Re: 1 lakh to 652 lakhs in 497 trading days - Winning 20% of Trade in NIFTY Futures -
Aimer,
The backtesting results that I have given is only to demonstrate a strategy. Now in that even if you get 20% and you stay on the positive side then it is good....
First of all my first goal is to learn to trade and to develope a good strategy...
So at the end of six months even If I don't make any profits also I am fine
But I should not loose...
So If take the data from 15-Jan-12,
there are 140 trading days
and 105 Trades were possible
Theoretically we got 754 points.
I don't know why you are giving 4 points to the broker... If we go with broker like Zerodha the brokerage for NIFTY is only 2 points... Zerodha users correct me If I am wrong
So even If take away 4 points I will be left with 350 points...
Now if I trade only 100 quantities without pyramiding and all that I would still get 35000 rupees for an investment of 1 lakh.... which is still good enough...
For OTP let us keep it simple.... we know the levels to SHORT or GO LONG... At around 9:20 to 9:30 whatver the tool says, please do with a strict stoploss of 7 points...
And close the call at 3:15 if the call is not closed...
It is based on a simple assumptions based on the past data that 20% of the time the market does not break the opening price by 7 points... If after market opening the market retraces then you loose the trade... So no thinking for OTP... Just get the overall direction and put a LONG or SHORT trade.... And that is where the tool comes in Handy... Let us say end of yesterday, you had a call to GO LONG beyond 5200...
If the market opens beyond 5200, You will go LONG
If it opens below 5200, NO Trade
quoting the previous questions:
Q1.Considering the last row of Excell, Row no. 648 dated 27th July,what values are to be put in OHLC columns?
Is it of 27th OHLC that has to be filled EOD and the values that we obtained in longs and shorts will be for 28th....or do we fill 26th values?
Q2. If we are doing with 27th July EOD data then it is for 28th july, right!...and the values that we get are as follows...
Overall Signal is stay Short.
sell below 5144...sell open price is 5124 and the sell profit is -7...now since the values are for 28th and we are still to trade the day then how come the sell loss is shown as -7...also its showing sell open price as 5124 which is showing 27th sell open price...can not corelate how 28th values would be seen on 27th...
Q3. If suppose the market opens beyond our entry price in that case what would be our entry point?
Q4. These points are excluding brokerage? then if we count brokerage in our profits gets drastically reduced as the number of trades is more off equal to 20-22 and the points obtained in January 2012 is 107, so removing the brokerage(18x4=72); here I have taken 18 trades in Jan2012 and Rs4 per lot as brokerage...which reduces our net point as mere 35 for the whole month!!!
Q1.Considering the last row of Excell, Row no. 648 dated 27th July,what values are to be put in OHLC columns?
Is it of 27th OHLC that has to be filled EOD and the values that we obtained in longs and shorts will be for 28th....or do we fill 26th values?
Q2. If we are doing with 27th July EOD data then it is for 28th july, right!...and the values that we get are as follows...
Overall Signal is stay Short.
sell below 5144...sell open price is 5124 and the sell profit is -7...now since the values are for 28th and we are still to trade the day then how come the sell loss is shown as -7...also its showing sell open price as 5124 which is showing 27th sell open price...can not corelate how 28th values would be seen on 27th...
Q3. If suppose the market opens beyond our entry price in that case what would be our entry point?
Q4. These points are excluding brokerage? then if we count brokerage in our profits gets drastically reduced as the number of trades is more off equal to 20-22 and the points obtained in January 2012 is 107, so removing the brokerage(18x4=72); here I have taken 18 trades in Jan2012 and Rs4 per lot as brokerage...which reduces our net point as mere 35 for the whole month!!!
The backtesting results that I have given is only to demonstrate a strategy. Now in that even if you get 20% and you stay on the positive side then it is good....
First of all my first goal is to learn to trade and to develope a good strategy...
So at the end of six months even If I don't make any profits also I am fine
But I should not loose...
So If take the data from 15-Jan-12,
there are 140 trading days
and 105 Trades were possible
Theoretically we got 754 points.
I don't know why you are giving 4 points to the broker... If we go with broker like Zerodha the brokerage for NIFTY is only 2 points... Zerodha users correct me If I am wrong
So even If take away 4 points I will be left with 350 points...
Now if I trade only 100 quantities without pyramiding and all that I would still get 35000 rupees for an investment of 1 lakh.... which is still good enough...
For OTP let us keep it simple.... we know the levels to SHORT or GO LONG... At around 9:20 to 9:30 whatver the tool says, please do with a strict stoploss of 7 points...
And close the call at 3:15 if the call is not closed...
It is based on a simple assumptions based on the past data that 20% of the time the market does not break the opening price by 7 points... If after market opening the market retraces then you loose the trade... So no thinking for OTP... Just get the overall direction and put a LONG or SHORT trade.... And that is where the tool comes in Handy... Let us say end of yesterday, you had a call to GO LONG beyond 5200...
If the market opens beyond 5200, You will go LONG
If it opens below 5200, NO Trade