you can use daily, weekly or monthly or some variation of that. There is no general rule, may I request to read up more about it. I am not really the best person to comment on this as I too am just learning.
Dear Sir, Should I be using 50 day etc SMA or EMA? I am a newbie please excuse the delayed question and maybe how dumb it may sound.Thanks.You are an awesome, knowledgeable teacher.Regards.
Ofcourse, this should be used in conjunction with some other metrics also but yes there is a possibility that if a price closes above its 50 day moving average specially after a large fall, then price can give you a good entry point
At 11:09 you showed a chart indicating the gap between 200 DMA and Nifty 50. Have couple of questions 1. Can we compare 200DMA and price of any stock instead of Nifty 50 ? 2. Is there any indicator that you used to find the difference in the percentage or is it a manual calculation ?
I'm don't understand technical indicators much, this itself was a beginners video. However to answer your queries: 1. Yes, you can use it for stocks & many people do that 2. I did it manually
I will be testing in my blue chip stock portfolio for next 5 years and let you know the results. I think we can make good returns if we mix this up with SIP. Like if we invest 10k every month in a stock portfolio and 50k lumpsum in entry points for 50 DMA, this will give us awesome returns. Need to check this strategy in next 5 years.
Any topic you choose to explain , turns to gold. 😊
Thank you very much for the vote of confidence 🙌
As usual very clear and this made the whole concept sit right in my head . Thanks a ton for this short but super useful video. Will add it to my tool kit as well
You're very welcome!
This man makes best videos on investing
Well articulated and in depth to the point explained strategy for small retail investor like us. Many thanks Shankar ji.
So nice of you. Thank you very much, glad you found it useful
Shankar Nath = GEM
Appreciate you venturing into technical analysis and making it simple
Thanks!
Thank u for wonderful tutorial video.. pls Sir make more such videos.. it will be helpful for learners like me 🙏😀🥰
Glad you liked it
Beautifully simplified a very technical topic. Thanks so much!
You're very welcome!
In simple words u explain complected things it easy to understand for retail investors
the best video in TH-cam
The most knowledge perso
Glad to hear that. Thanks a ton for liking my work
Easy explanation..excellent
Thanks a lot 😊
Very simple, to the point and yet so informative videos that embraces the fact that simple boring investing is the best investing.
Thank you very much, Ishan ji. Yes, I'm reminded of an old Zen master quote: "I have just three things to teach -- Simplicity, Patience and Compassion. These three are your greatest treasures"
An excellent session again.
Glad you enjoyed it
Super technique sir. Thank you
Most welcome!
Thank you for the knowledge shared
My pleasure. Glad you liked it
Thank Sir.. Awesome as usual.
Thank you very much!
I must say you did technical analysis much much better than so called "technical experts"
I always do investing based on fundamentals analysis but will use this tools for entry and exist for some extra gain.
Thanks. I'm still learning so there might be implementation gaps. Please use this video conceptually to further your own understanding
Great content...Thank you
Most welcome! 🙌
GREAT VIDEO SIR, IAM VERY IMPRESSED...THANKING YOU
Thank you very much
You explain things very easily. Thank you ❤
You’re welcome 😊
Great strategy indeed
Glad you found it useful
A++ video. I really want to invest in NVDA but doing the math, it is 42% above the 50 day moving average. If I put my money in right now and it has a healthy pullback to the line... I will lose a lot of money and would have to bag hold until NVDA goes up 42% again just to break even. They might not even reach this high again.
Excellent explanation. Please make more video about technical indicators. I am a long term investor, but it helps to plan entry and levels for averaging.
Thanks for the suggestion. Glad you liked it
great learning for beginners. Thank you.
Glad it was helpful!
👌!! Great Work!! Thanks for the Knowledge👍
My pleasure
Another excellent video Shankar, as always!! You’re just awesome!! Why don’t you do series of videos on Futures & Options with advantages and drawbacks followed by how one can hedge their stock portfolio using options? Perhaps it’s also worth discussing of Stock lending processes especially for people who’ve been investing for several years and accumulating great businesses for their future. Cheers.
Thanks again!
Thanks!
