Opto Circuits Futures. I have a short position with high losses.

[PGDIMES]

Thanks for the info.

I don't know anything about Rollover of Futures contract. Is it possible to roll over Sept contracts to Oct if one is facing a loss? Or would I have to square off?

Rollover means closing out position in one series and opening same(long/short) position in next/another series(read month). But the question is what's your opinion on trend of Optocircuits for the next month. IMO, the trend is up in short term as well as medium term.

 

[bloodmoney]

Thanks for the info.

I don't know anything about Rollover of Futures contract. Is it possible to roll over Sept contracts to Oct if one is facing a loss? Or would I have to square off?

Yes.. It is creating the same position in Next month contract which you are holding in current month's. BTW, As Savant sir stated, Do not commit the same mistake again by trading against the TREND. Good luck.

 

[gauharjk]

GauharJK,

Rollover simply means squaring off your current month series & entering next month series.

Now....you already made a mistake shorting against the trend....and now that it has consolidated....it perhaps be better to trade with the trend instead of against the trend....

Happy & Safer Trading

SavantGarde

Thanks again.

I squared off 2 of the 3 lots at 307. One lot remains. I will square it off today. I had set a price of 303.50 for it, but never got it. Futures touched 304.05 and went back up.

Rollover means closing out position in one series and opening same(long/short) position in next/another series(read month). But the question is what's your opinion on trend of Optocircuits for the next month. IMO, the trend is up in short term as well as medium term.

Thanks.

In October, large IPOs are being lauched, like Coal India IPO, which would be atleast 15000 crores if subscribed 1x, which would absorb a lot of liquidity from the market. Many analysts also say that FII inflows might slow down next month.

There is not much news on Opto circuits. Its all buying on rumors, so I thought it might correct to 290 levels in October. But one can never know...

Yes.. It is creating the same position in Next month contract which you are holding in current month's. BTW, As Savant sir stated, Do not commit the same mistake again by trading against the TREND. Good luck.

Thanks.

I will square off and take the loss. Next time, I will stick to stop loss with discipline.

Cheers!

 

[SavantGarde]

GauharJK,

Always remember to change your expectation in a flash if you thik it is not going to come to your price....with the way you put...you are expecting this or that...it is not moving...& etc....you still have a long way to go...and moreover...your ledger does not afford you the luxury....of analysing about liquidity scenario because of Coal India IPO....

Do Not delude...yourself....in terms...of movement...

Watch what happens to Opto on friday...

SavantGarde

 

[freakin]

Hi Savantji,

is there any major downfall expected in Opto on Friday??? It has been falling rapidly after touching its 52-week high recently...

Thanks,
Freakin

GauharJK,

Always remember to change your expectation in a flash if you thik it is not going to come to your price....with the way you put...you are expecting this or that...it is not moving...& etc....you still have a long way to go...and moreover...your ledger does not afford you the luxury....of analysing about liquidity scenario because of Coal India IPO....

Do Not delude...yourself....in terms...of movement...

Watch what happens to Opto on friday...

SavantGarde

 

[gauharjk]

Finally, after squaring off my shorts (2 lots) at 307, I squared off my last remaining lot at 297. I got out with a small loss of Rs 2000+ instead of Rs 50000 loss I was looking at when it had touched 320+

The entire month was wasted. Bad luck...

Today, I bought 1 lot (500) of TCS at 951 and sold at 964. Rs 6000+ profit in a couple of hours... That felt good. A little bit of confidence coming back...

 

[rajeabc]

Finally, after squaring off my shorts (2 lots) at 307, I squared off my last remaining lot at 297. I got out with a small loss of Rs 2000+ instead of Rs 50000 loss I was looking at when it had touched 320+

The entire month was wasted. Bad luck...

Today, I bought 1 lot (500) of TCS at 951 and sold at 964. Rs 6000+ profit in a couple of hours... That felt good. A little bit of confidence coming back...

good luck......

 

[columbus]

One can hold OPTO (in equity segment) for a target of 332/- with stoploss at 280.

 

[Premothi]

Here Is why I gave him preference as to which Stock future between the 2 he mentioned in his post.



When above paragraph is analysed this what I interpreted.... somebody who is depending solely on earnings from trading to support himself & kids....in the future....

Someone who has already been trading for last 6 months perhaps more successfully, because he uses the word 'Modest' for gains... perhaps because it is not enough to support himself & kids with trading in equities...also it shows he is aware of risks because he is not in any kind of hurry....goes to show he is aware & mature in understanding different segments of the market.....& has been keeping a close eye on derivatives.....



Just the fact...he had shortlisted ICICI & LIC goes to show he has done his homework well.....

With all the above.... does it still warrant to give advice that 'Don't jump into futures'



Happy & Safer Trading

SavantGarde

Dear Savantji,

Thank you very much for the advice for LIC futures. Please clarify the following:
1. Will it be correct to have a target of 25% returns on Margin amount and to exit if it is achieved?
2.Will it be correct to exit with profit in Nov futures before Oct expiry?
3.What is the latest time till which I can wait for the upward trend if the price does not move much?
4.Will it be correct to have a stop loss of 2% below the futures share price and exit if the trade is going against me and reenter in another counter?

Looking forward to your reply.
Premothi

 

[rajeabc]

Dear Savantji,

Thank you very much for the advice for LIC futures. Please clarify the following:
1. Will it be correct to have a target of 25% returns on Margin amount and to exit if it is achieved?
2.Will it be correct to exit with profit in Nov futures before Oct expiry?
3.What is the latest time till which I can wait for the upward trend if the price does not move much?
4.Will it be correct to have a stop loss of 2% below the futures share price and exit if the trade is going against me and reenter in another counter?

Looking forward to your reply.
Premothi

you can post your queries in Savant Sir thread for quick reply
http://www.traderji.com/equities/10035-stocks-keep-close-eye.html