Professional Traders know how to turn a losing trade around

suri112000

Well-Known Member
#1
I was amused at this statement. It is an established fact that professional traders trade very less compared to amateurs. They do some committed trades in a given period of time. Committed in the sense that they weigh the pros and cons of each trade. Once entered in the trade, they know when to book profits if it straight way goes into profit region. If the trade goes into a loss soon after entering the trade, they have alternative plans to counter the losses. I am giving below one of the links of youtube videos where there is a mention how to turn a losing trade into a profitable one.

https://www.youtube.com/watch?v=kehFY6ZGn5Y


Excuse me guys I am not promoting anything. Kindly ignore any solicitation depicted at the fag end of the video. Pick up the ideas in the video and leave other things alone.:D

I will be glad if anybody share like videos and links on the subject.
 

amit44

Active Member
#2
i was amused at this statement. It is an established fact that professional traders trade very less compared to amateurs. They do some committed trades in a given period of time. Committed in the sense that they weigh the pros and cons of each trade. Once entered in the trade, they know when to book profits if it straight way goes into profit region. If the trade goes into a loss soon after entering the trade, they have alternative plans to counter the losses. I am giving below one of the links of youtube videos where there is a mention how to turn a losing trade into a profitable one.

https://www.youtube.com/watch?v=kehfy6zgn5y


excuse me guys i am not promoting anything. Kindly ignore any solicitation depicted at the fag end of the video. Pick up the ideas in the video and leave other things alone.:d

i will be glad if anybody share like videos and links on the subject.

. .

. .
 
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XRAY27

Well-Known Member
#4
I was amused at this statement. It is an established fact that professional traders trade very less compared to amateurs. They do some committed trades in a given period of time. Committed in the sense that they weigh the pros and cons of each trade. Once entered in the trade, they know when to book profits if it straight way goes into profit region. If the trade goes into a loss soon after entering the trade, they have alternative plans to counter the losses. I am giving below one of the links of youtube videos where there is a mention how to turn a losing trade into a profitable one.

https://www.youtube.com/watch?v=kehFY6ZGn5Y


Excuse me guys I am not promoting anything. Kindly ignore any solicitation depicted at the fag end of the video. Pick up the ideas in the video and leave other things alone.:D

I will be glad if anybody share like videos and links on the subject.
Nice ... points for option trade !!!
 
#5
Nice ... points for option trade !!!
In the first part of the video the guy is talking about two, modified synthetic calls his company is using and teaching there customers.

Synthetic calls are a good way to implement in an option - or hedge strategy trading plan. Those synthetic calls can be modified and converted into different other option strategies with some other modifications like shown.

So the video has surely his value and could bring up some new discussions in the forum about how to trade stocks with such a trading plan like mentioned from him. :clapping:

Here the basic way of how such a synthetic call is done: http://www.theoptionsguide.com/synthetic-long-call.aspx

Have a nice weekend / Dan :)
 

suri112000

Well-Known Member
#6
I am eyeing Colgate Palmolive Futures to do synthetic call. Its been hammered by about 6% from its recent highs. Its quoting about 1900 as on the date.

Now, the question is about hedging. I have the following alternatives to hedge it.

1. Long 3 lots Colgate Palmolive Futures @ 1900.
2. Buy 3 lots Colgate Palmolive Puts 1900 strike @ 32.95
(But here the problem is expiry is just 4 days away..........and the premium is quoting at +1.6% of futures value. There is a danger of time decay).
3. If I opt to sell 3 lots Call 1950 strike @ 16.85.............net costing would come down by descent 16 points. (Time decay will benefit the trade).

As of now, fingers crossed..........would watch this trade for next 4 trading days.
 
#7
I am eyeing Colgate Palmolive Futures to do synthetic call. Its been hammered by about 6% from its recent highs. Its quoting about 1900 as on the date.

Now, the question is about hedging. I have the following alternatives to hedge it.

1. Long 3 lots Colgate Palmolive Futures @ 1900.
2. Buy 3 lots Colgate Palmolive Puts 1900 strike @ 32.95
(But here the problem is expiry is just 4 days away..........and the premium is quoting at +1.6% of futures value. There is a danger of time decay).
3. If I opt to sell 3 lots Call 1950 strike @ 16.85.............net costing would come down by descent 16 points. (Time decay will benefit the trade).

As of now, fingers crossed..........would watch this trade for next 4 trading days.
Good idea as a starting point. When testing new option strategies, we need to sit down and watch for a while how it goes. This will open our mind to new ideas and how we can improve such strategies, as we have seen the numbers shown from the derivative we test during this time.

Still: I guess you talk about the share and not about a future. Kindly correct me if I did miss understand your above comment about "Future".

Let's watch your idea in the coming week and then maybe let's see what can be improved.

Take care and have a nice weekend / Dan :)
 
#9
Just had a look at it. Hmm. No stop loss and averaging losses is what he is telling people should do. At that moment I stopped watching as this is, at least to me, no idea to do trading.

The TA he is doing is maybe worth to look at if you still do not have a clear TA or even PA trading system for your self.

Just my two cent and have a nice evening / Dan :)
 

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