1. I don't understand F&O so I'll keep away from it for now
2. There's already a video on SLBM on the channel
Shankar sir the way you explain and the research you do based on previous years just one word AWESOME please don't stop these videos these are very helpful 😊
Thank you!
Was hoping for this explanation after watching the video on Dolly Khanna. Thanks
My pleasure! The follow-up made sense
Thank you for such a clear and data backed video. It does give an insight on how to patiently do stock investing if at all interested.
You are most welcome. Glad it was helpful!
Amazing Video Sir 👏🏻
Thanks a ton 🙌
Amazingly explained and well executed video 👍
Thanks a ton! Glad you liked it
Excellent explanation of how the 50 Moving Average works.
Glad it was helpful! Thanks
Very informative...thanks so much Shankar sir... 👏🏻
Always welcome. Glad you liked it 🙌
Thanks for sharing ❤
You are so welcome
Dear SN, as usual an excellent analysis with nice supportive data. You explain it so well.
Thanks a lot ❤
My pleasure! So nice of you 🙌
Great content 💯
Thanks! Appreciate it
WELL ARTICULATED AND RESEARCHED ,
Thank you!
Sheer excellence on your part ❤. Simple yet powerful as always.
Thank you so much. I'm glad you found it useful.
I'll surely use it sir, thanks amazing as always 😃
Yes, please try and share your experience. Glad you liked the video!
@@shankarnath sure sir
Thanks!
Thank you vey much, Bikash ji for your kind appreciation and for this nice gratuity. The topic on moving averages was a bit new for me and that's because many of us didnt want to understand it. We think it is some difficult concept but by breaking it down to understandable parts, my retention & therefore the usefulness of it came to light. This can certainly be one of the tools in our investing toolkit
Shankar's view point is a game changer. Exit conditions are clean and clear.
Glad you found it useful 🙌
thank u sir for ur wisdom shareing,.
You're most welcome 🙌
Dear Shankar Nath, Such a fantastic stock picking (One of the criteria) tips found in this session.
Here I found few stocks which applied the rule 20 SMA crossing 200 SMA from below in the screener list.
Aavas, Vinati Org, Gujarat Floro, Deepak Fertiliser.
I understand need to check fundamental and other aspect. Thanks a lot sir..for quick stock pick
Glad you found it useful!
Thanks for the great content, Shankar sir
My pleasure 🙌
I do understand MA very well. The way You and Kunal analysed 50 DMA is commendable. I think things are always very simple but we make it complicated.
Glad you found it informative and useful. Pls do share it with others who are keen to understand moving averages but feel a little confused.
Good analysis Kunal and Shankar!!
Thank you very much!
Thank you 😊
Excellent articulation of long waited explanations
Glad you liked it
Superb explanation! ❤
Thanks a lot 😊
A very useful video I believe, best part is the percentage difference between 50 and 200 DMA
Glad it was helpful!
Good & Useful information Video 📸
Thank you very much 🙌
Good lessons from your videos
Glad you like them!
Thank you
You're most welcome
Great explanation..
Glad you liked it
If given an option, i want to give 1k likes myself. Thank you shankar sir. I wish to know more about you, in what setup you grew, what education, when you started thinking of finance and more. If you were to write a book, i will be first buyer 😊 You are my guru dronacharya. I wish i could meet you some day. THANK YOU SIR
Thank you for your continous patronage, Dheeraj ji. There's an interview I did with Neeraj on Groww's Market ki Baat that'll answer a few of your questions. Watch at leisure: th-cam.com/video/KFMssEZe4O4/w-d-xo.html
The interview is in Hindi
the undisputedly best channel for investment learning and stock markets.. totally no nonsense and unbiased approach to explain concepts.. main ek hi din mein bande ka JABRA FAN ban gaya hoon..
Thank you
Appreciate the knowledge shared..I have also just started reading "The Intelligent Investor" which was kept near you in the video and it makes me happy that I am on right path 😊
Thanks for the appreciation
Really excellent 👌
Thanks a lot 😊
Thank you Sir
Most welcome
Great video
Thanks!
