Beginners Basics

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The principle

wait watch invest Rule but instead 90% people follow

invest watch and wait game.

Learning from The Tiger

life is simple

90-10 rule

take it easy

the visulalisation

be organised

if ur not discipline joing army or networking

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Dont go in too much detail
The begineers only want the basics and simple steps of trading
the contents

1. The absolute basics
2. Top Indian Stock broker companies
3. What services you will require
4. what you need to start Trading
5. Top Money management tips/strategies
6. Top Profitable deals

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Top Earning Strategies

This page is dedicated to the top most strategies for making good profit out of intraday trading.
These strategies are based on my personal experience and there is no guarantee of profit because it all is based on the practice.

The 2 4 8 rule

Activity           Qty       
Buy                   4
sell                    2
Stop loss           8

Intially to start with pls buy or sell exact qty as writte above.  The reason for this is :-

• Because after trading 5 minutes you will automatically get a fair idea of that particular stock movement.
• Also the market movement or chances of profitable trade.
• If I cant profit with less qty than I will also cant profit with large quantities.  Large quantities only shows the desperation, lost focus, greed, fear.  This is most important.  Profit always starts as small.
• Hence this strategy prevents big losses to my account.

If I get profit from these quantities then a add one zero to these quantities and so on.

Buy sell at difference prices quickly.  This is a very profitable scalping technique which Im using for very good profit in less time. 

The strategies involved

I want to pass these ideas to you out  of the gratitude I have towards the great teachers who delivered me from my own ignorance  during my initial years of struggle.

The bottom line here is that part of your success as a trader depends on to the extent to
which you're willing rely on objective analysis and use principles that go against the grain
of the establishment. What does the establishment teach? Review the content of magazines
such as Technical Analysis of Stock and Commodities and Futures. Look at the financial web
sites out there. You'll see these common themes:

1) Strategies and Techniques. There's always a hot new methodology that will somehow
improve your trading results. Success is from some external source, not something from within
yourself.

2) Predict the future. Figure the exact future dates when the market is likely to turn up or down.
Make a fortune buying bottoms and selling tops.

3) It's all in your head. No matter what your trading strategy is, you can succeed as long as you
have the right mental attitude.

While many of the ideas coming out of these themes may be valid and useful, they should not be
your main focus. If you were to start with a blank slate and allow your trading approach to be
completely reprogrammed, I'd upload the following into your brain: 

•  First start with money management. Understand the mathematics of how you optimize
incremental gains and keep losses to a minimum and have the discipline to apply in your
trading. 

Secondly, focus on market selection. There's such a wide array of tantalizing, enticing, and
irresistible trading products that opening the financial section of the paper is like walking into a
Las Vegas casino. You've got Leaps, Diamonds, Spiders, sector funds for everything, options on
everything, not to mention a pump and dumpers pushing a wide array of penny stocks. Instead of
thinking that you're going to find the Holy Grail that will trade any of these vehicles successfully,
you've got instead focus on identifying the small number of markets whose characteristics make
their behavior most predictable.

Finally, once you've got a handle on money management and market selection, then apply the
best trading techniques that you have available.

Money Management

Money Management

How much do you know about Money Management?

As we begin the course, I thought it would be fun and informative to start this week's topic with a short quiz. The purpose of this is to help you to evaluate your strengths and weaknesses so that you know exactly what issues you have to concentrate the most on. Are you ready? Let's go!

Begin the quiz

1. It's important to use a stop-loss the vast majority of the time. But
there are certain market conditions under which you should not use a
stop-loss. Which of the following are they:

1. Immediately after I've entered a trade
2. A highly volatile market
3. Runaway markets
4. All of the above
5. None of the above The correct answer is: e) None of the above. You should use stop-losses no matter what. Find out why in Rules 1, 2, 4, 5, and 6.

2. If I made a series of bad trades and my account losses 70% of its
value, I have to show a return of how much before I get back to break­
even?

6. 45%
7. 70%
8. 140%
9. 230%

The correct answer is: d) 230%

Large losses can have a devastating affect on your recovery ability. That's why it's important to never have them in the first place.

Find out more about this in Rules 1, 2, 4, 5, and 6.

3. True or False: If a trading strategy has earned an average annual
return of 120%, it's average maximum drawdown is irrelevant because
no matter how large it is, the strategy will always make up for it.

The correct answer is: False.

Drawdown is always important and can affect your profit potential dramatically no matter what the "average total return" is.

Find out more about this in Rules 1, 2, and 3.

4. The world's most successful traders do which of the following most
often:

10. Buy at market bottoms and sell at market tops
11. Trade in the direction of trends of the strongest or weakest markets

The correct answer is: b). The world's most successful traders trade in the direction of trends in the strongest or weakest markets.

