Good Invester/Trader can make Tons of money in Volatile markets

#1
I am initiating this discussion to get views points of others. I am new to stock markets (entered 10 months ago). I get a feeling if one becomes experts in reading markets he can make lot of money in Volatile markets. Please share your view points on the strategies and techniques for new market entrants like me.
 

aad

Active Member
#2
I am initiating this discussion to get views points of others. I am new to stock markets (entered 10 months ago). I get a feeling if one becomes experts in reading markets he can make lot of money in Volatile markets. Please share your view points on the strategies and techniques for new market entrants like me.
Before every volatile move, there is a consolidation period (with few exceptions)... I only know that one is supposed to take position during this consolidation period with tight stoploss in the reverse direction of his trade and wait... during volatile moves, he is only suppose to take profits and NOT entry...

ahhh... when I am writing this, something emerged in my mind... lets say a stock is in consolidation (range bound) during day trading. What if we divide our trading capital for this stock in 2 parts and put 50% in either direction in such a way that when one is triggered, stoploss of other is also triggered ?? This way, we only risk 50% of our capital with guaranteed returns.... my only wish is that it should not become a false breakout....:D... But even in that case, since we use tight stoploss, its like risking 100% of your intended capital which you even otherwise were ready to risk on single direction.... instead of chances of being right or wrong, I think more votes should go to sureshot probability of right..... what say ??

Regards,

Abhay
 

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