When we trade we need to have a plan. Whether the plan is executed manually or in auto mode the results would nearly be the same. Where auto mode helps in in persistent execution of the plan. Life throws a lot of things at you. It is not always possible to sit in front of the trading terminal. Auto helps in execution when for some reason we cannot punch in the orders or when mind is too held up to execute the plan properly.
If your trading logic can be broken to n number of steps and you have datafeed to support then it can be coded and turned in to an algo. Trading decisions need not be variable.
Losses are part of trading. Its keeping the losses within manageable limits and cutting out of trade when in loss nonchalantly that will determine whether you are profitable overall with profits from your profitable trades.
Take a example of chart pattern for just reference, you all know that chart pattern are always variable, it is not exactly forms in chart, somewhat extant, shape varies.
Now how can you tell algo that this time chart pattern is formed and do trade, your algo will always search for a perfect chart pettern in chart. It can’t apply its intelligence that okk chart pattern is formed roughly and we should trade.
So from here my question is coming. Algo will trade only when it finds opportunity according to code, but it can not do it’s gusswork.
Way of trading like above wil have loopholes in algo.
Offcourse there are some ways of trading, which can be coded down perfectly, but there are also ways that i find it difficult to code in algo.
When the market was rising, 80% of the trades were successful, when it was falling almost all of trades ended up losing, although there is much I should have done which would have changed this.
Yes, but there cannot be patterns that are forming now which did not form before. So all such patters, movements and other indications have happened in the past which are analyzed and backtested, years and years of data, crores of data points, so I think we can choose to take those trades which have the highest probability of winning. Just like a chart which looks strong, which we can predict will move up.
Personal betterment is what I am looking at, and as time progresses one could say that something is perfect for himself, not that it is perfect in itself.
A product is alright, but it is perfect for me, perfect for my need, purpose and situation
I think you have learnt the lesson. And even if it is bitter, you will never gamble again. If you have made a mistake, it is alright; let it be like that. It was a lesson, and let it be like that. It may hurt you for a while, but you should not belittle yourself for something like that. Consider using risk management, trading psychology, and smaller capital in the future, and you are good to go!
Well, mistakes made are lessons learnt so take it in stride and try to avoid such mistakes in the future… Losing is bound to happen, this is how you learn to make better choices. Yes, it may pinch your pocket but no profit is earned without risking a little.
Stop brother others don’t know ur pain but i can understand ur pain
I am also from middle class lost more than u
Even i feel manytimes if anyone loose such huge amount
Trading hijacks ur brain
Especially when we get big loss we feel as if we are in control but we are not
I wasted 10 years u just wasted 3 years
I don’t even spend 10k unnecessarily outside of trading but in trading i loose 2 lakhs per day
I created account to answer your question.
I know how ur mind is now. Please stop difficult to hear but pls stop it. I have lost more than you. We loose more and more in process of trying to recover
I have lost 14 years of savings still difficult to come out. Don’t don’t don’t trade
Trading requires decipline. It’s the greed that takes a trader down. I had been into Prop. Trading Desk where had to manage 100 cr capital. When you have a smaller capital, you tend to take up more risk. However with a huge capital, you need to be well disciplined.
My trading strategy: Long term leaps - 4-5k points away from ATM. Sell the strangle. Usually do this 1-2 times a year and ROI being around 10-12% (If it seems like for this ROI, I am nearing the ATM, either move ahead the expiry or lower the ROI). For the trade I have G-Secs which yield about 7.5% return. So overall, the return is approx 17% to 19%. Doing this since 2014 and never posted any loss in FnO.
Second strategy: This is my favourite. Doing cash secured puts on my fav FNO frontliner stocks. 2 times I had to take delivery even though my strike is far away. But that did not hurt much as post delivery I initiated covered calls to bring my costing down. This have a better return. May be not possible for everyone as the capital is comparatively huge (contract value + Margin for selling put). But hold on, accumulate capital. Market is not going anywhere.
Take your own advice too. Not everyone has to trade or can trade and it seems you don’t have the emotional makeup for it and 10 years is more that enough to acquire that. Forget about what was lost as its gone and focus on rebuilding your savings.