Good video❤
Thanks 🙌
Well explained
Thanks
Great session and simple tool for investors to accumulate more during value zone..🎉
As many have already pointed out, 50ma on monthly chart will be other extreme ( very little value zone). Daily or weekly chatt will be ideal I guess...
We will wait ...
Thank you very much! I've requested Kunal to help us out with his views; he'll respond once he's back from his annual leave
There is no set formula, but it is advisable to use higher day moving average on a higher time frame as it will consider larger set of candles for average
Very useful
Thanks
Excellent as always 👍🏻
Thank you so much 😀
Great video as always 👏
Just curious about what will happen if we apply a slightly different strategy:
Add/average down when the price starts going below the 50 DMA and start selling in increments when it crosses the 50 DMA level. Won't this allow a better way of averaging the price and increase returns?
Thanks. Curiosity is always good .. if you try it out yourself, please do publish the results here for the benefit of all. Perhaps you can try it for any one stock and the index over different time periods.
Loved it.
Would love to hear your thoughts on which DMA is more suited for which style of investing. Eg. Is 50 DMA a more suitable indicator (for buy or sell) for a 3-5 month swing trader, as compared to a 200 DMA being more suitable for a buy and hold (long term) kind of strategy?
Thanks! The 200 DMA is definitely a more long-term indicator as compared to 50 DMA. This video is not a play on style of investing though; all the research I've done points out to having more tools in one's kit (swiss army knife from the Mental Models video) and understanding the basis technical analysis bit is certainly a part of it
@shankarnath Noted. Again,
thank you for the informative videos :)
that's something really real, makes a lot of sense.
Glad you found it useful
Nice
Good analysis
Thanks!
Great insight to use moving average. Even one can use this concept in futures (with risk management) to generate exponential returns, like I'm doing for the last 2 years. Thanks sir you provided something new to your subscribers.
Most welcome
sandeep bhai how are you using it, can you pls give an example
I use 40 as it also doubles up as 200 dma on the weekly chart
Beautiful explanation
Glad you like it!
Wonderfully explained with nice graphics. So it is better to use 'Day' chart interval for 50 DMA ? That is what I noticed from your graphs.
Thanks for the suggestion
Thanks a lot for this great explanation sir. I am new to the world of investing and since a week started following your videos. Do you have any videos of yours from where I can start learning the basics?
And also, can I only rely on this moving average method to start investing in stocks (completely from beginner perspective), or do I need to check any other factors before finalizing a stock to invest in?
Thanks in advance sir. Much love to you
Hello Gowtham, welcome to my channel.
1. My videos are not a series; these go one topic to another so there is no start point. Maybe when I have a course, the structure will be more defined
2. Moving averages is just one of dozens of factors one must use before closing in on an investment. In a recent video on Mental Models, I explained this using the "swiss army knife" anology. May I suggest you watch all my videos over the coming few weeks and revisit this question. I'm certain this part will be clearer & you won't need me to answer it.
Wishing you the best,
@@shankarnath Thanks a lot sir. Will go through the other videos as well.
Excellent sir, can you pls make a same video on sector specific.
Thanks for the suggestion
Thanks Gurudev, Golden crossover strategy is really great for both traders and investors.
Great video. Please also create videos on RSI, Price Volume action and other important Technical Analysis indicators etc..
Thanks for the suggestion
Shankar ji, why does 50 DMA or 200 DMA change when one looks at 1 yr vs 5 yr vs All time view? in fact the golden cross dates also change depending on how much past view one is seeing. which one is correct to take as reference?
very nice...
Thanks
Awesome Content Shankar Sir...........
Please come up with a video on "LAZY PORTFOLIO" in Indian Context................
It will be very helpful to deploy a lumpsum amount across different asset classes and consistently beat inflation all time..........
Thanking You in Advance..................
Thanks for the suggestion
Thanks. Should we look at 50 DMA in weekly, monthly or daily closing basis.
I looked at it on monthly basis for long-duration charts (25 years). For more recent durations, I even went daily. I have to admit, I'm very new to this .. perhaps Kunal can answer this better. He's taking a break, will rejoin work after 3 days .. please allow until then.
same doubt.plz advice
Depends for how long you are planning to hold the trade.
