Dave : My Trading Journal

[Dave]

Sorry. I understood your words wrongly. I thought that you want your profit per month as 5K or above. Sorry my mistake.

No Problem Soft Trader. By the way thanks a lot for your suggestion and advice to be grounded. I will definitely keep that in mind.

 

[rh6996]

You are a newbie. you can learn only by your own actions. Trading is a game which can only be learnt through trading.

Your capital is 5K, which is OK for a newbie in the market. Your capital is not the problem, the problem is your target. You can't expect your capital to be doubled within a month.

Trading is a business like any other business. People become doctors, lawyers, engineers, politicians etc. In the same way, some people become stock market traders. It is just one more profession. Say for example: When a businessman opens a dry-cleaning shop or say a mobile shop, does he expects 100% return in a month?

The answer is absolutely not.

But when a person starts out as a stock market trader, he considers such stellar amount of returns per month as his birth right. He takes large risk and sky-high leverage, since he expects to earn large amounts from a small investment. The trader should have expectations of returns which is similar to other business entities.

If a person opens a small shop by Rs. 1lakh. Suppose he says, my family expenses per month is Rs. 30K, therefore I expect at least Rs. 40K per month to meet my expenses and to get a return on my capital. After all, I am working full-time so I expect a salary of Rs. 30K and remaining Rs. 10K as the return on my investment. But wait, no shopkeeper will expect Rs. 40K return on an investment of Rs. 100K.

Yet when the same person becomes a stock market trader he demands Rs. 40K to be easily earned. Such returns will not materialise.

You must have realistic expectations.

Best of luck for your trading.:thumb:

rkkarnani shared a quote of Azim Premzi with me only today :
" If people are not laughing at your goals, your goals are too small!!!!"

 

[SavantGarde]

rkkarnani shared a quote of Azim Premzi with me only today :
" If people are not laughing at your goals, your goals are too small!!!!"

Other Peoples likes, dislikes, laughing, crying does not bring home the bread...!!!

 

[Dave]

I guess it is one's confidence, consistency and faith that makes the dream come true. Yes Dream indeed comes true. I believe that

Anyways Thank you again to all of you, Best of luck to all my friends here, and to me too

 

[Dave]

Nifty could open with a gap down, following a negative opening in Asian market. Nifty may test 4990 level again.

 

[rh6996]

Other Peoples likes, dislikes, laughing, crying does not bring home the bread...!!!

So very true, but may be raising the bar can bring butter along with bread!!!

 

[Dave]

A bad start, lost 800 today.
Reason : Couldn't focus well in the market, and couldn't come out of the trade in right time.
Lesson : Dont be in a hurry to have a position in market. If situation is demanding some other task should have first priority then avoid market for the day.

Bad day, bad feeling Hope to turn around the things tomorrow.

PS: Maximum loss affordable is 1500.
If the capital goes below 3500, I will stop trading and will go back to strengthen the fundamentals again.

Remaining Capital : 4200

 

[timepass]

What did you trade ??

 

[Dave]

What did you trade ??

I have taken position on 1 lot JpAssociat 75 Call. When it started falling sold it at 800 loss, but then again it recovered back

 

[timepass]

I have taken position on 1 lot JpAssociat 75 Call. When it started falling sold it at 800 loss, but then again it recovered back

I don't have much idea about stock options, but if you have 5000 in your account, don't spend more than 2500 on one trade, don't use the other part. With 2500, you can buy some nifty option worth Rs. 50.

How much are your expenses ?? Brokerage etc ??