daSARa system

Volume bar trade analysis:

Started by trading this system http://www.traderji.com/trading-diary/90116-dasara-system-52.html#post924533, and then shifted to this system http://www.traderji.com/trading-diary/90116-dasara-system-53.html#post925879

The backtest results of the first system show high returns (1689 points in Aug, etc.), but those results are with adds. The second system is good enough, and has a better capital utilization since it is all-in/all-out. Also, from the typos I made while executing the first system, the second system is easier to execute.

When using the first system, I made gross +46.55 points, against the system benchmark of +3.55 points - and I have to thank typos for that.

While using the second system, I made gross 103.94 points, against the system benchmark of 118.25 points. This is how it is supposed to be. Benchmarks that do not consider slippages should always perform better than real trades. In my ORB trades, I really did not have a benchmark, because I do have data to backtest the few seconds opening range that I traded in Jan.


First trader seen by me on TJ who analyses his trades so meticulously.

Signs of a professional trader.
If you manage to develop even a medicore system, you will make good money... consistently.
I am sure of that.

Best of luck buddy.
And keep analysing your trades....... sometimes some things show a pattern.
 

augubhai

Well-Known Member
First trader seen by me on TJ who analyses his trades so meticulously.

Signs of a professional trader.
If you manage to develop even a medicore system, you will make good money... consistently.
I am sure of that.

Best of luck buddy.
And keep analysing your trades....... sometimes some things show a pattern.
Thanks for the wishes. I hope to continue being systematic, and find something that works for me.
 

augubhai

Well-Known Member
Check out the Nifty 6000 Puts http://nseindia.com/live_market/dyn...symbol=NIFTY&instrument=OPTIDX&strike=6000.00

December - ₹395
June - ₹320
April - ₹143
March - ₹116
February - ₹77

Anyone sighting an opportunity here?
This pattern keeps repeating again and again - for the far off months, either put or call has the upper hand. right now, spot around 6050, december 6000 call are at 750 and 6000 put is less than 400. Which do u think is cheaper, and how can u take advantage of it?

if u buy the dec 6000pe, and sell the feb or march 6000 put, u will have a very cheap december put in hand when the near month expires (hopefully OTM). or buy december put and sell june put, and u have a chance to own a naked dec put for ₹80, from July to December, with max loss ₹80. :thumb:

this skew is because future premium/discount increases month on month. so for a theoretical december future's value will be very far from spot.

I had tried this theory earlier also, but got bored of it.... :rofl:

Positional trade:
Sold Jan2013 5800 Put for 60. Bought Dec2013 6000 Put for 298.

Far month puts appear heavily discounted compared to calls.
Squared off this at market price - Bought Put for 276.4, sold call for 40.35

I am still convinced of the logic of the trade, but longer timeframe is just not what I am looking for right now. Got bored. I would rather use the extra margin for intraday.
 

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