Well, this was my first month as a serious trader on the new demat account. I traded mostly in Futures and Options. I had a lesser liking towards options, main reason being the low liquidity in options of the stocks which I wished to trade.
Maybe I need to look at trading Nifty Options. Its a good idea to do trade in options, when there aren't good stocks to pick for trading- both on the long and short side.
I had a few hits - LT, IDFC, Titan(short), Syn Bank(short).
I had quite a few misses too - Infy, Axis Bank, ABB (short) and SBI.
Infy and Axis Bank - bad analysis and bad entry points. Instances where I tried to force a trade.
ABB - analysis was right, but entry was wrong. Another instance of trying to force a trade.
SBI - pattern gone wrong, or my understanding of Bullish haraami pattern was wrong.
In all these cases, I had a 1:3 risk to reward ratio, i.e. for every 3 rupees that I was prepared to earn, I was prepared to lose only 1 rupee. I ensured that I kept strict SLOs(stop loss orders). So the profits outweighed the losses at the end of the month.
I also suggested some trades to my friends and my wife. They got good profits in Shree Renuka Sugars, Sydicate Bank(both on long and short side) and Tata Steel.
In this month, Nifty has touched a high of 6338(Diwali time) and a low of 5780(today - 25th Nov). I'm happy that I am still surviving this market correction, and my trading account is in green for this month.
Some great trader has said, "Its not important in what direction the markets are going. What's important is a trader's response to it."
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