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Day Trading Options |
s.tarlochann
White Belt
Joined: 11 Aug 2011
Posts: 18
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Post: #1  Posted: Sun Oct 02, 2011 2:28 pm Post subject: Day Trading Options |
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Is it prudent to trade intraday in stock/index options? Experts may kindly throw light on all aspects of the same. Thanks in anticipation.  |
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s.tarlochann
White Belt
Joined: 11 Aug 2011
Posts: 18
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| Post: #2 Posted: Mon Oct 03, 2011 8:45 am Post subject: |
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I know, i shall get an expert reply soon.  |
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singh.ravee
Yellow Belt
Joined: 12 Aug 2010
Posts: 678
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| Post: #3 Posted: Mon Oct 03, 2011 8:50 am Post subject: Re: Day Trading Options |
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| s.tarlochann wrote: | | Is it prudent to trade intraday in stock/index options? Experts may kindly throw light on all aspects of the same. Thanks in anticipation. |
s.tarlochann,
as long as you are on the right side of trade, any timeframe will do.
rgds
ravee
amateur |
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casper
Green Belt
Joined: 02 Oct 2010
Posts: 1315
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| Post: #4 Posted: Mon Oct 03, 2011 9:02 am Post subject: Re: Day Trading Options |
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| s.tarlochann wrote: | | Is it prudent to trade intraday in stock/index options? Experts may kindly throw light on all aspects of the same. Thanks in anticipation. |
trading in option or any other high leveraged asset classes like riding a super bike
if u r experienced and a good driver who knows his job as well as got his safety gears ready then it will give u best possible acceleration in the world
if u r a new comer, its better u try on bicycle first (cash market delivery buy)
otherwise Aiyazuddin type accidents are not uncommon in market |
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prasenjit
White Belt
Joined: 31 Dec 2010
Posts: 59
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| Post: #5 Posted: Mon Oct 03, 2011 9:54 am Post subject: |
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| hello....i think we r going towards 3900 levels below 4689 level......will we reach there ..... |
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s.tarlochann
White Belt
Joined: 11 Aug 2011
Posts: 18
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| Post: #6 Posted: Mon Oct 03, 2011 8:48 pm Post subject: Re: Day Trading Options |
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| casper wrote: | | s.tarlochann wrote: | | Is it prudent to trade intraday in stock/index options? Experts may kindly throw light on all aspects of the same. Thanks in anticipation. |
trading in option or any other high leveraged asset classes like riding a super bike
if u r experienced and a good driver who knows his job as well as got his safety gears ready then it will give u best possible acceleration in the world
if u r a new comer, its better u try on bicycle first (cash market delivery buy)
otherwise Aiyazuddin type accidents are not uncommon in market |
NEWS:Mohammed Azharuddin's son Ayazuddin was cautioned over the dangers of speeding by his college officials; young cricketer fighting for survival in a Hyderabad hospital
thanks casper for cautioning beforehand against riding on the bumpy road of stock market. you have saved me from becoming another Aiyazuddin. |
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s.tarlochann
White Belt
Joined: 11 Aug 2011
Posts: 18
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| Post: #7 Posted: Mon Oct 03, 2011 8:56 pm Post subject: Re: Day Trading Options |
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| singh.ravee wrote: | | s.tarlochann wrote: | | Is it prudent to trade intraday in stock/index options? Experts may kindly throw light on all aspects of the same. Thanks in anticipation. |
s.tarlochann,
as long as you are on the right side of trade, any timeframe will do.
rgds
ravee
amateur |
thanks singh.ravee. your one liner reply is equal to a volumnious book on stock market for the naive traders. |
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hasten
White Belt
Joined: 30 Jun 2011
Posts: 216
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| Post: #8 Posted: Tue Oct 04, 2011 12:44 am Post subject: Re: Day Trading Options |
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I do scapling in Nifty Options and I would like to share a few things :
I need approx 3 points in Nifty options to take cate of exchange charges,low brokerage and STT and also a few wrong trades which always happen irrespective of what we do. So if I am scalping At The Money options ,it means the nifty should give me a move of 6-7 points in direction of my trade that too very quickly.
I select my place for scalping .....such as when a hourly bar's bottom gets broken, or a important pivot gets taken out,break of a trend line,failure of breakouts/breakdowns....these are places where the counter gets into high activity mode,the moves are strong and fast. I can achive my targert move in less than a minuts in the trade. Sometimes I got even 6-8 points in such scalps agaist 3 to 3.5 points(Considering that ATM and ITM tend to move nicely with the trend and can easily give 5 - 6 points in seconds, would you define them as your targets i.e. have a pre fixed target in your mind that when i acheive 6-9 points i will exit irrespective of the move by keeping a stoploss of 3 rs..(1:2) risk reward ratio.) which I am looking for.....Though this is not scalping strictly....it is actually trading breakouts for small price move.....but whatever it is called ,these quick scalps suit my mental set up.
