My trading journal

[iyerboi]

In that case better strategey is to have 2 lots open use one as scalping lot and take profit equal to your stop loss and make the trade free youll get good prices plus you wont get wicked by keeping a close stop loss

thanks for that suggestion. need to learn how to let my winners run - all in thr mind. sometimes i wish i'd curtailed my losses like i curtail my winners and persisted with the winners like i do with my losers . yet to get the drift u c

 

[iyerboi]

Day 1:

Bought 5800 call at 24, TSL hit at 25.20. (1 lot)
Bought 5800 call at 22.5, TSL hit at 23.10. (2 lots)

Profit for the day = 23.

Ledger balance - 10,853 approx. (after adj. some past credits)

Day 2:

Bought 5800 - a lot each at 27 & 24. Stop loss hit at 23. Loss for the day Rs.320.

Ledger balance - 10,533.

 

[iyerboi]

My Rules - these have been devised based from the BIG loss instances:

1/ READY TO TRADE: No impulsive trade calls. Do not run after a trade.

2/ STOP-LOSS: Max loss per day to be Rs.380. No trading if this limit is hit.

3/ OVERTRADING: Not more than 2 positions to be taken per day.

4/ CUT-OFF: No trades to be initiated before 9.30 AM and after 2 PM.

5/ SQUARE-OFF: All trades to be squared off by EOD.

6/ ANTICIPATION: Do not try to take position by predicting reversal/ support/ resistance. Patience!!





.....to be updated as and when I can think of more.

 

[iyerboi]

Did an analysis/audit of my past trades. Here are some findings:

October 2011

Overall position ---> Loss of Rs.6,168
No. of days traded = 6. Of which 3 were profitable; 3 ended in losses.
Major loss incurred in a day (Exceptional item) = Rs.6,613.
Maximum profit in a day = Rs.299.

November 2011

Overall position ---> Loss of Rs.4,612
No. of days traded = 11. Of which 6 were profitable; 5 ended in losses.
Major losses incurred in a day = Rs.5,456 & Rs.1,111.
Maximum profit in a day = Rs.782.

December 2011

Overall position ---> Profit of Rs.4,343
No. of days traded = 11. Of which 10 were profitable; 1 ended in a loss.
Major losses incurred in a day = NONE; Max loss was Rs.212
Maximum profit in a day = Rs.294.

January 2012

Overall position ---> Loss of Rs.6,225
No. of days traded = 19. Of which 11 were profitable; 8 ended in losses.
Major losses incurred in a day = Rs.6,094 & Rs.1,142
Maximum profit in a day = Rs.925.

February 2012

Overall position ---> Loss of Rs.1,456
No. of days traded = 12. Of which 9 were profitable; 3 ended in losses.
Major losses incurred in a day = Rs.2,004; Rs.1,281 & Rs.1,302.
Maximum profit in a day = Rs.646.

Conclusion

Total money lost until 1 March 2012 = Rs.14,170
Money lost in HUGE losses (losses > Rs.5000 a trade) - Rs.18,163
Money lost in BIG losses (losses> Rs.1000 a trade) - Rs.7,140.

So, overall losses incurred by me due to not keeping SL = Rs.25,303. If only, I had the sense to restrict them to overall even 5K, I'da made around 5k on a capital of 25k in about 6 months time.

 

[iyerboi]

Day 2:

Bought 5800 - a lot each at 27 & 24. Stop loss hit at 23. Loss for the day Rs.320.

Ledger balance - 10,533.

Day 3:

Bought 5800 call @ 33 - SL hit at 30. Loss of Rs.380.
Bought 5000 put @ 54.05. SL hit at 54. loss of Rs.80

Ledger balance - 10,073.

 

[adityasaraf007]

Iyer Sahab.... just because you have an account with Zerodha doesn't mean you have to trade in Options.... Don't get me wrong, but even I had opened the a/c with them for this sole purpose and realized the effect lateron..... I would recommend to trade in Options on only trending days which occurs about 3-4 days in a month.....

This is what I do...

Have a look at this post by ST Sir.... Here, he describes the characteristics of trending day.... A very useful post from him.... In addition to it, I use NR7 and NR4 along with Inside Bar.... and Horizontal Support/Resistance.... and Simple Moving Average 20 on 2min TF.... and you have a receipe for a sure-shot Trending day and money in the bank.... Not that I have mastered it, but following it and improving myself....

I identify narrowing of Range with the help of NR4, NR7 and Inside Bars..... This helps us know that range extension is around the corner.... Presently, I am following this for just Nifty and whenever we get the combo of NR7 and IB... Nifty gives a good trending move within next 2 days.... So, you know when to take a trade.....

The other characteristic of a trending day that I have observed is that most of the times price opens at a very good Horizontal Support/Resistance.... And most of the times when price is stuck at a particular S/R.... and it gives a Gap opening below/above that S/R.... we generally get a very good trending move..... Though I cannot trade them, coz I generally come during the 2nd half of the session....

Another thing is 20 SMA on 2min charts..... Take any stock and if it is constantly facing support/resistance from this 20 SMA line..... we would get a very good move from that stock....

The above are just ideas that I have observed during the markets.... and I have not mastered them yet..... So, take it as a guidance from your junior friend....

 

[TraderRavi]

... I would recommend to trade in Options on only trending days which occurs about 3-4 days in a month.....

I second that......aditya bhai.....:thumb:

 

[iyerboi]

Iyer Sahab.... just because you have an account with Zerodha doesn't mean you have to trade in Options.... Don't get me wrong, but even I had opened the a/c with them for this sole purpose and realized the effect lateron..... I would recommend to trade in Options on only trending days which occurs about 3-4 days in a month.....

This is what I do...

Have a look at this post by ST Sir.... Here, he describes the characteristics of trending day.... A very useful post from him.... In addition to it, I use NR7 and NR4 along with Inside Bar.... and Horizontal Support/Resistance.... and Simple Moving Average 20 on 2min TF.... and you have a receipe for a sure-shot Trending day and money in the bank.... Not that I have mastered it, but following it and improving myself....

I identify narrowing of Range with the help of NR4, NR7 and Inside Bars..... This helps us know that range extension is around the corner.... Presently, I am following this for just Nifty and whenever we get the combo of NR7 and IB... Nifty gives a good trending move within next 2 days.... So, you know when to take a trade.....

The other characteristic of a trending day that I have observed is that most of the times price opens at a very good Horizontal Support/Resistance.... And most of the times when price is stuck at a particular S/R.... and it gives a Gap opening below/above that S/R.... we generally get a very good trending move..... Though I cannot trade them, coz I generally come during the 2nd half of the session....

Another thing is 20 SMA on 2min charts..... Take any stock and if it is constantly facing support/resistance from this 20 SMA line..... we would get a very good move from that stock....

The above are just ideas that I have observed during the markets.... and I have not mastered them yet..... So, take it as a guidance from your junior friend....

ya buddy. of late its been a losing streak. been very erratic. been thinkin of quitting options altogether of late, been experimenting a lil, incorporating discipline et al. will definitely consider ur advice ssly

cheers! :thumb:

ps: jr friend???! ur kiddin me man

 

[adityasaraf007]

ps: jr friend???! ur kiddin me man

No, I am serious....

 

[iyerboi]

slept until 2.30 tod, so no trades; more importantly no loss