TAINWALA CHEMICAL AND PLA

69.0 -0.45 (-0.65%) Sell

TAINWALCHM investors doing a reality check

13 min read

TAINWALA CHEMICAL AND PLA ranked worse than it's peers on Wednesday. It lost -0.65% to close at 69.0. It is currently trading -48% below it's 52 week high of 134.75.

[Themes containing TAINWALCHM]

Buy-and-Hold investors in TAINWALCHM experienced a maximum drawdown of -24.45% over the last three months. It lost -11.08% during this strong down trending period. There were no long signals during this period, where the short signal generated good profits of +11.08% for investors.

Trend

TAINWALCHM has been underperforming the NIFTY-50 index in recent time, after having outperformed till 20 Sep, 2017. Over the last 3 years and 1 month, TAINWALCHM outperformed the NIFTY-50 index on 46% days. Which indicates that on days TAINWALCHM 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 TAINWALCHM was mostly loss making and delivered on average -0.15% per day. It's best return during this period (of +7.92%) was on Wednesday, 5 Dec, 2018. While it's worst loss in the same period (of -11.88%) was on Friday, 30 Nov, 2018. There was initially a bullish trend during this period which started on 31 Oct, 2018 and went on till 5 Nov, 2018. The bullish trend returned +10.27% to investors. This was followed by a bearish trend that started on 27 Nov, 2018 and ended on 30 Nov, 2018. This bearish trend lost -15.29% of investor capital.

TAINWALCHM had 4 profitable and 8 loss making months over the last year. During the last year, number of profitable months of TAINWALCHM and NIFTY-50 index were the same. TAINWALCHM was also a more risky investment than NIFTY-50 index as it's worst month in the last year, Jun 2018, returned -31.92% compared to -6.42% returned by NIFTY-50 index in Sep 2018. TAINWALCHM had a longer winning streak of losing months than NIFTY-50 index. It went down in 3 straight months (from Sep 2018 to Nov 2018) during which period it delivered -22.46%. It is interesting to note that both TAINWALCHM and NIFTY-50 index significantly outperform during months when quarterly/annual results are announced.

"I finally know what distinguishes man from the other beasts: financial worries.

TAINWALCHM is becoming less volatile overall. In comparison, the NIFTY-50 index is seeing a fall in volatility. During the last three months, there was a significant fall in TAINWALCHM's volatility from 25 Oct, 2018 to 10 Jan, 2019. While there was a significant fall in the NIFTY-50 index's volatility from 31 Oct, 2018 to 20 Dec, 2018.

Advanced/professional short-term investors should note that TAINWALCHM has significant negative skewness in it's return distribution. This indicates that TAINWALCHM is very risky for short-term investment and can significantly underperform for long durations.

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

On a general note (since you are interested in TAINWALCHM), ~MUTHOOTGRP has performed really well and deserves to be closely tracked for investment opportunities.

Want to improve your Portfolio's performance?

Spotalpha's Portfolio optimizer is all you need to improve your returns and reduce your risk.
Optimize Portfolio NOW
If you liked what you read here ...

... we have a small favour to ask. Help us bring the power of algorithmic trading strategies to individual investors.

All content in this article was automatically generated by algorithms. This ensures that there are no human biases in the analysis provided. This approach to investing is not new and has been around for more than three decades. Yet, it has been available to only the most affluent or elite investors leaving individual investors to trade on emotions (such as fear and greed), intuition and poor analysis from third-parties. We want to change this.

We want to empower investors with all the tools and analysis required by them to make a rational investment decision.

If you found Spotalpha useful, consider making a contribution. For as little as $5 you can support our efforts and it takes less than a minute. Thank you. Contribute
Share with friends   WhatsApp   Facebook   Twitter