Scalping method target 2000 per day- opinion required

[princepaulpp]

You are planning to use all the capital in a single trade ?? Doesn't sound like a good money management system.

Which charts do you use ? What is your entry/exit strategy ? A lot of planning will go into taking these trades before you actually enter one.

Also, you could look at other things like trading futures using BO, selling options etc.

But a return of Rs. 2000 on an investment of Rs. 15000 sounds very optimistic. I think initially you should think only of breaking even, and then raising the target to about Rs. 1000 per day.

Anyway, good luck and keep us posted :thumb:

Dear timepass and samatung
Thanks for your opinion.i will look into it.by the way y did u mention selling options using BO.is it better than buying options?

 

[princepaulpp]

:lol::lol: Prove it.

Dear somatung

I have been trading from past 4 yrs.with that experience I told confidently I can make profit of 2rs.anyways ill b cautious

 

[princepaulpp]

Dear somatung

I have been trading from past 4 yrs.with that experience I told confidently I can make profit of 2rs.anyways ill b cautious

I make use of prides stratergy to scalp 10 nifty points in every trade.but was losing on brokerage n taxes.thats y switched to zerodha and options trading now and asked all your opinion

 

[comm4300]

Dear timepass and samatung
Thanks for your opinion.i will look into it.by the way y did u mention selling options using BO.is it better than buying options?

while we wait for Timepass and Dan to respond.

I'll give my opinion. Selling options seems to have an edge over buying. Again, it depends on your strategy. Let's say your system gave a BUY signal:

instead of buying CE option, sell PE. A visual backtesting shows that selling has given a slightly more profit than buying.

But here, your leverage is restricted. Even if you use bracket order, you won't be able to sell much lot with 15k. do check.

Given a choice : Selling option for rs.2 intraday may be better than buying option.

all the best.

 

[niftychartreader]

I make use of prides stratergy to scalp 10 nifty points in every trade.but was losing on brokerage n taxes.thats y switched to zerodha and options trading now and asked all your opinion

As you said, you are loosing on brokerage n taxes, then
How many trades (count each buy or sell leg as one trade) you intend to take in a day. If more than 4-5 then Zerodha wont be a good option for you at least in terms of brokerage. You better go for a fixed brokerage charges, for your trades that ranges 750 to 2000 per month for unlimited number of trades in equity and F&O (in NSE) for a month.

 

[Somatung]

Dear somatung

I have been trading from past 4 yrs.with that experience I told confidently I can make profit of 2rs.anyways ill b cautious

If you can do so in average on a profitable way in the long run, then you do not need any advise or at least you would not have to ask any question about it here.

Nevertheless: Even two points sounds like nothing, it is a lot on a constant road to have any profit in the long run.

By the way: What kind of trader are you? This question is not meant to value any thing. It is meant to make you think for your self about how you define your trading style you did in the past. The answer could be the key to your question.

Take care / Dan

 

[timepass]

Dear timepass and samatung
Thanks for your opinion.i will look into it.by the way y did u mention selling options using BO.is it better than buying options?

in my opinion, DON'T USE BRACKET ORDER FOR OPTIONS. Use it for equities or for futures.

Using BO, you have only 3% stoploss max. So, for an option costing Rs. 25, your stoploss will be 75 paisa, which, in my experience with options, can get hit very easily.

I'll give you an example of using equities and BO with Zerodha.

Suppose your charts tell you to buy SBIN at Rs. 315 with a stoploss at 311.

Zerodha margin calculator will tell you that for 100 shares, you will need a margin of about Rs. 1450 for such a bracket order (buy at 315 stoploss 311). Ok ?? So, you can place 4-5 different orders to buy at 315, 315.5, 314, 314.5 etc.. 100 shares each time. All the orders need not get executed but whichever trade is executed and the market moves up, you will have a chance of the order striking your intended target. If the market goes below 313, you will have a chance to re-look at your expected trend and decide if you want an early exit.

Before taking a trade, you have to decide your exit strategy. The exit strategy will encompass both the scenarios - the stoploss and the target.

If you were to use the above example with the futures, it will cost you about Rs. 7000 per lot, thus giving you a flexibility of only 2 lots and a potential loss of about Rs. 5000 each lot (if stoploss hit).

 

[princepaulpp]

Successfully made profit on first day of this scalping methid.

Details

Investment 15000
I was able to trade 400 options in BO
Target 1.1(1rs for profit and 10ps for brokerage) stoploss 1.

Out of many trade signals i traded only 8 trades.6profit and 2 loss

4×400= 1600 (not aware of taxes and other charges.will know eod)

 

[timepass]

Successfully made profit on first day of this scalping methid.

Details

Investment 15000
I was able to trade 400 options in BO
Target 1.1(1rs for profit and 10ps for brokerage) stoploss 1.

Out of many trade signals i traded only 8 trades.6profit and 2 loss

4×400= 1600 (not aware of taxes and other charges.will know eod)

Who is your broker ??

 

[princepaulpp]

Who is your broker ??

Zerodha......