Namaste - My Learning of Trading in Nifty
- Thread starter crown
- Start date
mere malik, me to abhi khud hee seekh raha hu
My great bro, even I am just a noob in trading and trying to learn. I do not have any knowledge which could be considered worth to learn.
I am awaiting guidance of big brothers Rajput bhai, Rajeabc bhai, Praveen Bhai, Raunak Sir, Simple Trader Bhai and other great bhai log; so that I can amend and adjust and improve my knowledge.
My great bro, even I am just a noob in trading and trying to learn. I do not have any knowledge which could be considered worth to learn.
I am awaiting guidance of big brothers Rajput bhai, Rajeabc bhai, Praveen Bhai, Raunak Sir, Simple Trader Bhai and other great bhai log; so that I can amend and adjust and improve my knowledge.
aaj mera band baja
bahut nuksaan hua
5000/- ka loss brokerage mila kar
8 lot nifty future sale purchase kiya
ek to rate of difference in spot nifty aur future nifty ne bheja kharab kiya
There was huge difference of more than 5-10 points in spot nifty and nifty futures
therefore, when I had to go long, I had to purchase it at a premium of more than 5/- rupees while additional 5 points were required to go equal.
When Nifty went up, future was not going up equally
but when Nifty went down, future was coming immediately to discount level.
Therefore, even if spot nifty was looking safe to hold but the future price was too much below. And, being afraid of losing more money, I square off the trade. And bang, Nifty was up again. Then I shorted two lots of nifty on the basis of spot nifty. Spot nifty went down but again future was not going down equally. In the meantime, market was just showing some support, while future Nifty was way up. I was too much scared and therefore, squared off my trade in loss. Then again, I entered long near support level, after Nifty made todays low around 12.39 (5374 future Nifty). Thing were going fine till 12.50, I was able to reduce my loss to half. And bang, Nifty went down immediately and by the time I could understand what is happening, Nifty was trading around my even point 5374\5372 while the future was way below. Had no option, but to square off my trade. By that time, I had a reasonable loss of 3100 rupees. And I quit trading anymore. I saw that Nifty was giving due respect to its low and I also had a signal in my system to go long. but I was too scared. Again, there was another signal at 13.54; but I thought it will come down again and did not enter. Again, there was another signal of Nifty breaching 5390 which I had already discussed yesterday post. I thought of entering long now. But alas, the future Nifty was trading at a premium of 8 points i.e. around 5398. I could not gather the courage and remain silent.
aur mere dekhate dekhate Nifty keep going up, and Nifty future was also going up. I was sitting there as a mere spectator and cursing myself as much as possible. Had I kept on trading with my strategy, I would at least saved my loss.
mera man to kar raha hai ki apna sar deewar par de maru. Really, trading does test one's emotional level of dealing with fear so much so that whosoever claims to be courageous can test his real courage over here.
bahut nuksaan hua
5000/- ka loss brokerage mila kar
8 lot nifty future sale purchase kiya
ek to rate of difference in spot nifty aur future nifty ne bheja kharab kiya
There was huge difference of more than 5-10 points in spot nifty and nifty futures
therefore, when I had to go long, I had to purchase it at a premium of more than 5/- rupees while additional 5 points were required to go equal.
When Nifty went up, future was not going up equally
but when Nifty went down, future was coming immediately to discount level.
Therefore, even if spot nifty was looking safe to hold but the future price was too much below. And, being afraid of losing more money, I square off the trade. And bang, Nifty was up again. Then I shorted two lots of nifty on the basis of spot nifty. Spot nifty went down but again future was not going down equally. In the meantime, market was just showing some support, while future Nifty was way up. I was too much scared and therefore, squared off my trade in loss. Then again, I entered long near support level, after Nifty made todays low around 12.39 (5374 future Nifty). Thing were going fine till 12.50, I was able to reduce my loss to half. And bang, Nifty went down immediately and by the time I could understand what is happening, Nifty was trading around my even point 5374\5372 while the future was way below. Had no option, but to square off my trade. By that time, I had a reasonable loss of 3100 rupees. And I quit trading anymore. I saw that Nifty was giving due respect to its low and I also had a signal in my system to go long. but I was too scared. Again, there was another signal at 13.54; but I thought it will come down again and did not enter. Again, there was another signal of Nifty breaching 5390 which I had already discussed yesterday post. I thought of entering long now. But alas, the future Nifty was trading at a premium of 8 points i.e. around 5398. I could not gather the courage and remain silent.
aur mere dekhate dekhate Nifty keep going up, and Nifty future was also going up. I was sitting there as a mere spectator and cursing myself as much as possible. Had I kept on trading with my strategy, I would at least saved my loss.
mera man to kar raha hai ki apna sar deewar par de maru. Really, trading does test one's emotional level of dealing with fear so much so that whosoever claims to be courageous can test his real courage over here.
