A plunge in Indian Stock market

[sspms2002]

Good to hear that. I have some great experience Margin trading. Made over 2 lakhs in a 20 minutes and have lost 2 lakhs in under 20 minutes. Now i tell people to stay away from Margin trades unless they are damn sure of what they are doing.

Why not trade in futures? At least, you are not forced to cover your positions by 3:15 pm...

Hey riskyman...as of now i donot have much knowledge about future and options...i guess they are not much different , but i have not ventured there till now..

Yes one of the big drawback that i feel with cash segment/my Broker is that they do not allow SHORT positions after 2.30PM and i have to cover all SHORTS before 3.15...

Thats kind of harsh as may good movements are initiated in last 1-2 hrs...

I have let go many good trades because of that...

 

[PUCHU_2500]

it seems that you end almost every trading day with positive return. good trading and keep it up. I think pro trader also can't do like you. a good trader ever I have seen..........

 

[sspms2002]

it seems that you end almost every trading day with positive return. good trading and keep it up. I think pro trader also can't do like you. a good trader ever I have seen..........

Thanks Puchu_2500...I may be closing green in most days ...but my big losses are nullyfying the work..

I am now trying to have small losing days...lets see how far i can do it..


Also i guess there are many seniors here who are making money consistently...
But i guess because they are not posting their P&L , so we don't realize/see it..

 

[sspms2002]

Seniors.. I have downloaded the Steve Nissons Candlestick DVD course...
Just wanted to know of any feedback on it...Before i delve into it...

 

[Riskyman]

Hey riskyman...as of now i donot have much knowledge about future and options...i guess they are not much different ,.

Options and futures are totally different beasts. Just to tell to a bit about futures... Instead of 30-100 shares that you buy in cash segment, in futures there is a predefined lot size i.e 250/500 etc. These lot size vary for different stocks. Only those listed in the FnO segment can be traded. Also unlike cash/spot you can take positions in these stocks for future months. Every month on expiry day these futures contract expire. Example we are now in Feb and Feb expiry is tomo i.e the last thursday of every month. So today you can take a position in a stock for February or for march or april and so on. If you take a position for february then the contract will expire tomo as tomo is the expiry.

Trading in futures allows you a lot of flexibility. You can make money quickly and loose it quickly too. For example, Reliance industries is a lot of 250 in the future segment. So when you buy futures of reliance the minimum you can buy is 250 shares i.e 1 lot. You can buy or you can even short sell. Every one rupee move in the stock price means that you are either making 250/- or loosing 250/-

Read on more about futures and im sure you will figure it out quickly.

 

[amitrandive]

Options and futures are totally different beasts. Just to tell to a bit about futures... Instead of 30-100 shares that you buy in cash segment, in futures there is a predefined lot size i.e 250/500 etc. These lot size vary for different stocks. Only those listed in the FnO segment can be traded. Also unlike cash/spot you can take positions in these stocks for future months. Every month on expiry day these futures contract expire. Example we are now in Feb and Feb expiry is tomo i.e the last thursday of every month. So today you can take a position in a stock for February or for march or april and so on. If you take a position for february then the contract will expire tomo as tomo is the expiry.

Trading in futures allows you a lot of flexibility. You can make money quickly and loose it quickly too. For example, Reliance industries is a lot of 250 in the future segment. So when you buy futures of reliance the minimum you can buy is 250 shares i.e 1 lot. You can buy or you can even short sell. Every one rupee move in the stock price means that you are either making 250/- or loosing 250/-

Read on more about futures and im sure you will figure it out quickly.

http://www.investopedia.com/ask/answers/05/060505.asp
http://www.moneycontrol.com/news/brokerage-recos-fo/basicsfuturesoptions_709886.html

Just a word of caution.
If you are not comfortable trading and making money consistently in cash,don't even think of future and options.
Derivatives are highly leveraged instruments and can self destruct if not used correctly.

 

[amitrandive]

FYI

http://www.traderji.com/technical-a...h-high-probability-breakouts.html#post1051888

 

[sspms2002]

http://www.investopedia.com/ask/answers/05/060505.asp
http://www.moneycontrol.com/news/brokerage-recos-fo/basicsfuturesoptions_709886.html

Just a word of caution.
If you are not comfortable trading and making money consistently in cash,don't even think of future and options.
Derivatives are highly leveraged instruments and can self destruct if not used correctly.

Surely , i want to get comfortable with Cash segment first.
Also i see that only advantage in trading in futures is on the SHORT side..so if the market is down run..Futures may help you captures many Gap downs which Cash segment player can hardly get..

Apart from it , i guess i can increase my Size in Cash too to make it look equivalent to Futures...Not sure if there are any Brokerage allowances on Futures though...

 

[sspms2002]

I am having bad bad days with delivery stocks...

Yesterday i had taken delivery of ZEEL 300 shares at around 352..and it closed at 353 and was showing a open profit of 350+...

Today Market opened in lush green..and nearly all stocks opened gap up in green..except a few...and one among them was ZEEL..

it opened gap down in red...i was comfortable there..as i already knew it would go down to its support area of 348...So i didn't panicked..it went to 348 and played there and then tried to go up..

It ranged in between 348 and 350 for nearly whole day and tried to go up..but couldnot..

Peculiarly there was good buying happening at 348 level...i could see that in order flow..

I let it ride for tomorrow too...today it was showing an Open Loss of Rs 1200..

Reason for taking it forward is because of it seems consolidating in that range so i need to exit once it moves away from that range..


I had selected a few other stocks to play today , and all of them gave good moves...e.g. Reliance , TATA Motors , Yes Bank , TATA Steel , TVS Motors
But i was struck with ZEEL so didnot traded others today...

Stocks Traded: None

@Amit/Seniors: any takes on TVS Motors , Yes bank?

 

[sspms2002]

I just wanted to share a peculiar thing which i have noticed on ZEEL today..

Its really awkward how a few thousands shares at open can set the tone for the day...

The stock was made to gap down on few thousands shares and then it traded in that range for whole day...does not it look like some big player is trying to design the map for the stock...or trying to flush out buyers and making stock look like weak??

Or is it really getting weak? That time will tell in a day or 2.

But any takes on Gap Down / Gap Up from Seniors?