Complete rookie questions

[Giraffe]

Ab ghadi wali se toh shaadi nahi hoga lol

Showroom mein laga Demo "T"V dekhana sabko hai, but ghar "factory sealed piece" hi lejana chahtey hain hamlog.......:clap::clap::clap:
:rofl::rofl::rofl:

 

[Piratetrader]

aree yaar nirma wali ghadi wali sab chalegi but mile to

bhai dono ke nakhre zade hain .local detergent wali chalegi toh ham arrange karwa de rahe hain
:lol:

 

[Piratetrader]

Praveen bhai ney jyaada tar queries reply kar hi di hain, few things I want to add.

1. How much minimum investment is needed

If starting with FNO, ideally you should have few lacs.
You can trade intraday nifty futures with 15-30K, and options with even less than 5K. But if just starting, initial losses might be unbearable. Also how would you put 2% stop loss of nifty futures when trading with 20K?. You will give only 5-6 points room to nifty to move against you. Too many whipsaws will occur and even slight slippage will increase your percentage loss greatly.


2. are there some books,courses available ?
Search torrent sites (esp. the one with name similar to yours...., itni books mil jayengi ki padhtey padhtey aadmi swarg (on narak depending on his deeds.) sidhaar jaayey. They were there in megapacks of few GB. Lots and lots of books. Same with videos, many of them, not much on torrents (esp. since demenoid shut down), but can find them on file hosting sites.

3. Also is there demo trading available with fully T.A(charts) where I can practice ?
You may open account with any of the bkgs here and use there terminal.
Demo Trading: Available on Omneysys Nest site (NEST plugin waley), which you get with NSE NOW terminal.
Good Charting and TA - Sharekhan Tradetiger but bit high brokerage.
NSE NOW - Okish charting with NEST plugin, accurate quotes, very fast trade executions. You may open an a/c with any of bkg that provides NSE NOW or go for tradetiger.

thank giraffe bhai much appreciated :thumb:
The only trouble is In forex they mostly let you trade 0.1(micro lots) not so in nifty minimum is 1 lots

 

[Gandhar.]

thank giraffe bhai much appreciated :thumb:
The only trouble is In forex they mostly let you trade 0.1(micro lots) not so in nifty minimum is 1 lots

mininifty tha pahle nse ne band kar diya

 

[Giraffe]

thank giraffe bhai much appreciated :thumb:
The only trouble is In forex they mostly let you trade 0.1(micro lots) not so in nifty minimum is 1 lots

True, no direct way to trade nifty smaller than one lot.
But you can trade nifty options that will be equivalent to less than 1 lot of nifty, thus a partial lot "in equivalence".
Check out some of the cheaper options, although lot size is same, but they don't track nifty in 1:1 ratio. In this case your 1 lot of nifty options will be equivalent to less than 1 lot of nifty futures.

 

[Piratetrader]

True, no direct way to trade nifty smaller than one lot.
But you can trade nifty options that will be equivalent to less than 1 lot of nifty, thus a partial lot "in equivalence".
Check out some of the cheaper options, although lot size is same, but they don't track nifty in 1:1 ratio. In this case your 1 lot of nifty options will be equivalent to less than 1 lot of nifty futures.

I have no idea how options work. is it like binary option forex? you buy/sell something at a specific price with a set expiry date and if the options expired on your side or in your chosen direction you win?

Another thing Giraffe bhai is how do you calculate how much money do you need to trade bank nifty futures, nifty futures and tata steel stock?

 

[Giraffe]

I have no idea how options work. is it like binary option forex? you buy/sell something at a specific price with a set expiry date and if the options expired on your side or in your chosen direction you win?

Another thing Giraffe bhai is how do you calculate how much money do you need to trade bank nifty futures, nifty futures and tata steel stock?

If you want to trade intraday, then there is not much difference in trading options or futures or stock except that you must not forget about the inherent leverages in the options and the lot size. After all, they are just different instruments that you can use to bet on which side the market will move.

Binary options are different, no binary options in India. Only the plain European style options that you can't exercise except on the day of expiry.

Regarding money needed: Price X Lot size
Nifty Futures : 5500 suppose, lot size 50 = Rs. 275,000
Banknifty : 10000 suppose, lot size 25 = Rs. 250,000
Similarly with stocks, usually priced to keep price of one lot around 2.5-3 lacs but with change in price, can be much more expensive or cheaper.

Margin required is much less, usually exchange stipulates a minimum margin based on volatility conditions. For nifty futures intraday : usually 5-10% only. Means you might be able to trade nifty futures with even 20,000 on leverage.
Brokers usually provide a list like this:
https://www.zerodha.com/download/IntradayMargins.xls

 

[Piratetrader]

If you want to trade intraday, then there is not much difference in trading options or futures or stock except that you must not forget about the inherent leverages in the options and the lot size. After all, they are just different instruments that you can use to bet on which side the market will move.

Binary options are different, no binary options in India. Only the plain European style options that you can't exercise except on the day of expiry.

Regarding money needed: Price X Lot size
Nifty Futures : 5500 suppose, lot size 50 = Rs. 275,000
Banknifty : 10000 suppose, lot size 25 = Rs. 250,000
Similarly with stocks, usually priced to keep price of one lot around 2.5-3 lacs but with change in price, can be much more expensive or cheaper.

Margin required is much less, usually exchange stipulates a minimum margin based on volatility conditions. For nifty futures intraday : usually 5-10% only. Means you might be able to trade nifty futures with even 20,000 on leverage.
Brokers usually provide a list like this:
https://www.zerodha.com/download/IntradayMargins.xls

so if i intra day trade nifty/stata steel options or futures it is the same ?no difference except for leverage how much leverage does options have? and also for intra day trading we only need 10% at most for trading . Indian markets are leveraged only upto 10 times ?

 

[Piratetrader]

Tata steel lot size = 764. ( does this mean we get rs 764 on every point we profit/loss) that's to much if you compare it with nifty futures only rs 50 -.-

764 x 274.25 = 2,09,527. so considering you only need 10% of this which is rs 20952 in the account for intra day trading ? therefore if 1 lot gives 764 on each point you would only require a loss of 27 points to bankrupt your account?

 

[TraderRavi]

Tata steel lot size = 764. ( does this mean we get rs 764 on every point we profit/loss) that's to much if you compare it with nifty futures only rs 50 -.-

764 x 274.25 = 2,09,527. so considering you only need 10% of this which is rs 20952 in the account for intra day trading ? therefore if 1 lot gives 764 on each point you would only require a loss of 27 points to bankrupt your account?

tatasteel lot size is 1000. 1 point will give 1000 rs.