Hi readers hope this post help to new traders and aspiring traders.
Just one thing before we get into trading strategies: Do you seriously want to be market making consistent profit or just blow account to zero blaming market?
Just one thing before we get into trading strategies: Do you seriously want to be market making consistent profit or just blow account to zero blaming market?
If we seriously want to make consistent money and be in it long run we need to maintain 4 things from my perspective.
1) Strategy
2) Money Management
3) Psychology
4) Continuous Learner
Trading is never been easy for many people because they wont follow properly, i want to share my trading strategy which is quite successful intraday Trade.
Intraday Trading strategy:
- Simple Observations will give YOU good money if you CONCENTRATE.
- Take any liquid stock or index( nifty & bank nifty).
- I'm using the bhel as example here.
- To trade current day look into the scrip yesterdays(30/6/16) close first consider BHEL values as Eg
127.7 is the yesterdays close.
- In Current trading day if the price opens greater than yesterdays close(129>127.7).
- Then watch for some pull back( their might be exceptions open=low, open= high in which u can enter if it doesn't break) if day low of the scrip comes slight down from opening watch for yesterday close if it took support or jumping from day low without touching yesterdays low then our trading entry starts.
- As soon as it crosses the day opening buy immediately watch for spot prices only u can get easily good profit depending on the volatility of the stock.
- calculate your break even point so that you can trail your stop loss.
https://zerodha.com/brokerage-calculator1
- placing sl in this intraday trade is 1:3 ratio from entry price.
- In order to execute this trade there are few things to check.
1) volumes should be more than last few days(take 5 to 10 days average).
2) you need to look historical chart for support and resistance in order to get rough idea until where the stock trades to exit your trades( getting in always easy but exiting with profit is risky).
3) always check yesterday candles so that if they make any pattern you can turn intra position to positional trade.
Placing stop loss is important lets consider 5 trades continuously, if market surprises by hitting 2 trades sl also then next 3 trades in profit( only 2% loss with 5- 8% profit(1-1.5% brokerage))
which ultimately makes you stay in market for long time.
please do read about market news papers.
don't watch TV channels.
don't listen to people who claim unnecessary advertisement.
do select stocks which are more liquidity in cash or f&o.
- with this strategy one can initiate trade in futures and options also.
- coming to option strategy buy just 1 away OTM from the ATM option.
- calculate volatility and Greeks if you had patience.
- look for strategy said above on spot price and execute as fast as you can when scrip bounces back from day low to open price.
- never loose more than 30% max capital in option trading( if u r a aggressive trader) 20% min.
- always trail your SL once trade crosses break even point of your trade to minimize the market surprise.
MORE OVER THE ABOVE STRATEGY TO WORK IN TRADER FAVOR ONE NEEDS TO LOOK IN FOR FIRST HALF N HOUR SO THAT YOU CAN EXIT WITHIN 1 TO 2 HOURS OF EXECUTION OF TRADE.
Trust me this gonna work max percentage. if you do have doubt take some liquidity stocks which have trading with more volume and check as i took BHEL as example.
Ones own trading intuition comes by experience and inborn skills.
Success percentage depends on stock selection also.
You need to learn simple things which affect market in greater way so that which thing affects which industry in what way you should get to know (helps in picking stocks).
Psychology plays major part as market rewards patience.
Thanks for creating this opportunity.
2) Money Management
3) Psychology
4) Continuous Learner
Trading is never been easy for many people because they wont follow properly, i want to share my trading strategy which is quite successful intraday Trade.
Intraday Trading strategy:
- Simple Observations will give YOU good money if you CONCENTRATE.
- Take any liquid stock or index( nifty & bank nifty).
- I'm using the bhel as example here.
- To trade current day look into the scrip yesterdays(30/6/16) close first consider BHEL values as Eg
127.7 is the yesterdays close.
- In Current trading day if the price opens greater than yesterdays close(129>127.7).
- Then watch for some pull back( their might be exceptions open=low, open= high in which u can enter if it doesn't break) if day low of the scrip comes slight down from opening watch for yesterday close if it took support or jumping from day low without touching yesterdays low then our trading entry starts.
- As soon as it crosses the day opening buy immediately watch for spot prices only u can get easily good profit depending on the volatility of the stock.
- calculate your break even point so that you can trail your stop loss.
https://zerodha.com/brokerage-calculator1
- placing sl in this intraday trade is 1:3 ratio from entry price.
- In order to execute this trade there are few things to check.
1) volumes should be more than last few days(take 5 to 10 days average).
2) you need to look historical chart for support and resistance in order to get rough idea until where the stock trades to exit your trades( getting in always easy but exiting with profit is risky).
3) always check yesterday candles so that if they make any pattern you can turn intra position to positional trade.
Placing stop loss is important lets consider 5 trades continuously, if market surprises by hitting 2 trades sl also then next 3 trades in profit( only 2% loss with 5- 8% profit(1-1.5% brokerage))
which ultimately makes you stay in market for long time.
please do read about market news papers.
don't watch TV channels.
don't listen to people who claim unnecessary advertisement.
do select stocks which are more liquidity in cash or f&o.
- with this strategy one can initiate trade in futures and options also.
- coming to option strategy buy just 1 away OTM from the ATM option.
- calculate volatility and Greeks if you had patience.
- look for strategy said above on spot price and execute as fast as you can when scrip bounces back from day low to open price.
- never loose more than 30% max capital in option trading( if u r a aggressive trader) 20% min.
- always trail your SL once trade crosses break even point of your trade to minimize the market surprise.
MORE OVER THE ABOVE STRATEGY TO WORK IN TRADER FAVOR ONE NEEDS TO LOOK IN FOR FIRST HALF N HOUR SO THAT YOU CAN EXIT WITHIN 1 TO 2 HOURS OF EXECUTION OF TRADE.
Trust me this gonna work max percentage. if you do have doubt take some liquidity stocks which have trading with more volume and check as i took BHEL as example.
Ones own trading intuition comes by experience and inborn skills.
Success percentage depends on stock selection also.
You need to learn simple things which affect market in greater way so that which thing affects which industry in what way you should get to know (helps in picking stocks).
Psychology plays major part as market rewards patience.
Thanks for creating this opportunity.
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