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Simple thought swing trades I follow intermediate /visual trends w
hich is up...there is no sign that it has changed to downtrend. We get minor dow
ntrends and uptrends every day...but our eyes for swing trades should be on visu
al/intermediate trends.

In swing trades in uptrend I buy the extreme panic, and sell the rallies to buy
the dips again. But my overall holding will be long....I am fully aware and pre
pared for biting a bullet and take 40-50 points loss in a trade when the trend c
hanges...but till then I will have plenty of points in my pocket ( in the curren
t trade, half of my month's target is already done in just 1 will be m
ore than happy to take a 50 points SL in swing I have already pocket
ed many such 50-100 points moves already...

I dont predict the market far it will go etc....but many will remember t
hat when Combo hit its stoploss, I had posted that now after hitting 8300 stoplo
ss, the market will not go up by 50-100 points but will do 300-400-500 points no that also is in the background though I cannot say where the current tren
d will end....all those channelling, Fibonacchi etc are just estimates...just be
with the trend....and dont say <b>&quot;Market Topped Out &quot; ,Negative Dive
rgence etc when we see a minor downtrend.</b>

The above is enough for being a happy trader.
This is what happens in selling gap up/gap down it is difficult
to protect the straddle...( by buying small futures lots and this type of protec
tion is very tough to handle )) best I think is buying 200 points out of money c
alls to protect in case of huge upmove...but the market may comeback in the rang
e....selling straddle is no easy and sure money...
200 bps at one go is huge....I am expecting total 150 bps cut in the entire cale
nder year 2015 starting with 50 bps in first quarter. With interest rates going
down, bank shares will flare up.
We need to understand what is needed to make money in trading.Markets are trendi
ng only 30 % time so we must make large money in those 30 % time by holding the
positions and also adding at various levels. In sideways period we will have a f
ew stoplosses and loosing trades but the money made in trends should be much mor
e than money we loose on stoplosses.Good trend traders make typically 3 to 8 tim
es the price move by number of adds. So if the move is 500 points, they make 150
0 points from that move by adds.

For traders abroad, they have facility to trade many markets on their screen so
they can decide to trade only those markets which are trending...that is the re
ason why a trending market gets more participation and a dull market has less pa

We in India only have Stocks and few commodities to trade. It is always better
to trade trending markets because in trends your risk is actually much less and
rewards much more. But in sideways market also it like taking singles in cricket
...for a large score, singles are also important as markets will give singles 70
% time.. But this is from a point of view of a futures trader. If one is option
s trader specialising in selling of calls/puts he is more happy in sideways mark
ets .

Sideways markets are difficult to trade so initially traders will do well if th
ey trade only trending markets and stay out in sideways markets...but with exper
ience one can trade in both type of markets.
My thumb rule is when Nifty falls more than 30 points
from the top it reaches....then the chances of trend days are very low...less th
an 10 may consolidate the whole day ...

No I donot manage a fund, I dont manage any outside money, I dont have a single rupee debt. I manage my own funds. But few years back I was having a proper trading office with a dealer and a peon employed.
From the issues you are facing, it shows few or all of the following :

1) You are not confident about the trade setups you trade.

2) Your trade set ups have poor Reward/risk . This could be because you may be getting out too early from your winning trades and hanging on to your loosing trades for too long.

3) You may be overtrading considering your trading capital.

4) You are trading with scared money. Which means that you are unable to take a loss. This may be because you need to make money to pay for your monthly bills.

5) You are having distractions by way of phones,family members chatting,friends calling up ,TJ postings while trading....because of which you loose the focus which is most important while trading.

Just address the above issue.

Wealth creating companies are not difficult to spot...look around in the sho
ps,malls,supermarket shelves and see what is selling like a hot cake....I remember when HDFC bank started operations, I had gone to the bank and when I saw smart young guys and girls giving efficient service with computers and technology...I felt that I must have an account with HDFC bank....I opened the account....and I bought HDFC bank shares..(<b> I still remember the purchase price...that was Rs 35 per share...and that was before 1:1 bonus</b>.)and see now where HDFCbank is...same with Asian Paints, Nestle, TTK Prestige,TCS..and the list goes on...add to that good management, corporate governance, growth in earnings and we have a winning combination.


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