Sunday, July 18, 2010

Trading Guide for Traders Call

01. Trade all calls. At a time 2/3 positions will be open, distribute your fund like this;
Total Fund (or margin)/3= Your actual fund allocation on a single trade.
Example: Total Fund (or Margin) is 1 lakh Rs. Then the actual trading amount in one trade would be 1 Lakh / 3 = 33k
 
02. Profit booking is an important part in a trade. Keep an eye on the follow up instructions. Buy at given rate & book at target, this is followed in most of the positions.
In some of the positions after a certain run, in a crucial level, we give book 50% & rest modify above buy. If you have say 100 shares, please book 50 share that time and rest 50, put sl above buy. This method is called win-win situation. When the script comes to the target, book the rest positions and by chance if the stock comes down from there we have already booked the profit.
 
03. SL, which is very rare, by chance if comes in a position, please close that trade. A trade is dead when Target or SL comes. Near the Target, in few positions we may give instruction that the Scrip may go more up to this level 'abcd'. If you are good in Trailing SL, then use that from there for more profit, & if you are not much friendly with Trailing SL then simply book at that Target, which came with the Call. Our Performance shows profit book at the Target only and not at those Day High / more spike etc.
 
04. In an average a 5% profit target we keep on total allocated fund per day. When in first 3 Trades profit booking is done, simply your Fund is freed, and we give again 2/3 positions, and this way we keep rotating same fund for 3 times. That means your 1 lakh Rs used to work 3 times a day and over bought position dosnt come.
 
05. We are discussing in long positions. Same thing is applicable in short positions as well.
 
06. A call is given at Current Market Price, by chance in any call if there is any price gap between the scrip's actual market price & in our given price, the call will not become active. Enter only at the given rate. In big shares like Reliance, Bhel, Educomp etc, maximum 1/2 Rs up/down entry can be considered.
 
06. During trade, try to avoid Tv/ Market Rumors/ Hot News etc. Control Greed & Fear.
 
07. During trade, in any trade position if you have any question, ask the Yahoo person or call us without hesitation.
 
 
Trading Guide for Sure Calls
 
01. Buy at given Rate and sell at Target.
 
02. Step by step thoroughly follow up is there, keep an eye on that.
 
03. Call us if you have any question regarding any position.

1 comment:

  1. The above post is copied from www.puntercalls.com and the url of the post is http://www.puntercalls.com/trading-guide.htm

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