Find out more about this in Rules 12, 13, 16, and 17.

Next Question

5. True or False: A stock's fundamentals (or business outlook) are irrelevant to short-term traders. That is, a short-term trader should only look at technical factors when deciding whether or not to take a trade, not a company's balance sheet

The answer is False.

Find out more about this in Money Management Rule 3, Trade With Fuel on Your Side

6. If you want to improve your results as a trader, your main goal should be which one of the following:

12. To understand the markets
13. To develop a set of mechanical trading rules, which back-tested over a period of years, produces maximum returns
14. To read articles in trading publications to find trading systems that meet your minimum profit objectives

It is most important to understand the markets so that no matter what happens, you'll know what trading strategies work and which don't work. Find out more about this in Money Management Rule 3.

Next Question

7. Take a look at the following table:

Year	Trader A Annual Returns(%)	Trader B Annual Returns (%)
1	21	18
2	35	18
3	20	18
4	-26	18
5	32	18
6	12	18
7	42	18
8	-16	18
9	31	18
10	56	18

Trader A: Average Annual Return = 20.7% Trader B: Average Annual Return = 18%

Which trader made the most money by the 10th year?

a) Trader A

b) Trader B

Trader B made more money. Find out why in Money Management Rule 2.

That's it for the questions. I hope you found this quiz enjoyable. Now let's get started and learn more about Money Management.

The CORE BASICS

Trading is an art of Minimizing the Losses especially the intraday.  You cant fight the market.  Market can do anything, anytime.  Trader is powerless he cant change the market to do whatever he wants.  A successful intraday trader always trade according to the market.  He waits for the successful trades like  a tiger in a jungle.  In the meantime he minimise his capital loss (tiger preserving the energy).  There are always many times when the market throw profitable trades on you, provided you are trading to the Core Basics.

You will be successful and profitable trader over a period of time only if you got the art of minimizing and protecting your capital.

Setting and accomplishing realistic goals

• Goal must be realistic -  This means that goal has to be something that is within your capabilities. It may be possible to make a million dollars first year, but its probably not very realistic because it isnot within your capabilities yet.
• Goal must be attainable - If you are trying to make 500/- a day, you have a much better chance of being able to reach that goal versus the goal to make a million dollars this year.  Start with a smallest goal and make it big slowly.
• Goal must be measurable - Everybody wants to get rich in the market. But that isnot really a goal.  You must be able to know when you are far  away, close and when you have achieved your particular goal.  
• Above all these goals must be written, visually seen by you throughout the day (pictures).

KEEP IT SIMPLE

WELL ORGANISED COMPUTER SCREEN AND OTHER AREAS OF OUR LIFE.

MAIN FOLDERS SHOULD BE CLEARLY DEFINED FOR DIFFERENT PURPOSES LIKE
STOCK, REAL ESTATE, BLOGS ADVERTISEMENTS.  BECAUSE CATEGORISATION ALWAYS SAVES TIME AND EFFORTS.  ALWAYS KEEP LIFE SIMPLE AND EASY.

What market makers doesnt want you to know

Intraday trading time for one trade should be 1 to 10 min max.  Intraday trading is very different from investing.  It is based on taking small profits at short durations.  Like cricket there is a saying of making singles and tows.  In the game of cricket 1-2 are the most important runs that makes up the whole total.  Take your small profits and well as losses quickly.

The Unbeatable Strategies

Here I present an unbeatable strategy to take profit in short periods

Buy 10 of ABC  at 100

Apply first Stop Loss of 20 at 99.75

Apply second Stop Loss of 30 at 99.50

Apply third Stop Loss of 50 at 99.10

Buy 10 of AC at 100
Buy 10 of ABC at 100.10

Buy 10 of ABC at 100.05

Buy 10 of ABC at 100.10

Buy 10 of ABC at 100.15

Buy 10 of ABC at 100.20

Buy 10 of ABC at 100.25

Buy 10 of ABC at 100.30

Buy 10 of ABC at 100.35

Now 

sell 10 of ABC at 100.65

sell 10 of ABC at 100.70

sell 10 of ABC at 100.75

sell 10 of ABC at 100.85

sell 10 of ABC at 100.90

sell 10 of ABC at 100.95
sell 10 of ABC at 101

A repeated trend will be repeated here then increase the qty for quick better profit. (Visualization)

NOTE :-
1. Always sell less than bought quantity i.e. if buy qty = 100 then at any given time sell qty should be less than 70%
2. Because the upper momentum is unlimited in case of long positions.
3. Repeat the same in opposite momentum i.e. in case of short positions buy less than 70% and get profited from steep unexpected downtrend.
4. We cant  cover both sides.

The Principles behind

The Specialist
One trade
One Time zone
One Trading strategy (Buy versus Sell)