Priyanvada's chit chat home ...

[prasadam]

Good Morning.

Brahma Muraristripurantakari Bhanuh Sasi Bhumisuto Budhascha I
Guruscha Sukrah Sani-Rahu ketavah Kurvantu sarve mama suprabhatam II

 

[priyanvada]

First Question of the day: -

What is meant by protecting the profit...

Lets Consider an example ...

1. I bought 100 Unitech stocks at price 100Rs. ...

2. And Fortunately the price rose up to 110 Rs. till the day end ...

3. Although Price rose upro 110Rs., It was NOT a "straightline rise" ... It Rose in a "staircase rise" ... i.e. in steps ... 103,105,107&110 .. i.e...

a.It went to 103Rs. first and then went stable-horizontal for 1 hour

b.And again rose to 105 Rs. and again went stable-horizontal for 2 hours

c.And again rose to 107 Rs. and again went stable-horizontal for 1 hour

d.And again slowly rose to 110 Rs ...

So ... An Expert in a Book suggests exit strategy in above case or say in any case ..

I. Protect your 50% profit @ 102 Rs.

II. Protect your 75% profit @ 105 Rs.

III. Protect your 90% profit @107 Rs. &

IV. Now leave the rest 10% profit to rise or fall (upto 100Rs.) as much as it can till the end of session ...

... So I am little confused here ...

What is meant by "Protecting the profit"???

 

[priyanvada]

This is interesting ...

A tip I received ... Buy FCS Software Solutions Ltd. with 124 target ... DID hit the target and then fall back yesterday ...

This is amusing!

 

[raj001]

This is interesting ...

A tip I received ... Buy FCS Software Solutions Ltd. with 124 target ... DID hit the target and then fall back yesterday ...

This is amusing!

hmn.. u also get operators tip?/ wah very gud.. frm where?

 

[priyanvada]

Rajji ... tips4trade(dot)com ...

Anyway I am not for operators tips ... just had got it accidentally ...

Anyway if you have time ... please answer my questions in the earlier post for you ...

 

[priyanvada]

Here it is Rajji ...

If you have time ... please DO respond ...!

Dont worry Rajji ... I TRUST You! ... but this is really seems unbelivable thing! ... I am getting curious about your trading method!! ... Please Get some time and tell me ..

1. For how many years you are trading this way ...?!
2. What you look at? and How do you decide the entry and exit?
3. How much you risk in a single trade normally?
4. Do you take into account the price movement of earlier day/days for todays tukka?
5. How much average return you have achieved with this style of Tukka-trading?!
6. What are your secrets of success?

Ohh there are so many questions ...

... Teaching you --- someone like you --- I feel a little girl is teaching a bird how to walk on the ground ...

If you are already scoring CONSISTANTLY much much better than me then there seems no REAL need for you to learn my CRAP TA knowledge ...

 

[priyanvada]

Priyanvada's Lab Work: -

A good R & D is happening in Priyanvada's Lab on "How to exit a Profiting trade!" ... Many friends have given their valuable inputs ... Here is an input from a book ... Comments are always welcome! ...:thumb:

When To Exit

Exiting a trade. Surprisingly, this is more important than entry. This is where the money is made. Yet not one in a hundred traders actually spends any time considering exiting from a trade once they have entered. I my opinion, this is why most traders fail in the markets.
Lets recite some of the trading principles I live by and then see how they fit into my exit rules.
The big money is in the big moves. So when you are in a trade and it gives you some early profits, DO NOT look to bail out as soon as starts to correct. You want to hang in there for as long as possible and HOPE your small profits turn into large ones.
Cut losses short. I am absolutely gob smacked when I hear of traders/investors not cutting their losses short. They say to me things like: its not at a loss until I sell it. But its a good company, why should I sell it. if it drops any more then I will sell. The only way we can survive in the markets is to cut your losers as soon as it reached a predefined % stop loss. Do not second guess. If your initial stop is hit get out and move on. Whats the big deal. Think about it this way, if the loser you are holding onto is stopping you from entering a fantastic winning trade isnt it sensible to drop the loser and go looking for that winner?
Less is best. Most people want to actually make more trades. They like to cut off their winning stocks/futures in the search of the next one. BUT the key to making money in the markets is to actually trade less often. This means both to be very patient before entering a trade and then when you are in it is actually much better to hold onto your winning stocks than to cut them off and initiate a new trade. The most dangerous part of any trade is when you enter. So if this is the case why would you keep wanting to place your-self in danger?
Once you have entered on a valid 1-2-3 pattern do this:
Set your initial stop loss relatively tight. For stocks I do not like to lose more than 10% on futures this will have to be a predetermined $$ amount. Bear in mind, you really should not be risking more than 3% of your total equity on any one trade. So if your account is $20,000 on each trade your maximum risk is no more than: (3% of $20,000) $600.

Once you have a 25% gain then move your stop to break even. If the stock doubles back from here and takes your stop out you have lost only your brokers transaction. Sure you left 20% profits on the table. So what. Thats the chance we took in the HOPE of making a much bigger profit.
Once you have a gain of over 25% simply protect half of those profits until you are stopped out.
Once you have a 100% gain then protect 75% of those profits until you have been stopped out.
As you can see I like to keep my exits very simple and straightforward. I do not rely on oscillators to tell me a market is overbought/oversold. They simply do not work. Once you have a profit it is all about hoping those profits turn into very big profits. You have to be prepared to give back a % of your gains in the hope of doing this.
Taking a profit too early is just as dangerous as not cutting your losses!
Hope and Fear. Remember this statement:
FEAR your losses will get much bigger (so cut them off)
HOPE your profits will become much bigger (so give them plenty of slack)
Sadly, most do it completely the other way around. They fear their profits will disappear so cut them off too quickly. They hope their losses will turn into profits so hang onto them far too long. Is it any wonder they lose in the markets?

 

[raj001]

Dont worry Rajji ... I TRUST You! ... but this is really seems unbelivable thing! ... I am getting curious about your trading method!! ... Please Get some time and tell me ..

1. For how many years you are trading this way ...?!
2. What you look at? and How do you decide the entry and exit?
3. How much you risk in a single trade normally?
4. Do you take into account the price movement of earlier day/days for todays tukka?
5. How much average return you have achieved with this style of Tukka-trading?!
6. What are your secrets of success?

Ohh there are so many questions ...

... Teaching you --- someone like you --- I feel a little girl is teaching a bird how to walk on the ground ...

If you are already scoring CONSISTANTLY much much better than me then there seems no REAL need for you to learn my CRAP TA knowledge ...

Here is d answer


For how many years you are trading this way ...?! 18 months, i m in mkt since last 2 yrs
2. What you look at? and How do you decide the entry and exit? news based/stock price movement in last two days/ sl as per my appetite and book profit as soon as i get it, dont wait for long time......
3. How much you risk in a single trade normally? 300 to 500
4. Do you take into account the price movement of earlier day/days for todays tukka? just keep tracking daily gainers and losers and any mkt news related to the stock if any...
5. How much average return you have achieved with this style of Tukka-trading?! for the first 6 months i only lost, gave tution fees to market.. after dat started earning little little...

6. What are your secrets of success? ha ha... ii have not achieved anythin till now so i have not succedded til now

 

[viraljethwa1]

hi i m new in trading can any one tell me the best website terminal and not the software terminal for the intra day trading
and i wan to buy share and sell them within 5 to 15 to 30 minints
and i want to trade without entering limit price , market price and the stoploss
is it possible

u will be kind if u help me
thanks to all

viral

 

[priyanvada]

Rajji ,

Tell me Have you doubled your Capital or not?