Comfortable profits from trading Nifty.

[jamit_05]

Re: Whipsaws.

Dear jamit,
I am revising the the rules. I was attracted to your thread because of the caption "Comfortable profits trading Nifty". I now realise that the comfort will come after a lot of hard work. Of course that it how it should be. There are no free lunches.
gmt 900

Hard work is a relative term.

315 is easy come easy go. EOD method with no fancy optimizations.

In fact, go ahead and further simplify it by removing the 50% stop loss rule. Just sit back and relax and let the market do all the work.

Just make sure, that each time you get the urge to fine tune the system.... fight it. Follow the classical rules and nifty will reward you each quarter.

One may be a little disoriented due to the new software and things. They are only tools.... if you do not find them interesting skip them too... stick to NSE Tame. That is fine too.

So there you have it...

• No Stop Loss Rule
• No new software learning
• No scaling in

Still, 315 will be rewarding... better than any FD scheme.

I will be providing my inputs for highly profitable levels for exits. But, that is of use if all entries are taken...

regards.

PS: Profitable trading methods are dime a dozen. Yet a profitable trader is a phenomenon... ironic.

 

[gmt900]

Re: Whipsaws.

Hard work is a relative term.

315 is easy come easy go. EOD method with no fancy optimizations.

In fact, go ahead and further simplify it by removing the 50% stop loss rule. Just sit back and relax and let the market do all the work.

Just make sure, that each time you get the urge to fine tune the system.... fight it. Follow the classical rules and nifty will reward you each quarter.

One may be a little disoriented due to the new software and things. They are only tools.... if you do not find them interesting skip them too... stick to NSE Tame. That is fine too.

So there you have it...

• No Stop Loss Rule
• No new software learning
• No scaling in

Still, 315 will be rewarding... better than any FD scheme.

I will be providing my inputs for highly profitable levels for exits. But, that is of use if all entries are taken...

regards.

PS: Profitable trading methods are dime a dozen. Yet a profitable trader is a phenomenon... ironic.

I will continue with the stop loss rule. New software learning and scaling in may be postponed to a later date.
Right now I am trying to digest the basic 315 system from TWH's thread.
regards

 

[gmt900]

A stupid question. But what does SAR stand for?

 

[jamit_05]

Re: Whipsaws.

I will continue with the stop loss rule. New software learning and scaling in may be postponed to a later date.
Right now I am trying to digest the basic 315 system from TWH's thread.
regards

The thread is now defunct. I really wish the originals guys were still around. They'd have good inputs.

Lot of their discussion was diversified to stocks as well. Hence, the rule of scaling in at Ema15 was introduced. For Nifty it does not seem much useful. In fact, there is another very profitable way. But, that is for later. Now, just follow the crossover and have strong intention to beat the FD rates by a factor of 2

I further emphasize, that the stop loss rule be skipped. It will bring about a situation which will cause discomfort.

So, simply go long at e3>e15 and v.v with a fixed position size. QED.

Real world concepts like hard work and struggle are not rewarded by the market. Here the game is mental.

PS: SAR is Stop and Reverse. Some American TA may have coined it... 315 is a SAR type method.

 

[stock72]

Re: Whipsaws.

what u exactly trying to say ... u means we need to have no stop loss...

Hard work is a relative term.



So there you have it...

• No Stop Loss Rule
• No new software learning
• No scaling in

Still, 315 will be rewarding... better than any FD scheme.

I will be providing my inputs for highly profitable levels for exits. But, that is of use if all entries are taken...

regards.

PS: Profitable trading methods are dime a dozen. Yet a profitable trader is a phenomenon... ironic.

 

[jamit_05]

Re: Whipsaws.

what u exactly trying to say ... u means we need to have no stop loss...

I said it in a different context. Earlier, gmt900 and I had settled on having a Stop of 50% of option value... but now it seems it may be a little hard to manage. Therefore, sticking to the original 315 method, which already has an implicit Stop Loss rule, seems suitable.... for sake of simplicity for a new trader.

 

[jamit_05]

A logical Exit.

The following is an exit method. Simple, logical and irrespective of TA and well within reach of 315.

FD give 9% Annually at best. That is around 500 nifty points annually and 40 points monthly, rounded off. To double it would mean 80 points monthly.

One can chose to exit when

a) all losses and brokerage expense are covered
b) monthly 80 points is achieved. If the trend has come after two months, then 160 points + (a)

When this point is reached, start scaling out... or exit completely when oscillator is at extreme. In fact, if this extreme is reached and only 1.5 times FD is met one could run for a defensive exit. Who cares, as long as i am getting paid more than rest of the country!

Regards.

 

[sudoku1]

2 evry1 here...open up EOD nifty JAN 2008 to MAR 2008..& whole of 2011...use ur curent strategy on it.,if at d end ur acount is positive..relax..u dont need anythng new..jst keep improving ur strategy..rest is all GANGNAM STYLe

 

[timepass]

Re: A logical Exit.

The following is an exit method. Simple, logical and irrespective of TA and well within reach of 315.

FD give 9% Annually at best. That is around 500 nifty points annually and 40 points monthly, rounded off. To double it would mean 80 points monthly.

One can chose to exit when

a) all losses and brokerage expense are covered
b) monthly 80 points is achieved. If the trend has come after two months, then 160 points + (a)

When this point is reached, start scaling out... or exit completely when oscillator is at extreme. In fact, if this extreme is reached and only 1.5 times FD is met one could run for a defensive exit. Who cares, as long as i am getting paid more than rest of the country!

Regards.

Yes, good thinking. The difference being that

a) With FDs, you can be 100% invested, but with the share markets, you will only be playing with your risk money which may be 20-50% of your savings. Build that in your calculations and check the results.

b) You can use FDs as a collateral to borrow against.

c) FDs are "Fill it, shut it, forget it". You don't have to manage them.

 

[jamit_05]

Re: A logical Exit.

Yes, good thinking. The difference being that

a) With FDs, you can be 100% invested, but with the share markets, you will only be playing with your risk money which may be 20-50% of your savings. Build that in your calculations and check the results.

b) You can use FDs as a collateral to borrow against.

c) FDs are "Fill it, shut it, forget it". You don't have to manage them.

Pros and Cons will always be there in everything.

Yes, one has to use only the risk money (for margin and buffer to maintain Position size after losses). Rest can be put into FD. Even better.

I strongly recommend using only 1% of your capital as risk per trade. Only after 6 months of success increase by 0.5%; Anything more will hugely contribute to and increase your chances of losing "mental balance";