Profiting from bear markets

#1
Hello all,

I've learnt technical analysis and now I'm practicing swing trading. But I'm unable to make money out of bear markets since I can't sell stocks that I don't hold. Is there any way other than intraday trading that I can use to benefit from bear markets?

Is it possible in forex? I'm using zerodha. Thanks.
 

pannet1

Well-Known Member
#2
Hello all,

I've learnt technical analysis and now I'm practicing swing trading. But I'm unable to make money out of bear markets since I can't sell stocks that I don't hold. Is there any way other than intraday trading that I can use to benefit from bear markets?

Is it possible in forex? I'm using zerodha. Thanks.
you could short calls ....its always easier to rescue short calls than short puts.
or you could short deep OTM puts ...so you could gain in bull markets and bear markets.
of course still you will need to hedge yourself if market gaps down .. due to some unforseen circumstances
 
#3
Hello all,

I've learnt technical analysis and now I'm practicing swing trading. But I'm unable to make money out of bear markets since I can't sell stocks that I don't hold. Is there any way other than intraday trading that I can use to benefit from bear markets?

Is it possible in forex? I'm using zerodha. Thanks.
Yes, you will either have to trade intraday, or trade stock futures or options.

Forex is more or less illegal for Indian Residents. If you're talking about currency-futures on NSE, then yes, it's possible to short them.
 

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