Day Trading Stocks & Futures

[brokenbull]

Fed did increased by 0.75%.they also commented 0.5% increase is a given in July &aug meeting. So rbi hands are tied. Till rupee strengthen or oil drops inflation is going to pile on existing 10% inflation in the last 3 months. So either rbi do a adhoc meet in June with a 0.5% or 0.75% in aug & another 0.5% in oct. They have to front load all increase to dampen inflation expectations of the public. In Reality oil is eating every one's lunch. Common man's budget of essential commute,food ,rent, electric bill eyc is squeezing of all other discretionary spending. Till the usa military industrial complex makes peace with Iran, Venezuela& Russia,we have to suffer oil price induced stagflation. China bluffing covid & creating all supply chain shortages in usa. War with out a bullet . Life in usa for all ordinary people has become a nightmare due to stagflation like Venezuela. That's what china wants.

 

[primitivetrader]

@Smart_trade ,

if i sell my dmat shares. it will be short intra and then If i cover it or repurchase it during the day, will my dmat shares remains the same?

 

[ptk]

www.advisorkhoj.com site has some good SIP,Lumpsum,SWP calculators for various AMC and various MF schemes.....you may take help from there...

As you are thinking of investing your retirement funds, doing Systematic Withdrawal Plan (SWP) calculations will also be very interesting ( and rewarding ) for you.I use these calculators very extensively for my MF investments.

Dear Smart_Trade,

I need your advise on one strategy that I am thinking to start:-

1. I am fully invested into equities with 50% alocation of my net worth into it.
2. Around 10% of my non equity money, I am planning to put into 5-6 stocks for short term trading.
3. I plan to buy each stock (say nifty bees, tcs, titan, asian paints, bajaj finance)....at its own 50 day SMMA when touched and exit at a flat 10 % profit target which could come in the next 5 days or 2 months.
4. I have seen that this happens around 4-5 times in a year giving 40-50% returns.
The problem comes in a bear market when I will buy at the 50 day SMMA and matket continues to fall. In such a year the returns will be less, around 10% or so.
5. So, in a 7 year cycle (bull bear side), it will work well in 6 years and not work well in the 1 yr of down market but overall the resturns will be around 50% (including compounding since its a quick churn).
6. Why this strategy? Becauwe I am also looking for something for regular income along with wealth creation. In case the stock market remains flat for the next 5 yars (I dont think so but in cxase) then this short term portfolio will still contnue to work since smaller swings do come in every market environent.

Please let me know your views or any improvised strategy that you may have.

Regards,
ptk

 

[brokenbull]

@Smart_trade ,

if i sell my dmat shares. it will be short intra and then If i cover it or repurchase it during the day, will my dmat shares remains the same?

I sell my dmat shares daily( cnc sell) & buy as mis & convert it to cnc by 3pm. Though daily contract note shows sell & buy equal ( & charged commission+ dmat sell cdsl fee) but fresh buy is a new dmat share. Next day when I sell the same share iam charged 2nd dmat sell cdsl fee.

 

[Smart_trade]

Dear Smart_Trade,

I need your advise on one strategy that I am thinking to start:-

1. I am fully invested into equities with 50% alocation of my net worth into it.
2. Around 10% of my non equity money, I am planning to put into 5-6 stocks for short term trading.
3. I plan to buy each stock (say nifty bees, tcs, titan, asian paints, bajaj finance)....at its own 50 day SMMA when touched and exit at a flat 10 % profit target which could come in the next 5 days or 2 months.
4. I have seen that this happens around 4-5 times in a year giving 40-50% returns.
The problem comes in a bear market when I will buy at the 50 day SMMA and matket continues to fall. In such a year the returns will be less, around 10% or so.
5. So, in a 7 year cycle (bull bear side), it will work well in 6 years and not work well in the 1 yr of down market but overall the resturns will be around 50% (including compounding since its a quick churn).
6. Why this strategy? Becauwe I am also looking for something for regular income along with wealth creation. In case the stock market remains flat for the next 5 yars (I dont think so but in cxase) then this short term portfolio will still contnue to work since smaller swings do come in every market environent.

Please let me know your views or any improvised strategy that you may have.

Regards,
ptk

As you are invested 50 % of your networth, that will take care of your investment part.
Remaining 50 % you can use for swing trading but instead of buying at 50 day SMMA, you can buy when the stock starts making higher high and higher lows on say 15 min timeframe and above 50 DMA and sell 50 % on a fixed target of 10 % and remaining 50 % on trailing profit taking. This will generate some trading income for you.Below 50 DMA avoid buying so that you will be saved in continuous downtrending market.

Just a suggestion though one can do better....

 

[Smart_trade]

@Smart_trade ,

if i sell my dmat shares. it will be short intra and then If i cover it or repurchase it during the day, will my dmat shares remains the same?

If I understand your question correctly,you sell shares which are in your demat holding and cover the same stock same quantity by end of the day, it will be treated as intraday ( speculative ) profit.For STCG or trading profit ( if you declare yourself as a trader to Income Tax ) the shares have to move out of yout demat account .If you cover on the same day, it will not result into any delivery obligation so the quantity in your demat account remain the same and the profit/loss is speculative profit/loss ( this will be different in case of T to T shares but that is a separate issue ) Delivery obligation is your net sale position at the end of the day which is zero in case you cover the sale during the day.

 

[mohan.sic]

i uses zerodha API

so they are market orders sent when the level triggers ?

 

[mohan.sic]

I sell my dmat shares daily( cnc sell) & buy as mis & convert it to cnc by 3pm. Though daily contract note shows sell & buy equal ( & charged commission+ dmat sell cdsl fee) but fresh buy is a new dmat share. Next day when I sell the same share iam charged 2nd dmat sell cdsl fee.

instead of that you can convert cnc sell to mis sell

 

[ptk]

As you are invested 50 % of your networth, that will take care of your investment part.
Remaining 50 % you can use for swing trading but instead of buying at 50 day SMMA, you can buy when the stock starts making higher high and higher lows on say 15 min timeframe and above 50 DMA and sell 50 % on a fixed target of 10 % and remaining 50 % on trailing profit taking. This will generate some trading income for you.Below 50 DMA avoid buying so that you will be saved in continuous downtrending market.

Just a suggestion though one can do better....

Thank you so much, extremely grateful...that helps a lot..

Regards,
PTK

 

[cinderblock]

New invst are down 5% overall. Time to add more.
Decent cash for only 1 more downleg after this. Phir bhagvan bharose