Trading for regular income

[Vikeshnjain]

wel i wasnt followin this strategy but this is very gud one.. will strt on this now on..thanks ppl

 

[aabhi06]

Hi all,
I am also trading in Patni computer ,HCL techn, DrReddy, Dskulkarni, You can trade 30 to 40 rs in 10-15
days, if any scrip idea plz tell.
Thanx.

 

[smanimdu]

Dear All,

Make sure you have a system or a methodology to invest and reap benefits in this market.If not, 200% you will loose your pants and shirts in this kind of market. 95% traders will loose money as they chase each and every rising stock and how many times you noticed that a particular stock was rising and waiting for you to put your hard earned money to start its downward jouney.

All of us would have lost money at some point or another. I had started this thread way back in August. My favourite scrip was BOB and I am still sticking to it. Because the fact remains that this scrip is not rumour driven, it has solid fundamentals. A week back it went down to 262 and you can see the CMP yourself today.

Choose any good scrip, and mint money with patience. It will not make you rich overnight but for sure it will not force you to write suicidal notes like many boarders have written here after loosing all they had.

u r rite. i hve been chasing the rising stocks and the price will start to fall once i bot and i've to keep the stock till it reach the price at which i bot. often i loose patience and sell it with a loss.
now i thing i can follow ur strategy.

 

[expertspeaks]

Guys..Those who trade with patience will be rewarded and they will keep on taking out money from this market in a shameless manner. Start buying now again gradually and sell on each rally. Market goes up or down does not matter, we trade for the stock movement.

 

[MaxBombay]

Guys..Those who trade with patience will be rewarded and they will keep in taking out money from this market in shameless manner. Start buying now again gradually and sell on each rally. Market goes up or down does not matter, we trade for the stock movement.

but how the stock will perform if market is not performing?

 

[expertspeaks]

Stock does not need to perform in this strategy. It just need to swing between your buy and sell price.

Example- I had bought 1000 IFCI @107. In a normal way I would add another 1000 @97 and then next lot at 10 rs low. Since it crashed to 70 in one day after the news, I still adhered to my strategy. Bought 3000 @ 71. Sold 1000 each at 77,87 and 97. Again started buying at 90,80...... I do not need IFCI to reach my buy price of 107. All I need is the movement of 10 rs. I hope I make it clear.

 

[expertspeaks]

Well this strategy is more relevant than ever in this current market scenario.

Look at IFCI movement in last 1 month. Trading between 55 and 67 and on an average it's giving you a movement of 3 rupees. Though in attachment you will see that it's daily movement is above 4, but that includes the gap up-down opening which you can't trade. I have been trading it for every 2 rupees movement and in a day you are getting 4-5 chances of executing such trade.

Start low and increase your exposure if it goes down. For example- If CMP is 57, buy only 500 and start your strategy for selling each 100 on every 3 rs. rise. And if it goes down from CMP start buying 100 on every 3 rupee fall to sell on every 3 rupee rise.

For bigger traders, you may start with 3000 shares at CMP and keep adding another 1000 for every 3 rupee fall. Once you have bought 7000 shares and above do not forget to hedge your self by buying one put for the nearest strike.

And keep minting money.

 

[fast_rizwaan]

Well this strategy is more relevant than ever in this current market scenario.

And keep minting money.

friend, how do you manage your money? are you buying and selling in 3 steps.. like 90-80-70 and selling at 80-90-100?

why don't you wait for the scrip to fall to 70 and buy 3 times than 90+80+70/3 = 80 average price, you could have saved 10 rs *3000 = 30000?

the Jan 22 2008 crash caused all stocks to fall to around 50% 100 rs has become 50 rs scrip.

example hugtel 62->33, nagarfert 85->35, etc.. did you buy more after the fall or did anything else? please share.

how much do you keep cash to "average" it? and how frequently you buy?

I appreciate your kind gesture of sharing your strategy with all.

Here's a few scrips:

1. ITC - range 185-210
2. HindUnilvr - range 189-220, 220-240
3. hydrbadind - range 150-165
4. rpl - range 155-180
5. dabur - range 95-103

 

[expertspeaks]

friend, how do you manage your money? are you buying and selling in 3 steps.. like 90-80-70 and selling at 80-90-100?

why don't you wait for the scrip to fall to 70 and buy 3 times than 90+80+70/3 = 80 average price, you could have saved 10 rs *3000 = 30000?

the Jan 22 2008 crash caused all stocks to fall to around 50% 100 rs has become 50 rs scrip.

example hugtel 62->33, nagarfert 85->35, etc.. did you buy more after the fall or did anything else? please share.

how much do you keep cash to "average" it? and how frequently you buy?

I appreciate your kind gesture of sharing your strategy with all.

Here's a few scrips:

1. ITC - range 185-210
2. HindUnilvr - range 189-220, 220-240
3. hydrbadind - range 150-165
4. rpl - range 155-180
5. dabur - range 95-103

Hi Rizwan,

In this strategy there are no targets. Nobody knows whether a scrip will touch x price or not, but for sure it will oscilliate between y and z and that is all we need.

I have been trading BOB and lately IFCI for this purpose. Yes the scrip is trading at almost half the peak price, but I was always geared up for that. I had hedged myself with puts after scrip started going below 90. I had bought puts of strike 80.

Now my trading range is till 45. The day it will break 45, I will stop buying and buy puts for 40. 2 things will happen, it will go below 45, puts will save my investment or it will go above 45, my game will start again. Buy 2 rupees low and sell 2 rupees higher.

Always remember, the scrip has to have good fundamentals to be traded in this category. Stay away from speculative scrips, like RPL, Chambal, Hugtel etc. Although IFCI also had a lot of speculative movement, but with time it's fundamentals have improved and risk of downlslide is limited.

 

[robo007]

Hi folks, my friend who has more than 10 yrs experience in share trading told me that some companies post persons in the counter temporarily make high turnovers and increase the price of the share,job is done, and the person leaves the counter leading to fall after some time. So, read the details of the company before investing !