Share market & The art of money making

Do the average first,buying next! (3)

  The most of the people who buy a scrip and then they do price averaging
by buying more quantity,when the price of the scrip comes down below their
cost price. Instead of this, think laterally and first do the 'averaging'
and then 'buy' the scrip.
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  ie.,when you want to buy a particular scrip, do not hurry in buying the
scrip.Just watch the scrip,when its price comes 10% down,buy a small
quantity. One important thing is the selected scrip should not be in bear
mode.ie.,it should fall in pricing.Due to some reason it may oscillate in
trading.So if you want to buy a particular scrip at a price of Rs 200 means,
just watch,when its price comes down to Rs 180 means buy 25 quantity and keep it
safely.Do not trade.Then it may move up.After some time,when it falls 10%,buy
another 25 quantity.Like that do the same to accumulate 100 quantity.Now your
scrip will be at your demat a/c in a pre-averaged price.This is a best practice.
Go ahead.