Hi Nithin ,hope you doing fine
Wanted to know ,cansomeone put food on table by earning from options tradin for living expenses of family ?? Like earning 15-20L annually .
Want to know the end result of someone if he or she becomes a good trader ovr a period of time let’s say three four yrs ,then in options buying how much capital is needed to generate 15-20L per annum and also on how much capital is needed in options selling to generate same 15-20L amount return annually.
It is possible to put food on the table by trading options, but it is extremely hard. It makes it harder to trade when you have no other source of earning a living. While people talk about trading primarily as the strategy that lets you buy/sell, but successful trading is mostly about money management. How you behave under the influence of fear and greed determines your odds of being successful. For most people, if this is the only source of living, the influence of fear and greed is a lot more and hence the chances of being successful reduce.
I don’t think putting a money goal is the right way to do it; you then tend to be under pressure to hit that goal. The right way to trade, I think, is to follow all the rules and not worry about the absolute outcome in terms of profits.
If you are someone starting, start with the absolute minimum money that you can afford to lose. Increase the trading capital only once you have started generating profits consistently.
There is no way to say how much capital is needed to generate Rs 15 to Rs 20lks; it depends on your skills and luck. The odds of getting lucky are higher the longer you survive. To survive long enough, you need to be as conservative as possible. This means the more capital you have, the higher the chances of generating higher absolute returns.
I shared this sometime back.
This is gold or maybe even diamond.
And most people have unrealistic expectations on returns. That is also one of the most popular causes of failure in the markets.
And you Sir are truly an unique CEO i have ever come across who is so down to earth, patiently answering and interacting here on this forum with all of us.
May sound like i am buttering you, but its the truth, you are especial.
I agree with you. I think Nithin is among the humblest business leaders I’ve come across.
liked the honesty, wonder how much buttering he must be getting in real world on a daily basis??? Just a thought…
Thanks for your input. Really appreciate it you taking time to reply.
Thanks for the response