Can i make 21 lakhs with a capital of 1 lakh by trading in options

[DanPickUp]

Yes you can.

There are a few question you have to answer to your self very precisely:

-Do I have the psychological will and the time to do it?
-Are I am able to sit the whole day in front of the screen or do I prefer to trade in an other way?
-Depending on the above answer: What kind of trading strategy will be used?
-Depending on the above answer: What kind of tools do I understand and what can I afford to use ?
-Depending on the above answer: What kind of charting software do I understand and what kind of platform do I understand?

What ever you decide: What kind of money management will be used?

All this will lead to a clear trading plan which will be the start of your journey.

If you have worked out all this in a very precisely way and even know how to use that whole package in live trading, you will be on a path where you can do it.

Good luck

DanPickUp

 

[knarendra]

What is the time limit? 21 years? 21 months? 21 Days?

 

[TraderRavi]

What is the time limit? 21 years? 21 months? 21 Days?

12-14 months...........:lol:

 

[shemz]

Well D. H. Ambani did it, and then advocated his strategy to the world, "kar lo duniya mutthi mein"!

Moreover even statistical mechanics is with you, out of the millions trying in the options markets, some would randomly just get lucky.

Strategically though, the best thing to do is to use all your resources to predict the next market crash. Special mention for the gurus who astrologically predict market turn arounds. And to make it more easier for you, it does not matter weather you predict S&P500 or DAX or Hang Seng or Nifty crash, next time around all will go down together.

 

[mastermind007]

Can i make 21 lakhs with a capital of 1 lakh by trading in options.wat is the best strategy anyone can recomend.the time frame i am looking at is 12-14 months.i have heard that u can make ur money double ,triple and even 4 times in option trading in a span of 1-2 months.is this really possible.

Hmmmm ... Frankly it sounds like climbing mount Everest (or maybe few of 'em stacked on top of each other). Not impossible, but will require tremendous effort on your part.

On a realistic front, you would need is a very very good strategy paired with very fast executions with very little operational costs. Of course, you would also need
a good non-greedy CA to cover your trail

On emotional front, you will need patience, luck, right amount of self-confidence, ability to analyse self (understanding of your mistakes) and absolute absence of a nagging wife!!!

When you are ready to start trekking, lemme know...!!!!

 

[mastermind007]

Well D. H. Ambani did it, and then advocated his strategy to the world, "kar lo duniya mutthi mein"!

Moreover even statistical mechanics is with you, out of the millions trying in the options markets, some would randomly just get lucky.

Strategically though, the best thing to do is to use all your resources to predict the next market crash. Special mention for the gurus who astrologically predict market turn arounds. And to make it more easier for you, it does not matter weather you predict S&P500 or DAX or Hang Seng or Nifty crash, next time around all will go down together.

Neither luck nor bad luck is random.

 

[TraderRavi]

well I will do it in september 2013........:thumb::thumb:

 

[mastermind007]

Well D. H. Ambani did it, and then advocated his strategy to the world, "kar lo duniya mutthi mein"!

Moreover even statistical mechanics is with you, out of the millions trying in the options markets, some would randomly just get lucky.

Neither luck nor bad luck is random.

 

[shemz]

Neither luck nor bad luck is random.

By definition it is. From wikipedia

Luck or chance is fortune (whether bad or good) which occurs beyond one's control, without regard to one's will, intention, or desired result.

I do however get your point, but thats exactly my point as well. When you know what you are doing, your probability of climbing Everest or even K2 is reasonably high, though there is still a random element of chance in anything. Unfortunately people often trade options due to leverage, and they would do it as they would trade technical patterns in the underlying, even on the day of expiry. I think it should be called "long luck bias" trading model. :rofl:

 

[mastermind007]

By definition it is. From wikipedia
I do however get your point, but thats exactly my point as well. When you know what you are doing, your probability of climbing Everest or even K2 is reasonably high, though there is still a random element of chance in anything. Unfortunately people often trade options due to leverage, and they would do it as they would trade technical patterns in the underlying, even on the day of expiry. I think it should be called "long luck bias" trading model. :rofl:

:clap: I am gonna have to update that wikipedia again!!! :deadhorse:

I too get what you mean.

immensely like your nomenclature for "trade technical pattern in the underlying, even on the day of expiry" ... "Long Luck Bias" Sheer genius!!!

Do you know what is best strategy to trade in underlying on expiry day? I've experimented with RSI, Gann, Bollinger and all end up gasping for lack of oxygen....
(carrying mountain metaphor forward). I want something that I can apply to basket of scrips, not just one or two.