Thoughts on Day/Swing Trading

[respectinvestor]

How much of a role does luck play in trading? In the long run,
zero. Absolutely zero. I dont think anybody winds up make
money in this business because they started out lucky.
Richard Dennis

 

[respectinvestor]

You need confidence to say, "This stock is going up, my indicators say it will continue to rise, I am going to get long and ride this trend." At the same time, you need to be humble enough to put on trades whose size will not endanger your account. You have to accept the uncertainty of the markets and be ready to take a small loss without quibbling.

कुछ कर गुजरने की आग जीने नही देती,
कुछ न कर पाने का एहसास सोने नही देता !
यकीन की चिंगारी अश्क पीने नहीं देती,
अटल इरादा शिकस्त पे भी रोने नही देता

 

[Satyen]

In My View we are in a Listless situation on Nifty not having clear Trend , Any 1/2 Strong up Close days will make ADX to go Below Level 20 .....

So We think market cyclical then will see how trend develops from this.... it may take much longer time we expect still will be watching ...

 

[jallanankit]

I do agree tht luck does not play a gr8 role in a person's win.. BUt I would like to say that luck does play a very big role in a person's loss.!!

And i believe tht u guys will also agree to this.!!

 

[Smart_trade]

In my view luck plays no role in profit or loss in trading in long run. There are traders making money year after year and they cannot be lucky all the years. Similarly there are daytraders who are profitable atleast in 15 trading days out of 20 .....this is no luck. This is the display of skills, their trading edge, market knowledge,discipline.....

In short term whether a trade which we are taking is going to workout or fail is entirely matter of luck or chance if you may call it. But if you take 40 trades, we will make money...that is certain, not left to any luck or chance.....

Smart_trade

 

[jallanankit]

i agree with u..! but wat will u call this.. U decide the motion of trade.. abd while u click the button on the mouse and then the next moment Network Failure.. Ok..ignore one such trade(even though u had a substantial loss..not squaring up and not reversing the position..u take a reverse entry at a higher level and the next moment market takes a dip again..!!) ok forget that also.. wat if such a thing happens to u in 4 times a weeek.. If not technological failure, u can give it a new name next time.. Without any offence to views expressed here.. i will call it sheer bad luck.>!!

 

[Bigbear]

Dear jallanankit,

As long as we dont get heart attack , we will some how find a way to square off the position we made within a matter of few minutes. We should always have a back up when trading. those are lessons 101 in trading. And if your using moneymanagement. Even if the loss is more than what you expect, it wouldn't damage your total money in your account. [ portfolio diversification] .

I've been taught to think positive even during negative times

 

[Smart_trade]

i agree with u..! but wat will u call this.. U decide the motion of trade.. abd while u click the button on the mouse and then the next moment Network Failure.. Ok..ignore one such trade(even though u had a substantial loss..not squaring up and not reversing the position..u take a reverse entry at a higher level and the next moment market takes a dip again..!!) ok forget that also.. wat if such a thing happens to u in 4 times a weeek.. If not technological failure, u can give it a new name next time.. Without any offence to views expressed here.. i will call it sheer bad luck.>!!

If you are a serious trader, you cannot leave your profits/loss on things like computer failure/hanging, net getting disconnected,power failure.....keyboard failure etc .Have a UPS which will cold start your computers and give atleast 6-8 hours of back up, keep an extra computer with all programmes loaded so that in case of computer failure we dont waste time in fixing it but we just replace the machine and fault we will see at end of day.Also have a standby fully functional broadband connection.

All these will help reducing our dependence on "Luck" to some extent atleast.We need to gear up ourselves to take care of these problems which crop up anytime.

Smart_trade

 

[trader.trends]

The result of an individual trade may be the result of good or bad luck but the result of 100 consecutive trades is the result of the work we put in.

The harder I work, the luckier I get.
Samuel Goldwyn

 

[jallanankit]

Both u guys are very right in saying this.. Thanx a lot.. But all these comes with time..!! Yes, i have learned all this (backup procedures) and yes i m in the process of imbibing MM techniques into my trading, but the way i was HIT at tht time is being a little bit difiicult to overcome.. Still i m trying and this time i m trying to learn wat caused the failure then.. Hope tht u support and guidance of u guys here, i will be able to overcome the So called Luck factor and come up with positive results..!!