General Trading Chat

[Smart_trade]

Option writing also ?

Haan bhai thoda bahot kaam options me bhi kar lete hain....but I am a beginner there...

Smart_trade

 

[Smart_trade]

Next 1 year we will have plenty of investment and trading opportunities. Market will be volatile due to election year and volatility will bring investment opportunities so be alert and use all these opportunities.....market will move in both directions.

Smart_trade

 

[travi]

DMart looking towards its personal best close 1590-1600 last time it was 1572.

 

[augubhai]

on a lighter note.

assume that one's wife is going to office and is the roti winner of the family and the poor one's husband is at home and trading from home.

lets say she had warned her husband that within 4 months the equity need to turn positive ... and the max drawdown can be only 10K per month ... however if the drawdown exceeds 10K in one month ... it can be spread to 4 month ... provided the max drawdon does not exceed 40K within the 4 month period.

sounds familiar

Very familiar. My wife is like the RBI. Very strict, but also very lenient.

 

[Smart_trade]

Nifty is closing flat but many shares have gone up 3-5 % today.

Smart_trade

 

[lemondew]

All these discussions are highly relative to the persons timeframe and mindset.

For some The second half was in sync with the lareger timeframe while first half wasnt. While for others for whom the first was half must have been sync the second half was not. I think both party can make money (or loose money as well). And I now feel this is not a zero sum game.

Yes, when all three trends are in phase, then we get trended moves...till that happens we will have corrective sideways moves.

For short term traders, we have to ensure that atleast visual and minor trends are in phase.....long term trend may not agree but if visual and minor trends are in phase, we get tradeable moves.

Smart_trade

 

[lemondew]

The person from whom we buy is generally never the person to whom we sell. Even if it is the case then it can be zero sum game only for that trade. The success of a person depends on the outcome of a series of trades which spans over a period of months and years. That is never a zero sum game. Two people having contra views and generally taking opposite trades can end up both making profits or both of them can end up making losses.

Hence derivative trading isnt zero sum game as per me. Many have written its zero sum its either you or someone else and so on... which i feel is not the case

 

[vivektrader]

The person from whom we buy is generally never the person to whom we sell. Even if it is the case then it can be zero sum game only for that trade. The success of a person depends on the outcome of a series of trades which spans over a period of months and years. That is never a zero sum game. Two people having contra views and generally taking opposite trades can end up both making profits or both of them can end up making losses.

Hence derivative trading isnt zero sum game as per me. Many have written its zero sum its either you or someone else and so on... which i feel is not the case

Actually it's a negative sum game when you add the brokerage and taxes. Winners give a pie of there cake, losers give cake plus apple pie
Its not like if trader 1 makes a profit of x amount being long on a futures contract, then the same amount has to lost by any one trader (trade2 who gave the futures lot to trade1 who made money on it), rather it's a sum total. For the period the trader 1 holds that lot in profit, multiple traders might have entered short and then covered up.
On the other hand the people who arrange this show will always be net positive like the big investment banks, exchanges like comex, brokers and the government.


Vivek

 

[lemondew]

Many say its big shark eating small fishes. Lets say an institution wants to sell and i am buying now. He will have a million shares to sell while 100 i buy. The moment it hits my sl i ll be trying to sell. Now before he has sold his kitty we have already decided to reverse direction. We are now swimming in same direction. Brokerage taxes aside the big shark small fish theory no longer fits my idea of trading

Actually it's a negative sum game when you add the brokerage and taxes. Winners give a pie of there cake, losers give cake plus apple pie
Its not like if trader 1 makes a profit of x amount being long on a futures contract, then the same amount has to lost by any one trader (trade2 who gave the futures lot to trade1 who made money on it), rather it's a sum total. For the period the trader 1 holds that lot in profit, multiple traders might have entered short and then covered up.
On the other hand the people who arrange this show will always be net positive like the big investment banks, exchanges like comex, brokers and the government.


Vivek

 

[vivektrader]

My stock list is an open secret and everyone in this thread knows my scrips.

Bajaj Finance is doing CD 13 so strong move is expected. But I have put my sale orders already...happy with the profits made...

Smart_trade

Sir,
I understood the timing to book profits, but how do you decide when to reenter?
The correction can be anything from a retracement to 20ema on daily to a setup or a buy CD. I am always afraid to exit positions in core portfolio stocks, fearing that I may miss the bus.