If you are planning to hold a stock for say 1-3 months, you can plot it on a weekly time frame
If you are planning yo hold it for a few days to a few weeks, then you can plot it on daily timeframe.
So, time frame depends upon trading style.
Please make a video on fundamental analysis for beginners. :")
Thanks for the suggestion
What should be the Candle chart..1 day, weekly or monthly ??
I don't normally write comments. But this one is GEM 💎
Thanks, glad you liked it. Curious to know - why not write a comment if a video is praise-worthy? An appreciation comment motivates the creator to create good content.
@@shankarnath Like to keep my bar high for something truly praiseworthy.
@@TheHarveySpectre Good to know 🙌
In a bill market typically the stock.prices trade way above 50.DMA... would you also explore the turtle strategy of 20 and 50/55 DmA and let us know if that works better?
I'll leave this for Kunal to answer. I'm a beginner here .. still learning. I think Kunal is occupied somewhere else for the weekend, please allow him some time to get back to you on this
Any strategy works in the market as long as you have backtested it yourself and have implemented in different market scenarios to know the outcome
Hi Shankar! Thanks for the video!Can we next look at which other indicators work best with the DMA?
Thanks for the suggestion
so if using 50 EMA, what should be interval ? 1 month or 1 day ? because then the entry point changes accordingly.
Hi, great video. How to measure or know or calculate if stock climbs more than 5% above the 50-day?Thanks
Thanks. Most stock broking platforms and screening applications allow access to this information.
Very useful video, if the stock prices goes below the 50 EMA, Then is it sure that the stock price will fall or else is there any chances of bouncing back from below the 50 EMA
Thanks!
Which tool should I use for do such analysis?
Where do you get the dma data ?
If we are looking for the 50 DMA then we become a trader. Is it correct for the long-term investors?
Learn something new today.
I was doing 20 MA and 50 MA and sometime 200 MA for big confirmation.
Today 50 MA and 200 MA is different approach i think It works mainly for longer Trade 1 or 2 year with muxh safer way. Hope i am right Shankar ji.
One question: for individual stock which one to apply Daily, weekly or monthly candle chart for MA??
Glad you found it informative and useful. The golden crossover is a very common strategy used esp. by long-term investors. For individual stocks, depending on the strategy you can use daily, weekly or monthly or some variation of that. There is no general rule, may I request to read up more about it. I am not really the best person to comment on this as I too am just learning.
🎉🎉
Dear Sir,
Should I be using 50 day etc SMA or EMA? I am a newbie please excuse the delayed question and maybe how dumb it may sound.Thanks.You are an awesome, knowledgeable teacher.Regards.
Hi, I can't be sure as technical analysis is not my strong suit. It's better if you do some research on the Internet and search for answers
So should we buy stocks when stock comes below 50 DMA ?
Ofcourse, this should be used in conjunction with some other metrics also but yes there is a possibility that if a price closes above its 50 day moving average specially after a large fall, then price can give you a good entry point
Excellent ! Is a website / platform which provides listing of stocks where the price is above 50 DMA / Golden crossover stage ? Please advise
Pls try screener.in
At 11:09 you showed a chart indicating the gap between 200 DMA and Nifty 50. Have couple of questions
1. Can we compare 200DMA and price of any stock instead of Nifty 50 ?
2. Is there any indicator that you used to find the difference in the percentage or is it a manual calculation ?
I'm don't understand technical indicators much, this itself was a beginners video. However to answer your queries:
1. Yes, you can use it for stocks & many people do that
2. I did it manually
Hi Shankar . can i request you a video on Hull Suite Indicator
Thanks for the suggestion
Mr Shankar. Could you plz do a video on RBI Direct Retail. The pros n cons
Thanks for the suggestion
I will be testing in my blue chip stock portfolio for next 5 years and let you know the results. I think we can make good returns if we mix this up with SIP. Like if we invest 10k every month in a stock portfolio and 50k lumpsum in entry points for 50 DMA, this will give us awesome returns. Need to check this strategy in next 5 years.
Pls do. All the best!