Loss of 20K in day trading

S

sagar_b

New Member
#1
#1
I am new to intra-day trading. I've an account with Sharekhan.

My capital was Rs 50000

Last Friday I bought Tata motors - 300 @158.28 and sold - 300 @ 162. I made small profit and I thought to use margin amount this time.
So I waited some time and on same day bought Tata motors again - 1300 @158.4. Till that time price never went up. I did hold the shares for 2 days - Friday, Monday (Sharekhan has feature of holding margin amount for 3 days) but I sold all the shares today - 1300 @147.5.
I loss 20K in this trading.
I am using very simple stratergy - take small profits and do multiple trades. but this didn't work this time.

I still want to continue trading. I know this is a part of trading session. Now I am not going to use margin amount.

I just want to confirm If I can go ahead with my simple stratergy for my remaining capital.

Thanks
Saggy
 
R

Raju

Well-Known Member
#2
#2
I had lost 55k in 5 mins ..My entire months salary ..Nowadays playing mininifty - 20 / lot ..with target of 15-20 points and stop loss of 10-15 points..

I had earned 5-8 8k for for 3-4 days before losing 55k ..so learnt it hard way..Still struggling..All the best..

Regards,
Raju
 
timepass

timepass

Moderator
#3
#3
sagar_b said:
I am new to intra-day trading. I've an account with Sharekhan.

I am using very simple stratergy - take small profits and do multiple trades. but this didn't work this time.
Click to expand...
So take small quantities only and keep a strict tight stoploss. Don't put more than 10000 in one scrip.
 
ocil

ocil

Well-Known Member
#4
#4
sagar_b said:
I am new to intra-day trading. I've an account with Sharekhan.

My capital was Rs 50000

Last Friday I bought Tata motors - 300 @158.28 and sold - 300 @ 162. I made small profit and I thought to use margin amount this time.
So I waited some time and on same day bought Tata motors again - 1300 @158.4. Till that time price never went up. I did hold the shares for 2 days - Friday, Monday (Sharekhan has feature of holding margin amount for 3 days) but I sold all the shares today - 1300 @147.5.
I loss 20K in this trading.
I am using very simple stratergy - take small profits and do multiple trades. but this didn't work this time.



I still want to continue trading. I know this is a part of trading session. Now I am not going to use margin amount.

I just want to confirm If I can go ahead with my simple stratergy for my remaining capital.

Thanks
Saggy
Click to expand...
Use money management never loss 2% of your capital per trade..... Also do not over trade.....So if u have 50K...your risk per trade should no more then 1000.......So 1000/158 is around 300 share & your SL is Rs3......other wise u loss all your capital....in this market soon.....
 
columbus

columbus

Well-Known Member
#5
#5
sagar_b said:
I am new to intra-day trading. I've an account with Sharekhan.

My capital was Rs 50000

Last Friday I bought Tata motors - 300 @158.28 and sold - 300 @ 162. I made small profit and I thought to use margin amount this time.
So I waited some time and on same day bought Tata motors again - 1300 @158.4. Till that time price never went up. I did hold the shares for 2 days - Friday, Monday (Sharekhan has feature of holding margin amount for 3 days) but I sold all the shares today - 1300 @147.5.
I loss 20K in this trading.
I am using very simple stratergy - take small profits and do multiple trades. but this didn't work this time.

I still want to continue trading. I know this is a part of trading session. Now I am not going to use margin amount.

I just want to confirm If I can go ahead with my simple stratergy for my remaining capital.

Thanks
Saggy
Click to expand...
Since you are new ,better go for small quality (50 or 100).
Your strategy of booking small profits many times is good.
I think brokerage of Sharekhan is on higher side.
 
deadbrain

deadbrain

Well-Known Member
#6
#6
your strategy is quite ordinary, booking small profits and letting losses to run, someday try quite opposite like professionals do.
 
iamaaditya

iamaaditya

Active Member
#7
#7
sagar_b said:
I am new to intra-day trading. I've an account with Sharekhan.

My capital was Rs 50000

Last Friday I bought Tata motors - 300 @158.28 and sold - 300 @ 162. I made small profit and I thought to use margin amount this time.
So I waited some time and on same day bought Tata motors again - 1300 @158.4. Till that time price never went up. I did hold the shares for 2 days - Friday, Monday (Sharekhan has feature of holding margin amount for 3 days) but I sold all the shares today - 1300 @147.5.
I loss 20K in this trading.
I am using very simple stratergy - take small profits and do multiple trades. but this didn't work this time.

I still want to continue trading. I know this is a part of trading session. Now I am not going to use margin amount.

I just want to confirm If I can go ahead with my simple stratergy for my remaining capital.

Thanks
Saggy
Click to expand...
As suggested by others please observe absolute discipline in the amount risked. (Just remember leverage (margin) is double edge sword, stay away from it till you are consistently profitable.

Just out of curiosity, You said "i am using a simple strategy", by this you mean you have a simple and clearly defined Entry and Exit rules ? If yes then good, carry on, but if you are working on hunches, I think you are jumping gun.

also if you can afford the time, please invest in education (my advice please read : Elder Alexander - Come Into My Trading Room - A Complete Guide To Trading )
 
G

GAUTAM SHETH

New Member
#8
#8
HI SAGAR,
MYSELF GAUTAM SHETH, I WAS ALSO A TRADER OF EQUITY MARKET SINCE MORE THEN 18 YRS. BUT MY FRIEND NOW I HAVE LESS THE TRADING IN EQUITY. NOW I PURELY TRADE IN CURRENCY MARKET. WE ARE GROUP OVER HERE WE HAVE MADE SOME TECHINQUE FOR IT BY MIXING SOME MOST USEFULL INDICATORS IN THIS MARKET.
I SUGGEST U CURRENCY MARKET BOZ ITS MARGIN IS MUCH LESS THEN EQUITY OR COMMODITY & IT DOESNT HAVE SUCH VOLATILITY AS EQUITY.
SO FRIEND, TRY THIS MARKET AND ANYSORT OF HELP IF I CAN I WOULD LIKE TO DO IT FOR ANY1 HIR. THIS FORUM ROCKSSSSS...:thumb:

******************************

GAUTAM SHETH
************
 
Last edited by a moderator:
ocil

ocil

Well-Known Member
#9
#9
GAUTAM SHETH said:
HI SAGAR,
MYSELF GAUTAM SHETH, I WAS ALSO A TRADER OF EQUITY MARKET SINCE MORE THEN 18 YRS. BUT MY FRIEND NOW I HAVE LESS THE TRADING IN EQUITY. NOW I PURELY TRADE IN CURRENCY MARKET. WE ARE GROUP OVER HERE WE HAVE MADE SOME TECHINQUE FOR IT BY MIXING SOME MOST USEFULL INDICATORS IN THIS MARKET.
I SUGGEST U CURRENCY MARKET BOZ ITS MARGIN IS MUCH LESS THEN EQUITY OR COMMODITY & IT DOESNT HAVE SUCH VOLATILITY AS EQUITY.
SO FRIEND, TRY THIS MARKET AND ANYSORT OF HELP IF I CAN I WOULD LIKE TO DO IT FOR ANY1 HIR. THIS FORUM ROCKSSSSS...:thumb:

******************************

GAUTAM SHETH
************
Click to expand...
Dear Gautam why not you tell us the path of currency trading. How to start, broker, How much cash is required, What is the brokerage etc...
 
timepass

timepass

Moderator
#10
#10
ocil said:
Dear Gautam why not you tell us the path of currency trading. How to start, broker, How much cash is required, What is the brokerage etc...
Click to expand...
I second that. How much cash is required ?? What are the trading hours?? What can we trade legally ?? what is the minimum difference between the sale & purchase price to make it profitable (I mean after expenses - taxes, brokerage etc.)
 
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