Wednesday, April 13, 2011

INITIATED FIRST TRADE

Today at 1pm mr. market told us to buy nifty so bought NIFTY~F:2-MONTH (26MAY2011) AT 5904.
So the possibility which told here ( http://kolhapuritrader.blogspot.com/2011/04/first-trade.html ) became the reality within two trading sessions.

6 comments:

suhask said...

My trading system has given buy signal at 5845 at 11.30 am ( hourly TF ) today with loss of 1.45 point , previous sell signal was at 5843.5 on 08/04/2011 which was squared off today with this new buy signal. This system is mechanical trading system where we are having continuosly open position , may it be buy or sell.
As we are not expert to diagnose whether market is in buy mode or sell mode , we can install mechanical trading system in Amibroker (universally used charting software ) with the help of the experts. This system in nothing but software in which various mathemetical formulae are installed to generate buy or sell signal in the charts.
To use Amibroker , two things are required one as I mentioned the trading system & second data source which are paid data . So initial cost for this is very high with monthly recurring cost for data. But we can use it for any stock or commodity or forex in any time frame. But with this system we don't require any guess work , the rule is just to follow the signal.

suhask said...

There is small correction in my previous comment.
This system is nothing but software in which various mathemetical formulae in computer language or code are installed...

suhask said...

Today my system landed in whipsaw i.e. stoploss of the previous trade , buy, was hitten and system showed reversal of the signal. The system gave sell signal at 5829.8 at 12.30.pm. with the loss of 15 points in the previous trade. Though it gave loss of 15 points in nifty spot chart, the real loss was of 32 points as the premium was more yestarday at buy signal than today's sell signal. Today I have sold at 4842.9 future.
One more thing , initially we should start trading in minifty than nifty as minifty contains 20 shares & in nifty those are 50.

kolhapuritrader said...

dear suhask u must have sold at 5842.9 and not at 4842.9

kolhapuritrader said...

SUHASK SAID--
To use Amibroker , two things are required one as I mentioned the trading system & second data source which are paid data . So initial cost for this is very high with monthly recurring cost for data. But we can use it for any stock or commodity or forex in any time frame.

---DEAR SUHASK, that way any system can b used for any stock, but after analyzing & studing lot more things i am only following NIFTY bcause time required for monitoring will b less, & also it will give idea regarding broader market. If u want to follow stocks then time required will b more, since if u r following 10 stocks then time required will b 10 times more, bcause u have to study 10 charts then come to conclusion, and if u r analyzing fundamentally then u have to analyze financials of 10 companies.
Also the risk is more while trading individual stocks, bcause volatility is more & if there is company specific news/rumour in market impact will b more & it may lead to change intrend very fast, so possibility of profit as well as loss is more with individual stocks. While news/ rumour will have less impact on nifty/index.
( Rumour -- a piece of information spread among a number of people which is not confirmed and may b false. )

suhask said...

Guruji,
This is to inform you that today my mechanical trading system gave reversal of the previous ( sell ) signal. Nifty is buy at 5800. giving profit of 30 points. Actually, for future the sell was at 5842 which was covered today at 5811 future giving actual profit of 31 points.
I am trying to attach PNG image of the system to this comment , but I am unable to do that.