Lost 1. 50 L doing intraday trading (in 3 phase), please plese help anyone

General
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“BIT A LONG QUESTION CUM STORY, PLEASE BEAR WITH THIS”

Hello

phase 1: its winter 2014 when i entered trading with 75K, without any knowledge traded, traded large & lost 75K in less than 3 days, completely disappointed left trading

phase 2: at august 2015, entered with another 60K with somehow better knowledge of market, but not the good just better than last time. again lost that 50K but in 2 weeks this time. just not getting what to do so bought some books online, gone through trading videos, given up live trading & then…

phase 3: just 25 days before today,

this time i entered with amibroker knowledge arsenals of afl, lot of technical knowledge added in last 3 months, started small with 15K only, (Cover orders only on nifty),

reached to 25K just one week before, now again after too much ups, started to falling down just because of very bad trades, i dont know why but at time of sitting against terminal, i just taking decisions against my indicators & many more things.

TODAY AT 27th November, 17:00, my account again got near to 5K,

I GONE THROUGH THIS 3 PHASES OF MY TRADING STILL NOT GETTING EXACTLY WHAT TO DO NOW. IF ANYONE PLEASE HELP ME, I OWE TO THEM. I DONT KNOW EVEN WITH SOME GOOD INDICATORS, WHATS HAPPENING AT TRADING LIVE ZONE. FOOLISH DECISIONS AFTER FEW WINNING TRADES & ALL…

PLEASE GIVE SUGGESTION OR POST A LINK WHERE I CAN FIND WHAT TO DO FROM HERE…THANKS IN ADVANCE

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My suggestion don't do intraday trading unless trading is full time job for you or without help of algos or advisor.

Don't trade in derivatives unless you have reserve capital of 10 lacs to carry forward the loss for a year and hedge the instrument with instruments like options.

Avoid high beta stocks for intraday trading

Check the daily and annualized volatility of stocks are trade safe. 

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Dear Abhishek Same Story Here

i've been trading in stocks for than a year and after hampered ny stocks i've chaged simwthing can call me on -+91 88 06  82 84 38 for collaborative trading.Get In Touch FOr COllaborative Trading. Age 21 From Maharshtra

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@Abhishek

First and foremost, before trading learn about trading. Best place is Zerodha Varsity.

Then, once you get confidence do paper trading for a month or two, I suggest you trade in Nifty Future, this is one of the best instrument.

Keep/place proper Stop Loss in the system, not in mind.

Follow strict Money Management Techniques, don't ever risk 0.5% to max 1% of your Trading Capital in any given Trade. Eg. If you have 1 Lakh rupees in your Trading Account, risk only Rs. 500/- to Rs.1,000/- for Stop Loss Trigger not more than this.

Trade with only 10,000/- or 20,000/- in any particular trade. One lot of NIFTY Future can be bought with Rs. 19,046/-. (MIS Intraday)

Trade with One lot only initially. Later on you can increase.

Trade with 1:2 Risk:Reward ratio. Which means put 20 points Target and 10 Points Stop Loss. If you are on profitable side, trail the Stop Loss. If you are making loss, let the stop loss hit, never ever cancel the Stop Loss.

Always follow the TREND, never take a trade against the TREND.

Try to develop some self confidence, be with positive minded people, don't get scared, don't bring in greed. No one becomes Warren Buffet in 1 year or 2 Years time.

Take your time, be slow and steady. Be in the market for many years to come, don't get thrown away out of the market.

Be in this TradingQnA forum, read a lot, understand a lot.

That's it, if you follow all this religiously, I bet you will never ever be in LOSS.

Good days are ahead.

HAPPY TRADING.

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~~Day trading is all about momentum and nothing else. You need some way to identify stocks with momentum. Though a knowledge of technicals surely helps, it is not completely fool proof. You should always rely on combination of technicals and not on a single one. You need to devise your own methodology and test it by paper trading before entering the real market. If you are a intra-day stock futures trader keep the following as base and then supplement with further value-additions:

  1. Stock selection for trading intra day futures:

    a) Do not trade during the first half an hour of the opening.

    b) By 10.00 am you will definitely have a fair idea about the general trend or atleast the market sentiment. This is a function of prev day DJIA performance, current day’s Asian markets performance, etc.

c) If general sentiments appear to be positive, look for stocks with momentum that can be gone long. Similarly if sentiments appear to be negative, look for stocks with momentum that can be gone short.

d) Now comes the crucial aspect of identifying stocks with momentum (bullish and bearish).  At 9.50am to 10am, go to  the market watch section of exchange's website  and find out stocks which have the following characteristics :

i) Open price is the lowest price / near lowest of the day so far. (indicates bullish trend with momentum)

ii) Open price is the highest price / near highest of the day so far. (indicates bearish trend with momentum)

The above can be easily automated in excel by downloading the excel link from the exchange’s website. If the general sentiments appear to be positive, focus of item i) else focus on item ii). If the general market trend is directionless and range bound focus on a combination of i) and ii). Few more parameters can also be supplemented to i) and ii) to confirm the momentum.

e) Last but not the least is discipline. Have a strict SL depending upon your risk appetite. If you are in profit do not hesitate to book it as greediness is the biggest enemy of a trader. If you are in loss, SL will take care of your exit. Do not overtrade.

Hope the above helps.

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