You may not like this but this is true in India/Asia/EMEA/North America - Fate of Retail Trader

All my India folks!

whoever want to make money by doing trading below are the key points (some of you may not like this and some may say this is totally BS!). But I would like to highlight this that this hard lesson I learned after I lost INR 25 lacks between 2013-2016 in India market.

  1. If you want to make some money in India market then you need at least INR 8-10 lacks as base capital.
  2. You need to trade in stock, commodity, FX, Interest Rates in India Market.
  3. Please be aware of your net return(that is after deducting the commission, taxes, any other fees) and you really really need to generate the trade ideas irrespective of what asset classes you want to trade with a robust risk management(with solid position sizing).
  4. That being said you must some hands dirty with excel, basic maths and 80% it is about fundamental analysis and 20% is about technical analysis.

Roughly I’m talking about INR 20 lacks as an investment(trading capital + education) to make money otherwise you will be losing money!

Rubbish, you can make money in stock market with as little as 50k trading capital.
Dude, if you have 20 lakhs, please do Bank FD, it’s safe no tension at all. Don’t risk ur money in trading.


Alternately, one can opt for Mutual Fund investment in convenient way as he/she can afford. That’s comparatively easy and safer than crash-exposure to equity market.

next alternate is investing using dmat brokerage firm’s tips, many of them are having a good record of reliable tips (such as ICICI Direct). And if you have basic knowledge of chart-reading and indicators you can optimize entry sometimes too.

If you have 20 lakhs of capital you can try something like this Trading QnA

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I walked into a HDFC Branch in Mumbai in early 2014. The sales guy after checking my acct exactly offered me the same thing saying ‘Sir, why don’t you open a FD with us!’ . I asked him two questions at that time a. what is India CPI(Consumer Price Inflation) and b. What is the real Inflation? He got confused and blabbed so I told him look if I invest in FD basically the return I’m getting is net revenue negative (I forgot but I guess during 2014 the FD interest rate was around 8 while the real inflation was 14%(the Food inflation was shocking around 20% I guess).

I’m overwhelmed with your statement that someone can make money with INR 50,000 in the stock market! Possibly(he/she may be in the 10% of population but 90% of retail people loose 90% of their capital in 90 days!

Here is a thought! Who owns NSE and BSE, MCX and what happened to that commodity exchange (which was in newspaper and media 2-3 years back)

Never be victim of brokerage firm’s tips and to that extent I would say never ever watch the business media shows, business related newspaper! I used to do the same thing until a Goldman Sach Professional Trader in Singapore told me that every retail trader around the world is making mistake of reacting after they read/listen this!

By the time a retail trader enter into a position guess what the market is already decided by Hedge Funds, Investment Banks Trading divisions. What retail trader does is provide liquidity and acting exactly opposite

Obviously, most of the tips (particularly free types, on forums and other biz websites etc) are useless.

Thats why I have given example of ICICI Direct market research is recognized by awards and their tips are available only on reg mail of Dmat holder or after login on his trading account page (same is for others like Sharekhan, Axis etc I think).

I also have added the point that one have to be aware of chart reading to optimize their entry. And in trading, without risk there is no reward. One has to take risk as per their capacity.

There research and tips are brilliantly good in failing. :smile: