Confused day trader

[deadbrain]

Hi everyone!!

I read many threads here on this forum. I have read 8-10 books, many lectures on youtube, posts by senior members like Saint's teaching.....etc, and understand most of the chart patterns, may it be stochastics, RSI, candlesticks, Bollinger Bands, MACD, Momentum, etc. , but when it comes to real trading.....nothing seems to work out in my favor.

First of all, I am not sure which stock to trade, one of most actives of the day or any regular selected one. I am using 1- to 3-min charts for intraday trading with keeping an eye on 15-min and 30-min charts, but still I am failing in most of trades and my losses have amounted up to 55K+ in last one month.

I would really appreciate if someone tells me what exactly is missing here. My friends/relatives are suggesting all of these studies do not work in reality since trading is just a gambling, which I never agreed with, but i am seriously need to know if I am missing something, what it is so that i could start gaining even if small profits, i won't mind and convince myself and others that it is more of a serious business than just a gambling stuff.

I really am looking for serious guidance on how to go ahead. I would appreciate that.


Thanks a ton for any favour done.......

 

[Sunny1]

Firstly you have to outline your trading strategy and then show us .... so we can see whats wrong there....or you have give us reason like why traded that particular stock , how you predicted its direction, what money management rules you applied etc... after that only we can comment..

 

[SavantGarde]

Hi DeadBrain,

Are You By Any Chance Overriding The Strategies Employed By Personal Judgement.

Happy & Safer Trading

SavantGarde

 

[rashmiranjan_s]

Please follow the basics which will make u give pass marks after that u can start to score 1st division. I think u r trying to hit sixes without studying the pitch. Refer to www.NotAllowed.com scrips vs astrology,seasonal rise and fall of stocks demand and supply of man,resourses materials, and finally study yourself your strengths and weakness to do trading like your emotions and impulses when stocks rise and fall.

Rgds,
RRS

 

[deadbrain]

Hi thanks both of you

As such I never know which particular stock I should trade in and what are the best timings to trade in, because market is fluctuating up and down.

Like I said I tried JP Asso and Apollo Tyres today because volume was quite high in them. I was watching 3-min chart with RSI and MACD. My strategy was whenever stochs cross at bottom I will long, when they cross at top with downward pointing and bearish signal of candles, i would short. I do not know if i was doing right or wrong as when when I longed, it made lower lows and i exited and when i longed, it made higher highs......aah.

The worst thing i did this month was buying 5300 put calls and then I kept averaging (which I know I should not have done at all in first place), but I was so confident by the signals i could read, some traders' opinions, and some technical analysts' recommendation that it would go short from 5500 target. THIS WAS BLUNDER I MUST ADMIT I HAVE EVER DONE AS I LOST 25K IN JUST ONE GO BUT GREED OVERWHELMED FEAR AND RESULT IS LOSS.

Though I have promised myself to not to repeat such a thing again, I am still unaware of which stocks to pick and if i am using correct parameters to look at stock moment.

All is said, I have still not lost my hopes and I am really ready to put all efforts from a fresh point of view provided I know what I am doing it correct.

Thanks again

 

[SavantGarde]

From Your Second Post....Let Me Re-Christen You To 'NoBrain'

Start With Some Real Knowledge....Things That Move The Market Are Not Discussed On Channels Or Papers...What Is Discussed On Channels & Papers Is Just One Of The Ploys Used To Entrap Unsuspecting, Gullible Traders.

If You Are Listening To Anybody, I Suggest Check The Track Record First, If The Track Record Is Anything Less Than 85%, It's A No Go...Kapisch..!!!

You Have Made Khichdi Of All That You Have Read So Far....

Suggest You Read Up Again & Again.... & When You Do Adopt Anything... See To It That You Adopt ONLY ONE Strategy At A Time....Do Not Mix Up Strategies....

And Here Is The Last Piece Of Unsolicited Advice.... Trade Only One Single Stock For 1-2 Months.....& The Question Is Which?

Look At Stock.... That Has Moved 3-5% Atleast On An Average Every Month In The Last 12 Months.

Happy & Safer Trading

SavantGarde

 

[Sunny1]

Hi thanks both of you

As such I never know which particular stock I should trade in and what are the best timings to trade in, because market is fluctuating up and down.

Like I said I tried JP Asso and Apollo Tyres today because volume was quite high in them. I was watching 3-min chart with RSI and MACD. My strategy was whenever stochs cross at bottom I will long, when they cross at top with downward pointing and bearish signal of candles, i would short. I do not know if i was doing right or wrong as when when I longed, it made lower lows and i exited and when i longed, it made higher highs......aah.

The worst thing i did this month was buying 5300 put calls and then I kept averaging (which I know I should not have done at all in first place), but I was so confident by the signals i could read, some traders' opinions, and some technical analysts' recommendation that it would go short from 5500 target. THIS WAS BLUNDER I MUST ADMIT I HAVE EVER DONE AS I LOST 25K IN JUST ONE GO BUT GREED OVERWHELMED FEAR AND RESULT IS LOSS.

Though I have promised myself to not to repeat such a thing again, I am still unaware of which stocks to pick and if i am using correct parameters to look at stock moment.

All is said, I have still not lost my hopes and I am really ready to put all efforts from a fresh point of view provided I know what I am doing it correct.

Thanks again

Few things you must follow

1.MM ( money management) a must be to restrict losses and preserve capital. well MM would keep you away from big losses so you can stay longer in this business

2.have you backtested your strategy? if no then you should. if yes then do you know weak points/drawbacks of your strategy like when and where it fails to give/identify signal. did you paper traded it for few weeks. see its really a hard work. when you backtest spcially pay attention to loosing trade look for signs to avoid those.. clearly try to see where it works where it fails..

3. Time frame. why you thought to trade 3m TF ? any good reason.
In starting trade higher TF like 10 m , 15m or 1 hr. After gaining Experiance you can shift to lower TF.

 

[Sunny1]

From Your Second Post....Let Me Re-Christen You To 'NoBrain'

Start With Some Real Knowledge....Things That Move The Market Are Not Discussed On Channels Or Papers...What Is Discussed On Channels & Papers Is Just One Of The Ploys Used To Entrap Unsuspecting, Gullible Traders.

If You Are Listening To Anybody, I Suggest Check The Track Record First, If The Track Record Is Anything Less Than 85%, It's A No Go...Kapisch..!!!

You Have Made Khichdi Of All That You Have Read So Far....

Suggest You Read Up Again & Again.... & When You Do Adopt Anything... See To It That You Adopt ONLY ONE Strategy At A Time....Do Not Mix Up Strategies....

And Here Is The Last Piece Of Unsolicited Advice.... Trade Only One Single Stock For 1-2 Months.....& The Question Is Which?

Look At Stock.... That Has Moved 3-5% Atleast On An Average Every Month In The Last 12 Months.

Happy & Safer Trading

SavantGarde

Best of the world advice Savantji...:clap: thanks

 

[deadbrain]

Thanks Sunny1 and SavantGarde.

I would make a note of these precious words........and would brush up my basics again.

Thanks again both.

 

[mohans_raj2004]

Mr. Deadbrain,
IMHO, please don't trade immediately after market opening.. Please let the market to vibrate for sometime and then to settle down.. This will help you to understand the current trend.. Please use two or three strategies.. Enter a trade only if you are getting confirmations from all these strategies.. Coming to options, please try to avoid options for atleast until you are successful in equity.. Without proper knowledge, options would ruin your total capital in matter of very small time frame..

Regards
Mohan
The market does not beat them. They beat themselves, because though they have brains they cannot sit tight.