MALU PAPER MILLS LIMITED

36.9 -0.1 (-0.27%) Sell

Stop-loss on the minds of MALUPAPER investors as it ranked worse than it's peers

13 min read

MALU PAPER MILLS LIMITED ranked worse than it's peers today. It fell by -0.27% to close at 36.9. During the last week it fell by -0.67% and saw a maximum drawdown of -2.15% before bouncing back.

[Themes containing MALUPAPER]

Buy-and-Hold investors in MALUPAPER experienced a maximum drawdown of -20.98% over the last three months. It fell by -7.05% during this bearish trending period. There were no long signals during this period, where the short signal generated good profits of +7.05% for investors.

Trend

MALUPAPER has been underperforming the NIFTY-50 index in recent time. It showed significant outperformance (compared to the NIFTY-50 index) from 18 Mar, 2016 to 12 Dec, 2017. Over the last 3 years and 1 month, MALUPAPER outperformed the NIFTY-50 index on 45% days. Which indicates that on days MALUPAPER outperforms the NIFTY-50 index, it's performance is marginally better than on the days it underperforms the NIFTY-50 index.

During the last three months MALUPAPER was mostly loss making and delivered on average -0.08% per day. It's best return during this period (of +8.12%) was on Monday, 29 Oct, 2018. While it's worst loss in the same period (of -9.57%) was on Friday, 16 Nov, 2018. The longest stort-term trend during this period was 6 losing days, which started on 9 Nov, 2018 and ended on 16 Nov, 2018. This bearish trend lost -11.87% of investor capital.

During the last year MALUPAPER had 4 profitable months and 8 loss making months. MALUPAPER returned profits in fewer months than NIFTY-50 index. MALUPAPER significantly outperformed NIFTY-50 index in Apr 2018, when it returned +36.74% compared to +6.56% returned by NIFTY-50 index during it's best month in the last one year - Jul 2018. MALUPAPER had a longer winning streak of losing months than NIFTY-50 index. It went down in 4 straight months (from Oct 2018 to Jan 2019) during which period it delivered -20.52%. It is interesting to note that both MALUPAPER and NIFTY-50 index significantly outperform during months when quarterly/annual results are announced.

The studios don't finance anymore, they get outside funds.
-- Robert Rodriguez

MALUPAPER is currently seeing overall fall in volatility. In comparison, the NIFTY-50 index is seeing decrease in volatility. During the last three months, there was a significant fall in MALUPAPER's volatility from 23 Oct, 2018 to 24 Dec, 2018. While there was a significant fall in the NIFTY-50 index's volatility from 31 Oct, 2018 to 5 Dec, 2018.

Advanced/professional short-term investors should note that MALUPAPER has negative skewness in it's return distribution. This indicates that investors may need to stay invested through long periods of drawdown before expecting a recovery.

MALUPAPER has more chance of extreme outcomes than the NIFTY-50 index. Therefore, MALUPAPER must receive a lower allocation than NIFTY-50 in your portfolio. NIFTY-50 index usually has shorter drawdown period than MALUPAPER.

On a general note (since you are interested in MALUPAPER), two instruments that deserve special mention are ~CHEMICALS and BRITANNIA. They have significantly outperformed the overall market.

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