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Short term stock trading indicators
Vide this judgment, I shall dispose of the suit for recovery of Rs. It is further submitted that the defendant entered into an agreement dt. It is further submitted that during the trading activities the defendant used to buy and sell securities through the plaintiff. As per statements of account a balance amount of Rs. It is further submitted that the despite several demand made by the plaintiff, the defendant did not pay the outstanding amount.
Hence this suit is filed. On the other hand the defendant in his written statement has contended that the plaintiff has not valued the suit for the purpose of court fee and jurisdiction. The plaintiff has dragged the defendant in the vexatious litigation and the allegations made in the plaint are false to his own fabricated knowledge. It is further Suit No. As per the statement of account dt. However, the plaintiff has sent a legal notice dt.
A demand letter dt. The defendant again received a letter in the month of October , and at one side of the statement the closing balance on dt. Further the defendant denied all the allegations of Suit No. From the pleading of the parties following issue were framed vide order dt. To prove his case the plaintiff has examined Sh. Manoj Kumar as PW1.
PW1 has filed his evidence by way of affidavit Ex. On the other hand the defendant has examined himself as DW1 and filed his evidence by way of affidavit Ex. In his affidavit in evidence the DW1 has reiterated the facts mentioned in the written statement and relied upon the following documents: I have heard Ld. OPD The burden to prove this issue was on the defendant but the defendant has neither led any evidence in this regard nor otherwise proved this issue.
Accordingly, this issue is decided in favour of the plaintiff and against the defendant. The said witness has duly proved the authority letter and Board Resolution is Ex.
He also proved Statements of account is Ex. And the Copy of legal notice is Ex. As per the statement of account Ex. The defendant examined himself as DW1 and while denying the case of the plaintiff in totality, deposed that the statement of account Ex. Thus, the question of recovery of Rs. Also, as per the statement of account for the period December the closing balance was Rs. As per the statement of account for the period October the closing balance was Rs.
On perusal of Ex. Nothing has been brought on record by the defendant to show that he ever raised objections regarding the statement of account as alleged by the defendant.
At this juncture it would be worthwhile to discuss the concept of DEMAT system for dealing in shares and securities. India adopted Suit No. After the introduction of the depository system by the Depository Act of , the process for sales, purchases and transfers of shares became significantly easier and most of the risks associated with paper certificates were mitigated. There are two types of accounts, one is a trading account and the other is a demat account.
An account similar to a traditional bank account, holding cash and securities, and is administered by an investment dealer is a trading account. A trading account is an account which contains, " in summarized form, all the transactions, occurring, throughout the trading period, in commodities in which he deals" and which gives the gross trading result.
In short, trading account is the account which is prepared to determine the gross profit or the gross loss of a trader.
In a 'demat account' ,shares and securities are held electronically instead of the investor taking physical possession of certificates. The demat account number is Suit No. Every shareholder will have a demat account for the purpose of transacting shares. Demat accounts are where your shares equity, mutual etc which you purchase of different companies are held in dematerialised format in simple words you can say in electronic format.
You can convert your physical shares into demat and vice versa through your demat account. Now if you wish to trade i. Demat account is like a Savings account.
Difference is you save money in Savings account, whereas you save your shares in demat account in Electronic form. You need online trading account in addition to demat account. After transacting, if you take delivery of shares, then they will go into your demat account. Demat account is a holding account and not a transacting account.
A Depository Suit No. A DP is typically a financial organization like a bank, broker, financial institution, or custodian acting as an agent of the depository to make its services available to the investors.
In the instant case, the plaintiff is a depository participant. This fact is also reflected from the demand letter Ex. Thus, clearly, the defendant has failed to prove the said documents Ex.
In view of the foregoing discussion, the plaintiff has proved its case. The plaintiff is entitled to recovery of Rs. Thus, this issue is decided in favour of the plaintiff and against the defendant. This issue is decided accordingly. Relief Hence a decree, for the recovery of Rs.
Cost of the suit is also awarded to the plaintiff. Decree sheet be prepared accordingly. File be consigned to Record Room after due compliance.