How I Earned My First 1 Crore - Vivek Singhal | How To Make Money In Stock Market

Trading With Vivek

26 Sept 202009:41

Summary

TLDRIn this video, Vivek Singhal from Trading Big shares his journey into stock market investing, drawing parallels with his childhood experiences in his family’s wheat trading business. He explains how buying quality stocks during low periods, much like purchasing wheat during off-seasons, can yield high returns when the market rises. Vivek emphasizes patience, avoiding daily trading, and replicating simple investment strategies for long-term success. He also encourages viewers to subscribe, as he regularly shares personal insights on financial growth and stock market strategies.

Takeaways

😀 The speaker, Vivek Singhal from TradingQuotient.com, is sharing personal experiences rather than discussing current market trends.
🌟 He emphasizes the importance of subscribing to his channel and engaging with the content by liking and sharing videos.
📈 Vivek discusses his journey from a childhood business of buying and selling wheat, which taught him the principles of supply and demand.
📉 He explains how he applied the lessons from his wheat trading to the stock market, focusing on quality and timing of investments.
💼 Vivek mentions his transition from a job to full-time trading, highlighting the importance of patience and learning from the market.
💹 He stresses the significance of diversification in the stock market, mentioning various sectors like banking, IT, and energy, and how they perform differently.
🔄 The speaker shares his strategy of buying stocks at the right time and holding them until the market conditions are favorable for selling.
📊 Vivek talks about the importance of not just trading but also investing in quality companies for long-term gains.
📱 He offers contact options for those who have personal queries, including WhatsApp, email, and social media platforms like LinkedIn.
❤️ He concludes by reiterating the value of his personal learnings and the importance of subscribing to his channel for more insights.

Q & A

What is the main topic of Vivek Singhal's video?
-The main topic of Vivek Singhal's video is how he made his first earnings from the stock market, drawing parallels between stock market trading and his family's wheat business.
How does Vivek relate his family’s wheat business to stock market trading?
-Vivek relates his family’s wheat business to stock market trading by explaining that just as they bought wheat at low prices during harvest and sold it later during off-season for a higher price, he follows a similar approach in the stock market by investing in quality stocks at low prices and selling when the market rises.
What investment strategy does Vivek recommend?
-Vivek recommends investing in high-quality stocks when their prices are low and holding them until the prices rise. He advises against frequent trading and instead encourages long-term investment in fundamentally strong companies.
How did Vivek begin his stock market journey?
-Vivek began his stock market journey in 2004, following his father’s business principles of buying low and selling high. His first investment was in the stock market after receiving his salary.
What was Vivek’s turning point in leaving his job?
-Vivek left his job in 2012 when his stock market earnings matched his salary. He realized that he could make equivalent or better money from investments, which gave him the confidence to quit his job.
What does Vivek emphasize about timing in the stock market?
-Vivek emphasizes the importance of timing in the stock market, advising to buy stocks when prices are low and wait patiently for the right time to sell, which is when the prices rise substantially.
What advice does Vivek give to those working full-time jobs who want to invest in the stock market?
-Vivek advises people with full-time jobs to avoid day trading and instead focus on long-term or swing investments. He suggests replicating his approach of purchasing stocks during low periods and selling when the market is favorable.
How does Vivek compare trading in the stock market to wheat trading?
-Vivek compares trading in the stock market to wheat trading by explaining that both require patience, selecting the right quality, and waiting for the best selling conditions. In both cases, profits come from understanding market trends and timing.
What mistakes did Vivek encounter while learning stock market trading?
-Vivek mentions that while learning stock market trading, he made mistakes during paper trading, especially with timing the entry and exit of trades. This taught him to focus on patient, calculated investments rather than impulsive decisions.
What does Vivek suggest about diversifying investments?
-Vivek suggests diversifying investments across different sectors, as various industries have fluctuating performance at different times. He gives examples like the banking sector and energy sector, which may rise or fall depending on market conditions.

Outlines

00:00

📈 Introduction to Trading and Personal Journey

In this introductory segment, Vivek Singhal welcomes the audience and mentions that he will share personal insights on how he made his first profits from the stock market. He compares it to his childhood experience in the wheat business with his father, emphasizing the importance of careful planning and market timing. The key takeaway is that success in the stock market requires patience, a lesson he learned from his family's approach to selling wheat after the off-season. He encourages viewers to subscribe to his channel for more such content.

