Traders, Watch For These Tripfalls!

[newtrader101]

CONFUSING TRADERS
The default position in an order is buy. However when a short position though squared off, when we click "ADD TO" position, it should come as SELL, NOT buy. But it defaults to buy and you go into loss.

I have tried alert systems based on simple EMA crossing. Almost none of the software worked properly.
Another issue is that of margin. When you enter the trade, margin requirement is shown and you enter accordingly. However, when you try to enter the stoploss, it rejects, saying not enough margin. Sometimes, the ridiculous situation has happened when I am not even able to enter a square off order for an option position. I had to put it on record by mailing. Then they complied.
People really should be having rhino skin to do like this, even after taking money from traders. Is Rhino the correct word?

If this situation of exploiting retail traders continues, trading volume will drastically reduce or some other disaster will happen, like the post above. It is a dog eat dog situation.

 

[timepass]

CONFUSING TRADERS
The default position in an order is buy. However when a short position though squared off, when we click "ADD TO" position, it should come as SELL, NOT buy. But it defaults to buy and you go into loss.

I have tried alert systems based on simple EMA crossing. Almost none of the software worked properly.
Another issue is that of margin. When you enter the trade, margin requirement is shown and you enter accordingly. However, when you try to enter the stoploss, it rejects, saying not enough margin. Sometimes, the ridiculous situation has happened when I am not even able to enter a square off order for an option position. I had to put it on record by mailing. Then they complied.
People really should be having rhino skin to do like this, even after taking money from traders. Is Rhino the correct word?

If this situation of exploiting retail traders continues, trading volume will drastically reduce or some other disaster will happen, like the post above. It is a dog eat dog situation.

You are right about dog eat dog situation. All said and done, nothing works better than manual handling of your trades. Ultimately, one has to get out of the mindset of the machines doing the work for you and minting money.

This is laborious work, so you are limited, so best to moderate your expectations and dreams.

 

[newtrader101]

Trying to think from the mindset of a broker:
If I am a broker and I enable bracket orders while nobody else does. I keep reducing the stop loss to up to 0.7 for options. Why would I want to do that?

 

[timepass]

Trying to think from the mindset of a broker:
If I am a broker and I enable bracket orders while nobody else does. I keep reducing the stop loss to up to 0.7 for options. Why would I want to do that?

Couldn't understand. Explain with examples.

 

[newtrader101]

Couldn't understand. Explain with examples.

If a broker offers bracket order and then starts reducing the max stoploss possible, what will happen. The stop gets hit always. The max allowed sometimes is even 0.7 Rs. for some options.
So the BO becomes kind of a trap. For the apparent benefit of a higher leverage, the trader lets themselves get stophunted.
But these are all short term benefit tricks that eventually the traders will understand, leading to loss of business. In some poultry farms, they show light and darkness in the hen coop in less than 24 hour cycle , so the hen is tricked into laying more eggs. But it dies prematurely.