1 lakh to 652 lakhs in 497 trading days - Winning 20% of Trade in NIFTY Futures - Bac

[prabhsingh]

Re: 1 lakh to 652 lakhs in 497 trading days - Winning 20% of Trade in NIFTY Futures -

On Monday we might see Nifty touching 5976 levels post that there would be a rally towards 6087 levels.Nifty SPOT is forming ending diagonal pattern and there are 2 small legs pending.

 

[prabhsingh]

Re: 1 lakh to 652 lakhs in 497 trading days - Winning 20% of Trade in NIFTY Futures -

Let me try to make some stock specific projection.Have a look at the below IDBI chart.

http://imageshack.us/photo/my-images/189/5rnl.jpg/

If this stock makes a low below then 66 then we can go LOW for the target of close to 50 levels.On two occasions it has reversed from 66 levels.On 27/06 and then on 18/07.Banking sector is already witnessing lots of weakness hence keep a close eye on this stock.In coming days it might go close to 75 levels but that would an opportunity to closely watch 66 levels.

 

[bablu373]

Re: 1 lakh to 652 lakhs in 497 trading days - Winning 20% of Trade in NIFTY Futures -

Is it possible to make 652 lakhs in 497 Trading days with a starting capital of 1 lakh using NIFTY Futures.

Yes theoretically it is possible.

So what is the Principle behind this strategy?

1. NIFTY is Trending only 20-25% of the time and so why always take 20 points Stoploss when 80% of the time you are going to loose. Why not take 7-10 points loss and close the trade if stoploss hit.
2. 20-25% of the time when the market is trending, NIFTY never crosses the opening price by more than 10 points. So in those cases NIFTY always gives on an average 55 points on the LONG side and 77 points on the SHORT Side.
3. 80-20 Principle. 80% of the losses comes from 20% of the trades and so 80% profit can come from 20% of the trades.
4. Why do we need to spend hours before the monitor, while we can spend maximum 30 minutes a day. (15 minutes during opening and 15 minutes during closing)

So let us say we do hundred trades.
75 trades with a loss of 10 points = 750 points loss
25 trades with a gain of 65 points = 1625 points gain
Net gain = 875 points in 100 trading days.
If you started trading with a capital of 1 lakh and 2% Risk, the profit would be Rs 1,75,000.
With pyramiding (reinvesting the profit ) it would turn to crores.

Attaching the excel sheet with the backtested results with the data of last two years for NIFTY.

Also attaching back tested result for the SBIN stock. SBIN unlike NIFTY falls in the 50:50 category. ie 50% of time is trending and 50% it is Rangebound. So it is one of the highly Trending stock. The Parameters are different for SBIN. For eg... your stoploss should be around 1% in SBIN where as for NIFTY your stoploss should not be more than 0.2%.


Will explain the strategy in detail in the next post.

Please visit the post number 839 for Latest links and Settings to be done for the Excel tools

http://www.traderji.com/advanced-tra...tml#post720252

Attaching the excel sheet with the backtested results with the data of last two years for NIFTY.

interesting but implementing is always harder..

 

[kkb123]

Re: 1 lakh to 652 lakhs in 497 trading days - Winning 20% of Trade in NIFTY Futures -

Is it possible to make 652 lakhs in 497 Trading days with a starting capital of 1 lakh using NIFTY Futures.

Yes theoretically it is possible.

So what is the Principle behind this strategy?

1. NIFTY is Trending only 20-25% of the time and so why always take 20 points Stoploss when 80% of the time you are going to loose. Why not take 7-10 points loss and close the trade if stoploss hit.
2. 20-25% of the time when the market is trending, NIFTY never crosses the opening price by more than 10 points. So in those cases NIFTY always gives on an average 55 points on the LONG side and 77 points on the SHORT Side.
3. 80-20 Principle. 80% of the losses comes from 20% of the trades and so 80% profit can come from 20% of the trades.
4. Why do we need to spend hours before the monitor, while we can spend maximum 30 minutes a day. (15 minutes during opening and 15 minutes during closing)

So let us say we do hundred trades.
75 trades with a loss of 10 points = 750 points loss
25 trades with a gain of 65 points = 1625 points gain
Net gain = 875 points in 100 trading days.
If you started trading with a capital of 1 lakh and 2% Risk, the profit would be Rs 1,75,000.
With pyramiding (reinvesting the profit ) it would turn to crores.

Attaching the excel sheet with the backtested results with the data of last two years for NIFTY.

Also attaching back tested result for the SBIN stock. SBIN unlike NIFTY falls in the 50:50 category. ie 50% of time is trending and 50% it is Rangebound. So it is one of the highly Trending stock. The Parameters are different for SBIN. For eg... your stoploss should be around 1% in SBIN where as for NIFTY your stoploss should not be more than 0.2%.


Will explain the strategy in detail in the next post.

Please visit the post number 839 for Latest links and Settings to be done for the Excel tools

http://www.traderji.com/advanced-tra...tml#post720252

Attaching the excel sheet with the backtested results with the data of last two years for NIFTY.

Thanks a lot; I would like to know more of it if possible mail to me at [email protected]

 

[healthraj]

Re: 1 lakh to 652 lakhs in 497 trading days - Winning 20% of Trade in NIFTY Futures -

Options update 22-Jul-13

10:30 AM
MAX CHG in OI @ 6000-6200.
CE @ 2.55L PE@ 8.89L - Favouring Bulls.

Range - 6018-6079.

MAX OI @ 5900-6000.

 

[angira]

Re: 1 lakh to 652 lakhs in 497 trading days - Winning 20% of Trade in NIFTY Futures -

Max OI pair 6000ce-5900pe, pe>ce, pair@78

Max CHNG-OI in PE side is near total 10L and CE side is near 4L

Intra & Positional bullish.

angira...

 

[healthraj]

Re: 1 lakh to 652 lakhs in 497 trading days - Winning 20% of Trade in NIFTY Futures -

MAX OI changed from 5900-6000 to 5900-6200, first time in this expiry month, even though the difference between 6000PE and 6200PE is only by a margin of 2000. Neverthless, Those who are holding Shorts better to Exit and be Safe Rather than worry later

 

[jamit_05]

Re: 1 lakh to 652 lakhs in 497 trading days - Winning 20% of Trade in NIFTY Futures -

MAX OI changed from 5900-6000 to 5900-6200, first time in this expiry month, even though the difference between 6000PE and 6200PE is only by a margin of 2000. Neverthless, Those who are holding Shorts better to Exit and be Safe Rather than worry later

I agree. Better safe than sorry.

However, I have observed that when a second top is made by the option table it is not easily achieved and sustained. When second top (6200) is touched, looking for shorting setups usually proves rewarding.

 

[healthraj]

Re: 1 lakh to 652 lakhs in 497 trading days - Winning 20% of Trade in NIFTY Futures -

Pair Trading...

Those who want to Trade the pair can Trade 6000CE and 6000 PE. Going by the MAX Pain at 6000, the Market shall expire around 6000 in which case the 6000 CE/PE will loose the value. Right now it is available at 99.

 

[jamit_05]

6200 ce.

I do not think writers would be interested in selling 6200 CE for Rs.3 !
It is the buyers that are speculating in intraday trades. Therefore, this OI is likely to disappear EOD.