Sometimes bid/ask spread gets wide....in this case try to buy at lower side of the spread and sell at higher side.....this is to be tried in stable markets...not in trend moves because mkts are likely to jump in trend moves....
i am not a regular scalper...but thought of sharing few points here...
Regards. hasten  |
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vinay28
Black Belt
Joined: 24 Dec 2010
Posts: 11748
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| Post: #9 Posted: Tue Oct 04, 2011 8:27 am Post subject: |
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| Interesting, Hasten. One question. How many lots do you trade for this 6-9 points gain? And if you do large volume, what is the range over which you get your trade. 2 points or less? |
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opportunist
White Belt
Joined: 27 Apr 2010
Posts: 356
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| Post: #10 Posted: Tue Oct 04, 2011 12:19 pm Post subject: Re: Day Trading Options |
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| hasten wrote: | I do scapling in Nifty Options and I would like to share a few things :
I need approx 3 points in Nifty options to take cate of exchange charges,low brokerage and STT and also a few wrong trades which always happen irrespective of what we do. So if I am scalping At The Money options ,it means the nifty should give me a move of 6-7 points in direction of my trade that too very quickly.
I select my place for scalping .....such as when a hourly bar's bottom gets broken, or a important pivot gets taken out,break of a trend line,failure of breakouts/breakdowns....these are places where the counter gets into high activity mode,the moves are strong and fast. I can achive my targert move in less than a minuts in the trade. Sometimes I got even 6-8 points in such scalps agaist 3 to 3.5 points(Considering that ATM and ITM tend to move nicely with the trend and can easily give 5 - 6 points in seconds, would you define them as your targets i.e. have a pre fixed target in your mind that when i acheive 6-9 points i will exit irrespective of the move by keeping a stoploss of 3 rs..(1:2) risk reward ratio.) which I am looking for.....Though this is not scalping strictly....it is actually trading breakouts for small price move.....but whatever it is called ,these quick scalps suit my mental set up.
Sometimes bid/ask spread gets wide....in this case try to buy at lower side of the spread and sell at higher side.....this is to be tried in stable markets...not in trend moves because mkts are likely to jump in trend moves....
i am not a regular scalper...but thought of sharing few points here...
Regards. hasten |
hasten i do exactly same thing as you and have been doing so for last one year with some success. But your 3 points for breakeven sounds high. Try zerodha...with a 4-5 lot trade size you can achieve breakeven at 0.5 |
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tanhadil1984
White Belt
Joined: 08 Jun 2011
Posts: 36
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| Post: #11 Posted: Tue Oct 04, 2011 1:01 pm Post subject: Re: Day Trading Options |
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| opportunist wrote: | | hasten wrote: | I do scapling in Nifty Options and I would like to share a few things :
I need approx 3 points in Nifty options to take cate of exchange charges,low brokerage and STT and also a few wrong trades which always happen irrespective of what we do. So if I am scalping At The Money options ,it means the nifty should give me a move of 6-7 points in direction of my trade that too very quickly.
I select my place for scalping .....such as when a hourly bar's bottom gets broken, or a important pivot gets taken out,break of a trend line,failure of breakouts/breakdowns....these are places where the counter gets into high activity mode,the moves are strong and fast. I can achive my targert move in less than a minuts in the trade. Sometimes I got even 6-8 points in such scalps agaist 3 to 3.5 points(Considering that ATM and ITM tend to move nicely with the trend and can easily give 5 - 6 points in seconds, would you define them as your targets i.e. have a pre fixed target in your mind that when i acheive 6-9 points i will exit irrespective of the move by keeping a stoploss of 3 rs..(1:2) risk reward ratio.) which I am looking for.....Though this is not scalping strictly....it is actually trading breakouts for small price move.....but whatever it is called ,these quick scalps suit my mental set up.
Sometimes bid/ask spread gets wide....in this case try to buy at lower side of the spread and sell at higher side.....this is to be tried in stable markets...not in trend moves because mkts are likely to jump in trend moves....
i am not a regular scalper...but thought of sharing few points here...
Regards. hasten |
hasten i do exactly same thing as you and have been doing so for last one year with some success. But your 3 points for breakeven sounds high. Try zerodha...with a 4-5 lot trade size you can achieve breakeven at 0.5 |
mr hasten nd mr opportunist wil u plz clarify ur strategey wid sme example, as i m nt able to understand it fully, thnx in advance |
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dreamer_dang
White Belt
Joined: 15 May 2011
Posts: 9
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| Post: #12 Posted: Tue Oct 04, 2011 4:26 pm Post subject: |
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| In my opinion NO BODY GOT RICH BY THIS METHOD. |
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rk_a2003
Black Belt
Joined: 21 Jan 2010
Posts: 2734
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| Post: #13 Posted: Tue Oct 04, 2011 5:24 pm Post subject: |
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Opportunist!
Could you please give us an example, how with a 0.5 points we can achieve break even?.If it is so it's really an advantage for scalpers.
And also may I request you to summarize your experience with Zerodha.
Regards
RK |
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