A new trader's diary

[NayaBaccha]

Hi Alex,

Thanks for stopping by. I am getting used to ODIN now and wont make a mistake while placing orders any more.

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Finished reading Elders trading for a living but I havent dont the questions and answers bit yet. Took the test on page 296 and scored 27/35 I would have scored 30 if I used a calculator.
I have decided that for intra day trading I will use Rs2 Lakh only at a given time and will not take a loss more then Rs3000 in a single day. Once my losses touch Rs3000 I will quit for the day and look at my trades and spend the rest of the dat trying to figure out what went wrong. If this Rs3000 limit keeps getting hit for three days in a row then I will take a three days off to study my trades and chalking out a plan to crease out whatever mistakes I made in the loosing trades.

I am looking for a good book to learn about options. I have read a few bits and peices here and there and I believe options could compliment my delivery trades. I may be wrong on this but learning a bit shouldnt kill me

I have worked through the night to find some intraday trades depending on how the trend is today. I have one long and two short ideas and the total money for all three trades should not exceed Rs1.5 Lakh and I will not add to my winning or loosing positions under any circumstances. Will not place an order for the target prices, will instead keep moving my stop loss and stop out of these trades. Total loss should not exceed Rs3000 for all the three trades put together.

 

[NayaBaccha]

Bought ITC 2250@316 for Del.

 

[bunti_k23]

No intraday trading as I am yet to come up with a solid money management plan.

Sold 19 ITC that were still in my DP which remained unsold yesterday.

Bought the below towards the end of the day for delivery :

300 Sun Pharma @ 601 (Placed a limit order when it was hoovering at 600 in the last few mins)

300 Reliance @ 847.67 ( Was a market order towards the end of the day when sweaty palms were selling left right and centre )

I am looking to get a price of 340-345 for Sun pharma within this month and I plan to hold RIL for a little longer or sell it if I get more then 5% within the next few days.

Naya baccha hw to contact u...

 

[alex_fin]

my toll free advice is for the initial days try not to do intraday trading. its not for the beginners rather pros only could handle it well.

usually the cycle is like this.
step1: as a newbie we start trading in equities, and lose money.
2. we start intraday trading either in derivatives or stocks, and nothing happens much.
3.you stop trading in stocks and tries to trade index intraday
4. now you know its better to trade on a larger time frame.
5. you enter in to comodities too on larger time frames/ swings.
6. you know you are making money .... then its time to do intraday, if you like or stick to larger time frames with good position sizing i.e. MM.

Hi Alex,

Thanks for stopping by. I am getting used to ODIN now and wont make a mistake while placing orders any more.

----------------------

Finished reading Elders trading for a living but I havent dont the questions and answers bit yet. Took the test on page 296 and scored 27/35 I would have scored 30 if I used a calculator.
I have decided that for intra day trading I will use Rs2 Lakh only at a given time and will not take a loss more then Rs3000 in a single day. Once my losses touch Rs3000 I will quit for the day and look at my trades and spend the rest of the dat trying to figure out what went wrong. If this Rs3000 limit keeps getting hit for three days in a row then I will take a three days off to study my trades and chalking out a plan to crease out whatever mistakes I made in the loosing trades.

I am looking for a good book to learn about options. I have read a few bits and peices here and there and I believe options could compliment my delivery trades. I may be wrong on this but learning a bit shouldnt kill me

I have worked through the night to find some intraday trades depending on how the trend is today. I have one long and two short ideas and the total money for all three trades should not exceed Rs1.5 Lakh and I will not add to my winning or loosing positions under any circumstances. Will not place an order for the target prices, will instead keep moving my stop loss and stop out of these trades. Total loss should not exceed Rs3000 for all the three trades put together.

 

[LondonVisitor]

7th Jan First trade:

Bought 5000 sintex at 39.15 and sold at 39.25

Dont seem to find anything else. so I might call it a day here. Made Rs500 minus whatever taxes there are... I guess I pocket Rs400-430 out of that. 15% for the corrupt government would leave me with Rs350 I think.

How do you select stocks? What criteria is applied before buying a stock?

 

[LondonVisitor]

Bro,

if you dont know how to put a order in odin....... the first thing is you should try to learn that.

all the best





NASDAQ INDEX? .....? GREAT.

Yes, I was abroad then.

 

[NayaBaccha]

How do you select stocks? What criteria is applied before buying a stock?

I have two seperate lists of stocks, one list is for the stocks that are in a long term uptrend and one for those which are in long term downtrend and depending on what Nifty is doing during the day I open the relevant list and sort the stocks according to % change and check the intra day charts one by one till I see a clean up or down trend and enter those stocks with strict stop losses. I only trade in very liquid stocks to keep slippages to a minimum.

I also keep a track of calls from ICICI Direct and normally go against those calls but those trades are very quick ones and some times only last 10-15 seconds. Make use of the surge or dips that are created by people who use those calls.

I would appreciate if you could put in some good criticism for the way I am trading. I am still a newbie.

One thing I have learned is that I have to keep my trades small in size to make money and do lots of small trades to make sure I do not influence the trend negetively. I have learned from mistakes.

 

[NayaBaccha]

my toll free advice is for the initial days try not to do intraday trading. its not for the beginners rather pros only could handle it well.

usually the cycle is like this.
step1: as a newbie we start trading in equities, and lose money.
2. we start intraday trading either in derivatives or stocks, and nothing happens much.
3.you stop trading in stocks and tries to trade index intraday
4. now you know its better to trade on a larger time frame.
5. you enter in to comodities too on larger time frames/ swings.
6. you know you are making money .... then its time to do intraday, if you like or stick to larger time frames with good position sizing i.e. MM.

Hello Alex,

Thanks for putting the list together, very kind of you to be extending a helping hand to a newbie.

I am not new to investing and have a decent portfolio of mutual funds and some equities as well. I have probabbly lost my share of money to the stock market trying to do intra day back in the days. This is a calculated and informed attempt.

I understand the logic behind your list but for me intra day is working like a charm. This was my first full week of profits to speak of for every single day and a decent %tage return on the capital used for trading. I have sized down my account so its not a lot in money terms but percentage wise it is pretty decent.

I have learned to keep strict stoploss and not fiddle with it. The only condition under which I change my stop loss is to get out of a trade and not remain in it when Nifty starts moving in the opposite direction to that of my trade. It helps cut losses when a trade goes wrong and they do pretty often.

From whatever little experience I have gained I have figured that it is just about managing my losses and keeping them under control.


Here is what I personally think about the list (Please know that I mean no disrespect to you in any way) :

step1: as a newbie we start trading in equities, and lose money.

I did that and I lost money no doubt in it. I tried again and I lost some more.

2. we start intraday trading either in derivatives or stocks, and nothing happens much.

I never went on to step two and instead started looking for reasons why I was loosing money and some people are able to make money doing the same thing.

4. now you know its better to trade on a larger time frame.

I always knew that and have a decent mutual fund and equities portfolio for that reason but I hate to stay in the market when NIFTY is sliding like it is apparent today but there is not much I can do apart from staying put and weathering the storm. The only thing that interests me about trading intra day is that it is possible to make money both ways and even when the market is going no where you would still find solid trends in individual stocks.

5. you enter in to comodities too on larger time frames/ swings.

I never thought about commodities or currency purely because I do not understand them as much as I understand equities. Another reason I never looked beyond stocks is that I am personally do not like to give up when I know that there are some people who are able to make money doing the same thing.


6. you know you are making money .... then its time to do intraday, if you like or stick to larger time frames with good position sizing i.e. MM.

I have kind of bypassed the general route taken by a newbie then I suppose as I am making money out of intra day.

I am still under if you look at it in financial terms if I start counting the money that I have lost. When I lost I lost tons of money in just a few trades. I am making profits now and its a small amount every day and I am not trading to make up for the losses I had earlier. I am trading because I love the feeling of being in control. I get a high when I look at my actions through the day and know that I did not waver from my set of rules.

I will learn about derevitives once I have a complete month with every single session in profits.

 

[NayaBaccha]

This was the first week when I ended in profits every single day. I did 6-7 trades per day in 2-3 stocks per day entering into the same stocks multiple times as and when opportunities arised.

I am impressed with my ability to minimise losses and maximising gains by not having targets in stocks with a lazy trend. I made a decent profit shorting Ranbaxy today. I have noticed that I make more money shorting then being on the long side. I probabbly have an eye for the selling opportunities.

I have noticed it is very easy to get trapped in illiquid stocks and there is no way to exit even if I am sitting on handsome profits. I have been staying away from such stocks.

I have also noticed that NIFTY reacts to news much faster then the individual stocks do and there is a small window of 4-5 seconds to get out before the stock price reacts to the larger picture. I find this to be an added plus and it helps to cut losses.

 

[NayaBaccha]

Naya baccha hw to contact u...

There is a PM option or you could post in this thread to communicate.