You dont believe on what you are trading. And more over your system is not that sound to trade yet. And when your system is not sound to trade with, how are you betting 2,00,000 rs. on it. That is for appx 8 lot of nifty. Do you think you can risk that money when you dont have a good mechanical or understandable system. It is easy to see money got blasted, but very hard to recover it. So think before you put real money in. Keep it light.
For a suggestion. Save all your money in your bank account. if you want to work on nifty, then keep 30,000 aside, if stocks then 10,000 aside. Work with it. Test with it. See the whipsaws. If you can generate constant profit from this money for 30 regular days, then you bring more money in.
Hope you understand my point. Logic is not to waste your money in meere testing or on theoratical but not practical system.
For a suggestion. Save all your money in your bank account. if you want to work on nifty, then keep 30,000 aside, if stocks then 10,000 aside. Work with it. Test with it. See the whipsaws. If you can generate constant profit from this money for 30 regular days, then you bring more money in.
Hope you understand my point. Logic is not to waste your money in meere testing or on theoratical but not practical system.
Thanks bhai
But I did believe and I do believe in my system. I tested it on Nifty on about all available past record. The thing which made me scared and about which I was totally ignorant was the difference in the nifty spot and nifty future prices. Earlier, I was trading in put and call options. But after receiving good advise of choosing better instrument, I shifted to Nifty future today.
It was actually the loss caused by the understandable difference in Nifty spot and future. I do not know, if this is a regular feature; but even when Nifty was going up, the future was down; hence even if I was able to gain 10-12 points in Nifty spot, on the basis of which I traded, I was not gaining 6-7 points in Nifty future. Which made me depend on hope that Nifty future will also rise in any moment.
And second, though I believed in my system after loosing the amount, I was hopeless and cursing my system. but now, I can see that it is not the system which failed, it was actually me who failed. It was not the battle between the Nifty and price; it was the battle between me and my confidence, which shattered just before my system was about to give me reasonable return which atleast could have saved me reasonably.
Thanks bhai, I will keep on trying till I understand. I can not put my money in my bank account, because I have no other choice but to learn trading to earn my livelihood.
But I did believe and I do believe in my system. I tested it on Nifty on about all available past record. The thing which made me scared and about which I was totally ignorant was the difference in the nifty spot and nifty future prices. Earlier, I was trading in put and call options. But after receiving good advise of choosing better instrument, I shifted to Nifty future today.
It was actually the loss caused by the understandable difference in Nifty spot and future. I do not know, if this is a regular feature; but even when Nifty was going up, the future was down; hence even if I was able to gain 10-12 points in Nifty spot, on the basis of which I traded, I was not gaining 6-7 points in Nifty future. Which made me depend on hope that Nifty future will also rise in any moment.
And second, though I believed in my system after loosing the amount, I was hopeless and cursing my system. but now, I can see that it is not the system which failed, it was actually me who failed. It was not the battle between the Nifty and price; it was the battle between me and my confidence, which shattered just before my system was about to give me reasonable return which atleast could have saved me reasonably.
Thanks bhai, I will keep on trying till I understand. I can not put my money in my bank account, because I have no other choice but to learn trading to earn my livelihood.
Thanks bhai
But I did believe and I do believe in my system. I tested it on Nifty on about all available past record. The thing which made me scared and about which I was totally ignorant was the difference in the nifty spot and nifty future prices. Earlier, I was trading in put and call options. But after receiving good advise of choosing better instrument, I shifted to Nifty future today.
It was actually the loss caused by the understandable difference in Nifty spot and future. I do not know, if this is a regular feature; but even when Nifty was going up, the future was down; hence even if I was able to gain 10-12 points in Nifty spot, on the basis of which I traded, I was not gaining 6-7 points in Nifty future. Which made me depend on hope that Nifty future will also rise in any moment.
