Question to you? How do you find next Multibagger stock. Simple! Find the characteristics of major winners of the past and look for similarities. Easy isn’t it, not actually. So let me share my journey of finding good quality stocks for swing trading (Investing for few weeks to few months).
The Journey started with a Book
I like to read books and every time I read a book on trading, there used to be a mention of “Market Wizards” by the author or the trader. I picked up this book and started reading. I thought this book will quench my thirst of finding holy grail and I was not at all disappointed. Being a technical trader, I skipped a few interviews of Fundamental investors in the book. Some how started reading about William O’Neil. I read his interview in the book and it made a lot of sense.
I started to look for more knowledge and that brought me to “How to make Money in Stock” by William O’Neil. Here is where I got my eureka “ahha” moment . This was what I was missing in my arsenal of trading, Techno-Funda approach. I studied the philosophy of CANSLIM. My Technical analysis believed in trend and buying at 52 Week high or all time high but during bull market, I used to get many stocks so to filter them was task that I was not able to figure out. The minute I read the book, it made sense that retail traders do not move the markets, its institutional players. They will be looking at earnings, revenue, new products, management and other factors and if we could select the stocks based on growing Fundamentals using technical patterns, it should really help.
The Software Search
Being from Fintech space and selling and supporting the financial softwares, I believe in shortening the learning curve. I started searching for a software which can provide ready made stocks fitting in CANSLIM philosophy. That search took me to Marketsmith which at that time covered only US Stocks. I was disappointed but as I believe in the philosophy of “The Secret” which tells that if you wish something very strongly, the world will conspire it to be given to you.
I came across website of Marketsmith India with no information about products and Indian markets. I was super excited and sent out a message that why don’t they start building product for Indian market and they were like they just started to work on the same. I told them that I need to be their first customer. Although not the first customer but I am among the early subscribers of Marketsmith India when the team was starting out with Monjit and Anupuam.
Enough Stories, let’s make some money
The best thing about Marketsmith India is its proven track record and they are very transparent about it.
What are the ways to find next big stocks?
- India model Portfolio : These are the stocks which are selected by Marketsmith India research team and matching the characteristics of CANSLIM. One can really find detailed analysis of the stocks in terms of growth stories, factors affecting price and fundamentals. Some of the recent featured stocks were Deepak Nitrie (26%), Coromandal (21%), Laurus lab (31%) etc.
- Growth 50 Stocks : Every Friday, growth stocks are filtered using an algorithm based on some of the characteristics of next multibagger. Some of the recent stocks featured were Mastek, Ajanta Pharma, ADF Foods.
- Marketsmith Stock Screens : This is where the software takes a new dimension and you can bring out your creativity of finding the next big thing. There are some extremely powerful stock screeners like Blue dot list, Breaking on Weekly basis, up on volume, etc. I am going to list down a few of my favorite screeners: 1. New high with Best EPS rang 2. Highest EPS and Relative Strenth 3. Weekly Breakouts
- Guru Screen : If you want to find whether your stock fits in the legendary investors criteria list. This is the place where stocks are filtered based on investing philosophies of Warren Buffet, Peter Lynch and William O’Neil.
Everything is ok, but Market Kya Lagta hain (What do you think of Market)
Marketsmith India has an inbuilt algorithm to decide the trend of the market based on market given information like Price and Volume. Based on this, they decide whether the market is uptrend, uptrend under pressure , downtrend or rally attempt. What if I tell you that they were bullish from April 1, 2020. I was damn sure that you wouldn’t believe me, so I took the screenshot.
But, what about training and Support after we buy the software?Marketsmith India aftersales support and education is unparalleled. With Mayursh Joshi joining the team the education level is taken to the next level.
Integration with Broker
Brokers have started seeing the value in the product and have integrated with Marketsmith India. Top brokers like Fyers, Zerodha, 5paise, Edelweiss, HDFC Sec, IIFL Sec, Trustline and others are in line for the integration.
What we gained from writing this review
Firstly read why was Marketscanner built. We use this tools personally and benefited from it. We know people whom we have recommended this product and they have benefited from it too. We think it may be helpful to you but you need to do your own research and and then make a decision. After all its your money.
Is it a paid review?
A BIG NO. We don’t get paid for writing any reviews. We are determined to help the budding investors and traders with the best technology available in the market. Yes, we have put in our time and effort in writing this review. So, we do expect something in return. If you read the review and plan to subscribe, use our referral link with the referral code(MSI83E01) which won’t give us money but extend our own subscription.
That’s it for today.