05:00

🌾 Applying Wheat Trading Lessons to Stock Market Success

Here, Vivek continues discussing his childhood business in wheat trading, drawing parallels between the strategies his father used and how he applies those principles in the stock market. Just as they purchased high-quality wheat when supply was low, Vivek recommends buying quality stocks when prices are low and waiting for the right time to sell. He highlights the cyclical nature of both the wheat market and stock sectors, showing how patience and timing are key to maximizing profit.

Mindmap

Keywords

💡Stock Market

The stock market refers to the platform where shares of publicly listed companies are traded. In the video, the speaker shares his personal experience of earning money through the stock market, emphasizing how he applied his understanding of the market to make informed investments. He compares stock trading to his childhood experience in the wheat business, explaining how careful timing and patience are key to profiting.

💡Wheat Business

The wheat business is a recurring metaphor used by the speaker to explain how he learned about trading. He narrates how his family used to buy wheat from farmers and sell it at a higher price when supply was low. This experience shaped his understanding of buying quality stocks during low prices and holding them until the market rises, much like they did with wheat during off-season.

💡Quality Stocks

Quality stocks refer to shares of companies that are stable, reliable, and have strong fundamentals. The speaker emphasizes the importance of investing in high-quality stocks rather than speculating on volatile ones. He likens this to purchasing the best quality wheat during times of low prices, which would yield the best profit when sold later.

💡Patience in Investing

Patience is a critical concept in the video. The speaker stresses that just like in the wheat business, where they waited for months before selling, one must also wait for the right moment in the stock market to sell stocks. Timing is crucial in order to maximize profits, and rushing into selling too early can result in missed opportunities.

💡Moving Average

The moving average is a stock trading strategy that smoothens out price data to create a consistently trending line. In the video, the speaker talks about the two-day moving average and how it helps in making decisions about when to invest. He advises that careful study of stock trends helps in making well-informed purchases.

💡Swing Investment

Swing investment refers to a type of trading where an investor aims to profit from short- to medium-term stock price movements. The speaker advocates for swing investments, especially for those with regular jobs who cannot devote their time to day trading. This method allows for less active monitoring and leverages market cycles.

💡Replicating Business Strategy

Replicating business strategy means applying methods learned from one area of business to another. The speaker explains how he replicated the same strategies he learned from the wheat business to his stock market investments. The key point is using tried-and-true business methods, like buying low and selling high, across different markets.

💡Diversification

Diversification is the practice of spreading investments across various sectors to reduce risk. The speaker talks about how, unlike the wheat business that had a single focus, the stock market offers many opportunities across different sectors like banking, IT, and energy. By diversifying his investments, he minimizes the risk of loss from one failing sector.

💡Off-season Opportunities

Off-season opportunities refer to moments when a commodity or stock is undervalued due to low demand. In the wheat business, the speaker and his family would buy during the off-season when prices were low. Similarly, he encourages buying stocks when they are undervalued and holding onto them until their market price rises.

💡First Salary Investment

The first salary investment is a personal anecdote where the speaker recounts how he invested his first salary into the stock market. This marks the beginning of his journey as an investor, a pivotal moment when he moved from simply earning to actively growing his wealth. It highlights the importance of starting early in investments.

Highlights

Introduction to Vivek Singhal's journey in stock market investing.

Emphasizes the importance of subscribing to the channel and sharing the knowledge with others.

Discusses his family's wheat business and how they would purchase wheat in April and sell it in November-December for profit.

Draws parallels between wheat trading and stock market investing, emphasizing buying only with available funds.

Vivek explains his first investment in the stock market in 2004, replicating strategies learned from wheat trading.

He highlights the importance of investing in high-quality stocks during off-seasons when prices are low.

Mentions the opportunity to invest in various sectors like banking, IT, energy when they are down.

Vivek shares his experience of quitting his job in 2012 after accumulating ₹70 lakh through stock market investing.

Compares stock market opportunities to the wheat business, noting that the stock market has more diverse options available all year round.

Encourages viewers to focus on swing investments and long-term gains rather than day trading.

Stresses the need for patience and waiting for the right entry points in the market.

Recommends replicating his method of purchasing stocks when the sector is down and selling when the price is high.

Vivek highlights how 2012 marked a turning point in his financial journey, making stock market gains equivalent to his salary.

Encourages individuals in regular jobs to adopt investment strategies that align with their financial goals.

Emphasizes continuous learning, proper timing, and patience as key aspects of success in stock market investing.