And second, though I believed in my system after loosing the amount, I was hopeless and cursing my system. but now, I can see that it is not the system which failed, it was actually me who failed. It was not the battle between the Nifty and price; it was the battle between me and my confidence, which shattered just before my system was about to give me reasonable return which atleast could have saved me reasonably.
Thanks bhai, I will keep on trying till I understand. I can not put my money in my bank account, because I have no other choice but to learn trading to earn my livelihood.
But I did believe and I do believe in my system. I tested it on Nifty on about all available past record. The thing which made me scared and about which I was totally ignorant was the difference in the nifty spot and nifty future prices. Earlier, I was trading in put and call options. But after receiving good advise of choosing better instrument, I shifted to Nifty future today.
It was actually the loss caused by the understandable difference in Nifty spot and future. I do not know, if this is a regular feature; but even when Nifty was going up, the future was down; hence even if I was able to gain 10-12 points in Nifty spot, on the basis of which I traded, I was not gaining 6-7 points in Nifty future. Which made me depend on hope that Nifty future will also rise in any moment.
And second, though I believed in my system after loosing the amount, I was hopeless and cursing my system. but now, I can see that it is not the system which failed, it was actually me who failed. It was not the battle between the Nifty and price; it was the battle between me and my confidence, which shattered just before my system was about to give me reasonable return which atleast could have saved me reasonably.
Thanks bhai, I will keep on trying till I understand. I can not put my money in my bank account, because I have no other choice but to learn trading to earn my livelihood.
I argee with Raj ,100%.There is a difference between Options and Futures.
Futures deal with absolute value (5400 means 5400) whereas 5400-Strike
means in options Premium only.Hence you to take multiple lots.In case of futures it is not so.So please do not venture with multiple lots until you are
absolutely confident.
Crown,
You need to have an edge to succeed. Please remember this. It is also going to take you anywhere between 3-5 years to become a Master trader. I may sound rude, but I want to correct you at this stage before you start to blow all of your money. Here is something that can be of some value to you.
1. Starting small
Start with one lot (mini nifty) and whatever you loose, think of it as your tuition fee to the market. Even Dhirubhai started small, hence there is no need to feel bad in that.
2. Capitalize on your start
By starting small, you will loose small but gain a lot in terms of your learning and your knowledge curve. In terms of risk and reward, this is the best stage. You loose little, but you gain the most.
3. Tracking
Keep notes on your progress. Record every trade and make sure to re visit that at the end of each week. Success needs to be forgotten, but mistakes need to be remembered.
4. Your system and your understanding
You need to have your rules to succeed. No matter whose system you follow, you will always end up on the loosing side. Be patient, try and understand a concept and they try and apply it. As time progresses, you will automatically begin to master it.
5. Psychology
Psychology is the most important aspect in trading. Believe me, if you follow steps 1-4, you will automatically acquire a successful traders psychology. This is something no book can teach you. But, some common sense will certainly help.
Wishing you all the best.
Tc
You need to have an edge to succeed. Please remember this. It is also going to take you anywhere between 3-5 years to become a Master trader. I may sound rude, but I want to correct you at this stage before you start to blow all of your money. Here is something that can be of some value to you.
1. Starting small
Start with one lot (mini nifty) and whatever you loose, think of it as your tuition fee to the market. Even Dhirubhai started small, hence there is no need to feel bad in that.
2. Capitalize on your start
By starting small, you will loose small but gain a lot in terms of your learning and your knowledge curve. In terms of risk and reward, this is the best stage. You loose little, but you gain the most.
3. Tracking
Keep notes on your progress. Record every trade and make sure to re visit that at the end of each week. Success needs to be forgotten, but mistakes need to be remembered.
4. Your system and your understanding
You need to have your rules to succeed. No matter whose system you follow, you will always end up on the loosing side. Be patient, try and understand a concept and they try and apply it. As time progresses, you will automatically begin to master it.
5. Psychology
Psychology is the most important aspect in trading. Believe me, if you follow steps 1-4, you will automatically acquire a successful traders psychology. This is something no book can teach you. But, some common sense will certainly help.
Wishing you all the best.
Tc
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