Tuesday, 21 March 2017

Stock Trading 21032017



Above is a snapshot of chat message today while trading the stocks in morning and helping learn other trader how to trade.

As you can see, 2 out of 3 trades made profit.  The trade which lost, lost very minimum.  Total profit of trading like this in the morning couple of hours generated a profit of around Rs. 5000 on a small capital.
Date Scrip Avg. Buy Avg. Sell Qty P/L
21/03/17 India Cem 165.5 165.95 3021 1360
21/03/17 Oil 330.4 329 1513 -2119
21/03/17 Eng Ind 150.5 152.2 3322 5648
Total = 4889

There are certain advantages with stock trading like this.  Let me explain,

1) Most of the traders are not able to make consistent profits.  Also they start trading in F&O with the dreams of making big profits and majority of them end up with big losses. 

Trading in stocks allows us to risk very less.  We can trade for Rs. 1000 also in the learning process and not lose more than Rs. 20 per day.  Couple of cups of coffee or tea costs more than that.  Once we get comfortable and develop enough experience, we can always start ramping up and make this much of bigger profits on a small capital requirement. 

2) Risking less and trading with the discipline develops consistency.  The consistency in trading like this is very much essential.  You would appreciate a strict discipline of exiting at SL and booking out at targets in above trades.

3) Less time involvement.  Only 2 hours are required.  Rest of day we are free to do anything and enjoy our life.

Minimum capital requirement - minimum risk - minimum time requirement

In nutshell, I believe trading like this is the only answer to consistently profitable day trading.  


8 comments:

  1. Hallo Udayji,
    Nice job. Just one question .... do you take multiple trades in one stock? or you are taking quantity proportion to your capital ? Why quantity is odd?

    ReplyDelete
    Replies
    1. No. Only one trade per stock for the day. Trade size is 5 lacs to maintain uniformity. That is the reason for odd quantity.

      URD

      Delete
    2. Please elaborate. Means you use margin of 5 lacs at a time of one trade?

      Delete
  2. Hi uday,

    I mailed u regarding ur mentioned course , kindly check at ur end.

    ReplyDelete
  3. Udayji

    OIL day low is 329.05 and your call was sell below 329.05 which is not broken.

    Thanks

    ReplyDelete
    Replies
    1. Yashraj

      When we trade at the extremes, it happens sometimes. Charts will not reflect the lows or highs but if you keep the order, it might be executed. The same happened with Oil. I was the last person to enter.
      URD

      Delete
    2. Yashraj

      When we trade at the extremes, it happens sometimes. Charts will not reflect the lows or highs but if you keep the order, it might be executed. The same happened with Oil. I was the last person to enter.
      URD

      Delete