Nina’s Momentum Journey: Navigating the NIFTY 750
Nina, a 28-year-old tech enthusiast with a keen interest in the stock market, was always on the lookout for new investment strategies. She had been following traditional investing for years, but now, she wanted to explore something more dynamic—momentum investing. Her risk appetite was high, and her goal was clear: grow her wealth aggressively in the next decade.
After some research, Nina stumbled upon the NIFTY 750 index. Comprising 750 of the top listed companies across large, mid, small, and micro-cap stocks, the NIFTY 750 offered Nina a chance to diversify her investments while focusing on high-growth opportunities. This diverse mix of market caps made it ideal for someone like her, eager to take calculated risks for potentially higher returns.
Momentum investing, Nina discovered, was about capitalizing on stocks showing strong upward trends over specific periods, from one week to one year. By analyzing historical data, she could pinpoint stocks with rising prices, solid trading volumes, and positive market sentiment. The goal was simple: identify the top performers and ride their growth wave.
Every Friday evening, Nina would eagerly check the momentum scores of stocks in the NIFTY 750, a system that ranked them based on price trends, relative strength, and volume activity. These weekly updates allowed her to stay on top of the market’s pulse and make informed decisions. She didn’t just want to pick winners; she wanted to be agile, adapting her portfolio every week to reflect the strongest opportunities.
Nina structured her portfolio with a balanced approach: 40% large-cap stocks, 30% mid-cap stocks, 20% small-caps, and 10% micro-caps. She knew that large-caps provided stability while small and micro-caps held the potential for explosive growth. By diversifying across market caps, she hoped to reduce risk while maximizing returns.
A critical component of Nina’s strategy was risk management. She applied a strict 10% stop-loss rule to each stock, ensuring that any significant drop in price would trigger an automatic sale, protecting her from larger losses. For example, if a stock dropped from ₹100 to ₹90, it would be sold without hesitation. This discipline helped her avoid emotional trading and kept her focused on the bigger picture.
As Nina’s portfolio grew, so did her understanding of the market. She encountered challenges, particularly with small-cap and micro-cap stocks, which were more volatile. However, her diversified approach and risk management strategy shielded her from major setbacks. She also dealt with short-term corrections, but sticking to her stop-loss rule allowed her to exit positions before losses accumulated.
The process was not without effort. Nina actively monitored her portfolio, often using screening tools and portfolio management apps to track performance and adjust her holdings. Automated alerts notified her of price changes, helping her act quickly when a stock met her criteria or hit her stop-loss limit.
Years went by, and Nina's momentum-based investing in the NIFTY 750 paid off. By remaining disciplined, leveraging technology, and consistently adapting to market conditions, she had successfully navigated the dynamic world of momentum investing. Nina’s story was one of active engagement, strategic risk-taking, and, most importantly, growth—proving that with the right tools and mindset, young investors could thrive in the fast-paced world of stock markets.
Top 10 Stocks list on 01-01-2025 . next update on 10/01/2025
Company Name | CMP (₹) | Stop Loss (₹) | REMARKS |
Greaves Cotton (6) | 277.45 | 249.71 | |
PG Electroplast Ltd (12) | 980.60 | 882.54 | |
Zen Technologies Ltd (8) | 2,445.65 | 2,201.09 | |
Dhani Services Ltd (10) | 93.90 | 84.51 | |
Garware Hi-Tech Films Ltd (8) | 5,007.95 | 4,507.16 | |
Car Trade (6) | 1,485.70 | 1,337.13 | |
KFIN TECH (8) | 1,537.25 | 1,383.53 | |
Ganesh Housing Corp. (6) | 1,258.90 | 1,133.01 | |
MOTILAL OSWAL FINANCE (5) | 953.80 | 858.42 | |
Avalon (6) | 964.00 | 867.60 |
Waiting List table :
Company Name | CMP (₹) | Stop Loss (₹) |
Supriya | 756.00 | 680.40 |
Choice International | 554.00 | 498.60 |
Optiemus | 720.00 | 648.00 |
Note: This list is for learning purposes only and not an investment recommendation.
Comments