#VGM Case Study & Home Work – Tata Elxsi

Nishshkumar Jaani,CFTe

A clear example of why Rotation & Trend Alignment matter.

In the past, Tata Elxsi was a running DTB stock on the RS (Relative Strength) + VGM setup.

With RS above MAST and price above DBS, the stock continued its trend and rallied towards ₹10,000 with remarkable simplicity.

But once the #VGM structure turned bearish

• RS slipped below MAST
• DBS triggered on price
• Momentum & strength shifted away

The same “hot” stock gradually became a forgotten one — almost halving from its peak.

Key Lesson

It’s not about falling in love with a stock.
It’s about staying aligned with the trend and strength.
Even great businesses go through phases.

Your edge comes from:

Staying with Rising RS + Bullish VGM setups
Exiting when the trend structure reverses

Homework for you

Pick your:

• Favourite stocks
• Mutual fund holdings
• HNI portfolio names

And check: How historically they have done on VGM and Price

You will gain clarity on rotation and understand where to stay invested.

Nishesh Jani,CFTe

#VGM #RelativeStrength #MomentumInvesting #TrendFollowing #SmartRotation #nisheshjani #AhmedabadNest

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