General Trading Chat

[Smart_trade]

New financial year has started and usually beginning of the year is a good time to think about the previous year and what we want to achieve in the current year. Few thoughts :

1) Think about the previous year, what you could have done better and what resources are required to do better.

2)Set goals for the current year,break those down in monthly goals.Analyse the targets met and variance from the targets every month and reasons for that variance.Goals should be little hard to achieve but must be reasonable.Goal could be as simple as being profitable in atleast 9 Months out of 12 months of the current year.

3 ) Plan for future. We traders don't have any financial security so start building your own security nest...start a small SIP in a mutual fund,if you have accumulated some money,think of booking some real estate.These investments will give you different streams of future income.Keep written notes about all your investments.

4) Have good life insurance cover so that people dependent on you will not face financial difficulties if something happens to you. Invest part of your earnings for a separate fund which should not be touched and kept for medical expenses if some medical emergency comes up in the family. Medical care is very expensive now a days and some major illness of a family member can set you back by 5-6 lacs easily. So plan to have a good corpus in this fund.

5) Invest in Public Providend Fund and ELSS mutual fund.

6) Plan for atleast 1 long and 2 short vacations every year with the family....absolutely must for us.

Many more points could be added but enough for first week of the new financial year.

Smart_trade

 

[amitrandive]

Received in an email

Any code with 70% success is MIND BOGGLING. That strategy would mean life time of holidays and Filthy Riches. 40% is a sufficient bread winner. Its the greed which takes over the simple thought of satisfaction.

Traders keep testing and trying to find a super succesful AFL and forgetting the other codes which still work fairly decent.

Enjoy what you already Have in hand.

 

[amitrandive]

Trading wisdom from the book "The phantom of the pits" by Art Simpson

RULE 1:
In a losing game such as trading, assume you are wrong until the market proves you are right. Positions established must be reduced and removed until or unless the market proves the position correct. Why is rule one so hard to implement? The answer is that 98 per cent of all traders trade to be right. The rest trade the markets to make money. The fear of being wrong is more often than not a greater motivator than the fear of losing money. Be conscious of it when you are trading.

RULE 2:
Press your winners without exception. By incorporating rule two in your game plan from the start, you will be eliminating the desire to be proud when the market moves in your direction, and to take profits to show you are right. Traders love to be right. This is your enemy – to love to be right. Your motivation must be to love to do the right thing. When you think you are right in the market, this is just the beginning of your trade – not the time to take your profits to say to the world, ‘See, I was right!’ Who really cares if you were right? You will become the best trader you can be by being wrong small, not right small! Get that in your mind now. You are going to have to press your winners if you really consider yourself to have the ability to make a living or extra income from trading. Otherwise, face the truth that you are only playing to break even. The money will follow the correct action.

 

[vivektrader]

What I have been able to achieve during last financial year:
My positions as per IDF are correct more that 50% of times.
Implemented risk <1-2% per trade
Trying to get out before SL is hit.

Still failing in the most important part (as mentioned in Amit ji's post also):
Letting profits run, unable to trail SL (psychologically)
Difficult to decide when to keep position for the day.
ST sir what should I do.

 

[timepass]

New financial year has started and usually beginning of the year is a good time to think about the previous year and what we want to achieve in the current year. Few thoughts :

5) Invest in Public Providend Fund and ELSS mutual fund.

I wonder how useful is PPF for the elderly, say 50+ or 60+ years.

 

[praveen taneja]

as age rise risk taking power reduce to save them from market volatality PPF and FD are best Bypass surgery exp also saved:rofl:

 

[timepass]

as age rise risk taking power reduce to save them from market volatality PPF and FD are best Bypass surgery exp also saved:rofl:

But isn't PPF for 15 years duration ?

 

[praveen taneja]

But isn't PPF for 15 years duration ?

During last 37 years:

Fixed Deposits has multiplied wealth by 20 times

Gold by 37 times

Silver by 24 times

Sensex by 253 times:thumb:

 

[vagar11]

I wonder how useful is PPF for the elderly, say 50+ or 60+ years.

If someone is 50+, I am assuming the maturity period of 15 years is already over.
Then the person has 2 options to extend for 5 years.

1.Wish to continue but not invest further.
In case the account is extended without contribution, any amount can be withdrawn without restrictions. However, only one withdrawal is allowed per year. The balance will continue to earn interest till it is completely withdrawn.

2. Choose to extend account with fresh subscription.
The person can withdraw up to 60% of the balance to his credit at the commencement of each extended period in one or more instalment, but only one per year.

 

[vijkris]

If someone is 50+, I am assuming the maturity period of 15 years is already over.
Then the person has 2 options to extend for 5 years.

1.Wish to continue but not invest further.
In case the account is extended without contribution, any amount can be withdrawn without restrictions. However, only one withdrawal is allowed per year. The balance will continue to earn interest till it is completely withdrawn.

2. Choose to extend account with fresh subscription.
The person can withdraw up to 60% of the balance to his credit at the commencement of each extended period in one or more instalment, but only one per year.

but 50+ ppl cannot open new ppf account right? as lock in is there..