NIFTY 50 _bulls
- Thread starter sudoku1
- Start date
COPY PASTED frm random internet surfing :
If you go to a casino and bet everything you have on red,then you have a 49% chance of doubling your money and a51% chance of losing everything. The same applies to trading: You can make a lotof money if you are risking a lot, but then risk of ruin is very high. You need to find a healthy balance between risk and reward.
Lets say you define ruin as losing 20% of your account, and you define success as making 20% profits. Having a trading system with past performance results let you calculate the risk of ruin and chance of success.
Your risk of ruin should be always less than 5%, and your chance of success should be 5-10 times higher, e.g. if your risk of ruin is 4%, then your chance of success should be 40% or higher.
If you go to a casino and bet everything you have on red,then you have a 49% chance of doubling your money and a51% chance of losing everything. The same applies to trading: You can make a lotof money if you are risking a lot, but then risk of ruin is very high. You need to find a healthy balance between risk and reward.
Lets say you define ruin as losing 20% of your account, and you define success as making 20% profits. Having a trading system with past performance results let you calculate the risk of ruin and chance of success.
Your risk of ruin should be always less than 5%, and your chance of success should be 5-10 times higher, e.g. if your risk of ruin is 4%, then your chance of success should be 40% or higher.
!!NF trend UP
tgt > 6222
a phenomenal rise fuelled by a surge in Large caps ....dats wat 1 gets a 1st impression....bt if 1 digs a little deeper,u wil see dat d real back bone of a sustained rally...the SMALL CAPS(kids) r actually on a profit booking spree since over a week. so wat can b drawn frm dis ?dis may b d quest in 1's mind.....wel, it does not auger well for d main indices(parents).d main indices r also showing negative divergence in daily RSI too. so going forward, d kids hav 2 catch up wid d parents else v may see parents coming searching for d kids..bt also dis does nt mean.. start shorting. unless v get a trend down, v r stil wid d parents.jst a note of caution for 2 b fresh incoming bulls.
tgt > 6222
a phenomenal rise fuelled by a surge in Large caps ....dats wat 1 gets a 1st impression....bt if 1 digs a little deeper,u wil see dat d real back bone of a sustained rally...the SMALL CAPS(kids) r actually on a profit booking spree since over a week. so wat can b drawn frm dis ?dis may b d quest in 1's mind.....wel, it does not auger well for d main indices(parents).d main indices r also showing negative divergence in daily RSI too. so going forward, d kids hav 2 catch up wid d parents else v may see parents coming searching for d kids..bt also dis does nt mean.. start shorting. unless v get a trend down, v r stil wid d parents.jst a note of caution for 2 b fresh incoming bulls.
Similar threads
-
Nifty option strategy chart in Dhan Optiontrader
- Started by MetatraderUser
- Replies: 3
-
-
-
-
NSE Changes Nifty Bank Expiry Day to Friday for Future and Options Contracts
- Started by DreamDeal
- Replies: 11