1 Lac turns into 22 lac in 1 yr 2 mths 6 days

[augubhai]

Augu bhai,

Trade 4, It shld be Short 5220, isn't it...?

Thanks for pointing it out. i have edited the post.

 

[niludeepak]

Instead of buying NF, one can buy option and enjoy good sleep ? what do you say...

yes options can be good bet, although i m not well versed in options.

but they say options r doubly or triply riskier than futures,
1 for time decay,
2 volatility ( which is difficult to understand, for they r 2 - volatility of the underlying and implied volatility which is volatility of the option ) and
3 picking the right direction, besides there is
4 delta, which decreases as option gets out of money and increases as option gets in the money as the underlying is undergoing a change in price, lets not remember other greeks.

all this is enough for me to confuse out from the option marketplace.

requesting u to pl. elaborate how we can find our ways in the confusing domain of options.

thanx in adv.

 

[jain.er]

1. Time Decay will hurt for sure, but I guess some amt. of profit is sacrificable for a good sleep
2. Volatility can work both to benefit and disadvantage.
3.Right direction is need in any trade almost
4. Delta hmm.. I do nt know how exactly it will impact

My main worry is Time decay

 

[niludeepak]

1. Time Decay will hurt for sure, but I guess some amt. of profit is sacrificable for a good sleep
2. Volatility can work both to benefit and disadvantage.
3.Right direction is need in any trade almost
4. Delta hmm.. I do nt know how exactly it will impact

My main worry is Time decay

with ur help and with the help of other seniors i need to work out a way to use buy sell signals to buy call and put,or sell put and calls or find out when to go for spreads, straddle or strangle, usse jyadaupar butterfly aur condor etc abhi nahin, willu lend a helping hand ? by simply telling us as what do u look for or when do u go for which option or what combination of them.

about volatility i can add that when volatility is high premium is high and we can go for selling options, and
when volatility is low it means premium is low means options r cheap and we can go for buying options, but
i have not been able to materialise all these into a strategy, and also have not worked out how to gauge volatility and which time frame to use etc., so need ur help.

 

[Karanm]

((due to editing done comments by jyotixxx came before my post, hahahaha!!!!))

i've downloaded data from 15/11/2007 to 30/12/2011, and it was in other format than which i had so i didn't combine them, and kept the new data in another data base and did testing on the data.

the data has some errors, i think, like on 18/5/09 it has only one data line of 11.55 and it has gapped above prv close. but still for working out my doubts regarding the long term profitability of this system, i did some more testing on some old and bad period data.

this time i did testing differently by not putting back all the profits back into the system

this way of testing with initial capital of 15000 (no trades be missed if we lose simultaneously), on 10% margin, so that only 1 minifty can be bought, or 2 lots during the period when it came very low, and no investing back the profits,

1. the profits during the period 1.4.11 - 6.7.12 was 526%
this was my initial backtesting result, with only 1 mini, which i wanted to work out my doubts about its long term profitability,

2. jan 08 - dec 08 profits were 360.41%

3. jan 09 - dec 09 profits were 332.09%

4. i didn't understand why the system traded only 10 trades in 2010, whereas in the charts lot of trades have occured (see next post )

5. jan 11 - dec 11 profits were 236%

6. composite period (my new data period) from 15.11.07 - 30.12.11 (4 years) gave profits of 918.28%

this has removed the doubts regarding the profitability of this system and now ' aankh mund ke khel sakte hain '.

more ideas r requested from seniors and newcomers, to improve during the whipsaws, i ve tried a lot but not finding a better way.

Thanks for all your efforts.
Kindly post if possible the performance files in Points as you had posted earlier file and not in percentage.

Thanks & Regards

 

[niludeepak]

in the morning

 

[sumosanammain]

Just to bring to your notice, the difference between spot and futures has just shattered the calculations of ankits system. So dont take it lightly.

 

[niludeepak]

Just to bring to your notice, the difference between spot and futures has just shattered the calculations of ankits system. So dont take it lightly.

i wud like to know more about the same, will u pl. direct me to his thread, posts ?
thanxs

 

[sumosanammain]

http://www.traderji.com/advanced-tr...ays-winning-20-trade-nifty-futures-bac-4.html


1 or 2 pages back in the thread

 

[niludeepak]

final figures