Day Trading Stocks & Futures

DIVYEDIX

Well-Known Member
re: Day trading Nifty & Banknifty Futures

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No FII r shorting in F&O. When new top comes on dream (not supported by eco)= so fresh new investor join in Buy - may at 6300 level of Nifty,- so they will give first sell of Imp holding ie. DISTRIBUTION . They will take money to their country - for gift & profit. So political result out will be big wash sell by them. Also they must be ready for tapering to sit on 50% cash.
This reflection can easily seen by yesterday's after opening - distribution on nifty.
Just see ST's analysis- he strongly suggest a nifty down bias upto 5800. Though little upmove possible , but achieving 6100 will be high probability.
Caution - political Modi trap will be played by FII - next week
I'm also expecting down movement on Monday, though not holding any position today will sell ce on monday due to premium built up.
 

Jai Mata Di

Well-Known Member
re: Day trading Nifty & Banknifty Futures

Just food for thought for option writers:-

Price of 6800 CE of 30 th January 2014 now about Rs 42. 6900 CE @27 and 7000 CE @17. :D
What about averaging in option writing in next few days if market give opportunities? :lol:

:!
Even a closing below 7000 spot could give JAN 7000 CE 20 Lot option writers 17k+ with required margin about 4 Lakh only. It is more than 4% what a savings a/c give in a whole year. And January is usually a bearish month and then more closer to US tapering and vote uncertainty etc etc... :p

Happy Trading.
Cheers.
 

jagankris

Well-Known Member
re: Day trading Nifty & Banknifty Futures

...............................................................................................
No FII r shorting in F&O. When new top comes on dream (not supported by eco)= so fresh new investor join in Buy - may at 6300 level of Nifty,- so they will give first sell of Imp holding ie. DISTRIBUTION . They will take money to their country - for gift & profit. So political result out will be big wash sell by them. Also they must be ready for tapering to sit on 50% cash.
This reflection can easily seen by yesterday's after opening - distribution on nifty.
Just see ST's analysis- he strongly suggest a nifty down bias upto 5800. Though little upmove possible , but achieving 6100 will be high probability.
Caution - political Modi trap will be played by FII - next week

Dear Oilman ji,

FII's are net long in Index futures.
Net long in calls.
Net long in puts.
Offcourse short in Stock futures.
This month being December and year end account closing why would they want close their portfolio much lower than closing it at the higher side of the markets ?

TIA.
 

oilman5

Well-Known Member
re: Day trading Nifty & Banknifty Futures

Dear Oilman ji,

FII's are net long in Index futures.
Net long in calls.
Net long in puts.
Offcourse short in Stock futures.
This month being December and year end account closing why would they want close their portfolio much lower than closing it at the higher side of the markets ?

TIA.
......................................................................
ur observation is Right.........but many things can not be put in open forum. But definitely can be given.
1] Just see how ST plays - he underwrites Nifty call 6500, underwrited put 5900. So zone is defined. Yet he bought 6700 call , the protection for danger. ...........a great trader, we can learn a lot from him. In market of risk taking game , he knows how to derisk.
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NOW FII r rarely the real, mostly indian with adjusted money coming to India , for market ,as well as benami.Some of them has vested tie up with political front. So they r buying because of event........may sell after 3day.
Some real purchase on company./ also some r real FII.Dont coincide bravery of an Assamee Girl with country's helpless attitude.
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Only thing , if media sells more the victory of BJP WELL, market will definitely fall - as there r paid dalal to help FII/strong hand. u have seen diwali baqwaas.Now its individual choice--------time again shrewd indian traders cut the trap put by them. But what actually happen i dont know. Its my moral duty to warn to fellow indian.( in Jan'2004 i made money election declaration short- the first trap created by them ,when mutual fund lost in that buy theme(trap of india shining)
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Regards
 

oilman5

Well-Known Member
re: Day trading Nifty & Banknifty Futures

Dear seniors,
Why we always think opposite of current trend?!:)
Please share your thoughts how we can avoid this negative thoughts ...which makes just HOPE trading :)
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As a trade learner , i have gone through this phase, seeing continuation or trend.............at high pt/ stretegic pivot REVERSAL, .........its nothing negative, its journey path . Then we search from indicator to strengthen our belef..........yes dont give much money.
So later after soul searching & studying of past trade , i get where / ie. reversal or continuation - i am more time right.
Alternately some pattern may give me predictiveness.
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Later under professional guidance , i try to understand objectivity. So no hope or conviction- clearly what price is telling .
Yet u know certain times ,i am deadly wrong...........to understand it , i make deep journey on trap trade , as well as reason behind price volatility.
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Only after this i get profitable trade in market.Yes it takes TIME.
Now the answer : as a novice i am supposed to donate money in market . we forget , there is Surprise side in market.Traps r created to get their money(ploy) - media hype, big buy order punch at lower price......most imp bull trap/ bear trap.
Read ST in detail ...........he can trade all types, but he does risk mitigation first.

his best line, take the trade as u see, but if market prove u wrong , simply hit stop. No mind garbage-----best objective view

hope it helps:clap:
 
re: Day trading Nifty & Banknifty Futures

@ Oilman5,
Thanks your kind words. I truely believe that an aggressive trader has to know how to play a great defense to stay long in trading and prosper. You have very vast experience in the markets , why dont you continue writing your "journey of the trader " posts whenever you get time ? I used to enjoy reading your earlier posts as I could relate to each stage as I have gone through each of those stages. Do consider.....

@ VIJAY,

Your question and the answer by Oilman5 made me write a few lines as under :

Whenever the market reverses the current trend, it is responding to new set of information/environment. As the prices keep changing, it is a human nature to resist any change. So if we take an example market reverses from 6000 to an uptrend and prices start going up. At 6070 we get a small dip and it comes to 6050, most new traders will make a mistake of considering it as uptrend has ended and they go short.

Trends dont normally end in 1 day . The uptrend continues and new trader instead of buying, keeps the short position hoping that the market will come back. Then market goes to 6200....6300 and the loss becomes unbearable and he cuts his position resulting into substantial loss. Some take pride that they have deep pockets and strong nerve to hold loosing positions.Market may eventually come to 6050 again but our new trader lost the opportunity of making 6050 to 6300 and 6300 to 6050 again on downmove so total 500 points, he can catch 300-350 points atleast by being in the direction of the trend. Instead of that he keeps holding loosing positions and believe me he after holding loosing positions will be relieved to get out at breakeven if he is lucky to do so. But a person who followed the tend is happy pocketing 300-350 points and being on the right side of the market.

The same thing happens in downtrend.....people keep buying the falling prices thinking " aur kitna neeche jayega or yeh bhav me kya bura hai" where as the right action there was trade from short side till trend changes.We are traders, not value investors.

I have seen traders holding loosing positions to avoid a 15 points stoploss and eventually loosing 300 points from that trade.....but it is a double effect, they lost 300 points and also lost an opportunity to make 300 points by being in trend so total effect(loss )of 600 points to the ledger.

Trust the above helps...

Smart_trade
 

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