Beginner wonders how trading can be a loss at all


I have just registered and waiting for my access for trading. Mean while I just wonder how this whole "Trading in a 2D graph can be a loss?"

How it could be a loss?

Even if I use a very simple strategy like, "Buy when the graph starts going up and sell when the graph starts falling." That is, we will be in buy position when the graph goes up and vice versa.Then obviously at the end of day we would have earned in all the advances and declines so the result is going to be profitable right?

And as the charges are little as I have seen, I don't think that would be a threat.


The only concern could be the liquidity. That is,"What if there are not enough people selling while I need to buy and vice versa. "

How liquid is Indian market? And if it is not liquid enough, How 40% of trades in India are done using HFT? If there is not enough people to sell when I want to sell, How could one trade in high frequency? He needs to wait till the previous sell and buy actions get done to avoid things getting stacked up right? 

I know this is very basic and so anyone having any trading experience should be able to answer this.

Thank you,

Yes Brother. You are right. Trading is very simple. Just Buy when it is moving UP and Just Sell when it is moving DOWN. But it is only Possible If you are Robot and take trades at that much speed and one more important factor is Human Emotions. Trading is very Hard if you have emotions, Remove Emotions from your System (Brain) You will Super star in Trading.

All the Best for You. Please share your starting experience with Us.

1 Like

Confirmation bias. You’ll only see what you want to see, when studying. And end of the market, the trend will be nice and simple. But, the question is how will you identify the trend live.

Many times, unless is a trending day like yesterday, if you take a position the market can go immediately the opposite direction.


Ironically you can only see the middle of chart based upon which you have framed your assumption, but rightmost end is always a mystery, which causes loss in market.

1 Like

Nice yaar, go ahead. But start trading using the money from ur purse and not from ur suitcase.  

Also, when u say 'Buy when the graph starts going up', why wud the other person Sell to u. Either u r thinking the other as Ghada, or the other is thinking u as Ghada. Only the time will decide who is what.

"Ellar Kaal Elithadhe Kaala" - Uppi2, Releasing Grand today! 

1 Like

Thank you Vamsi Krishna for your very positive & valuable comments :slight_smile:
Sure I will share my trading experiences here.

Hi ak89,
I believe being positively biased until I find some worthy threat to find solution for. I fact the purpose of this question is to identify those.
In the example I explained in the question, I didn’t talk about finding the trend. It is the very graph I am talking about. I would like to simply change the buy-sell states according to which direction the graph moves.
My question is like,
What are the possible things that can stop me from simply utilizing all the advances and the declines that the graph carry everyday?
Thank you.

Hi snehil2010,
The right side is always a mystery. But we should be knowing when the up/down shift happens right? Why shouldn’t we simply shift our buy/sell state appropriately?
Say if we have 10 bumps in a day’s chart, and when we do 10 buy + 10 sells, how will the loss occur?

Thank you for your advise Uppi2 :slight_smile: