Read on Twitter
Interesting read. It has been on my mind for sometime now , becoming a pure daytrader . The critical point was sometime a few months ago ( my handholding batch saw that trade ) where I got hit by a 400 point Nifty gapup against me and saw a 7 figure negative M2M. https://twitter.com/Canny4/status/1299478098367438851">https://twitter.com/Canny4/st...
It took all my experience to daytrade and scalp thruout the day to cover 80% of those losses( and it was draining) . But the initial hit was scary , despite being in options . Set me thinking about me as a trader , my trading style and what are my strong and weak points
I can enter very fast, with size , have perfect risk mgmt where I always get out at predefined losses . But if in a positional trade the gap up is against me , all risk mgmt goes for a toss as no way one can manage set risk overnight .
I have also understood that I am psychologically more comfortable holding positional shorts than long . This also has a Greeks support. Stocks going up depresses IV and your calls don& #39;t rise that fast. Falls pump up IV and your puts gain much more
Plus, markets take much lesser time to fall than rise .
In daytrading ( what I thought my weakness ) my issue is I cannot hold for long . 30 mins is the max I can hold . So, I have modified my strategies and execution accordingly
In daytrading ( what I thought my weakness ) my issue is I cannot hold for long . 30 mins is the max I can hold . So, I have modified my strategies and execution accordingly
I have also realised no trader can be positional, daytrader , play both longs and shorts equally well. One has to find his niche , where he is most productive and psychologically comfortable .
From the shared thread, one point resonated . " Not waking up to a drawdown due to adverse gap"
Plus, markets as of now are kinda irrational , better stay on my toes
Plus, markets as of now are kinda irrational , better stay on my toes
Had this huge discussion at various points with @gautam_icma who also advised me to stick to my strengths in daytrading ( it& #39;s ongoing ).
So, I have decided that daytrading will be 90% of what I do. Wil switch to more positionals when I see a large bear move ( I am equally comfortable there ) 
https://abs.twimg.com/emoji/v2/... draggable="false" alt="đ" title="Grinsendes Gesicht" aria-label="Emoji: Grinsendes Gesicht">
The aim of this thread is to explain that no one is a superman who can trade all trading styles. Find where u are comfortable according to your skills. Can be daytrading, swings, deliveries etc .
Find your niche :)
Find your niche :)
Last nail came when I perfectly identified TataMotors as a long since 112 and SBI from 200. Entered right, had solid positions but could not take the full ride. More of a psychological issue than technique :(
