On Tuesday, NIFTY moved up 79 points unmindful of what was happening in rest of Asia.

Once again we are very near to the recent all time high of 11495. It looks like that market is determined to cross 11500 level. Whether that happens today or tomorrow is conjecture but it is so near.

A day earlier when NIFTY had corrected a bit, it gave us no benefit. Our CALLS had lost out while PUTS did not gain. Tuesday was a positive day for the index throughout the day. CALLS gained a little and the loss there reduced somewhat. PUTS have built up additional losses.

Here is the status for CALLS :

and for the PUTS :

With 10 trading days remaining we want some favorable moves in our direction. Am I concerned with the above profit/loss situation ?

Yes, one should always be concerned.

Do I run away now and protect further losses ?

Here it is a question of approach to trading and taking loss. It is not that after booking the loss I am not going to take another trade. The new trade will be based on similar logic which was used for current trades. That trade would have same chance of success or failure as the current trade. Why not trust the present bunch for a turnaround in the situation? We have taken some new trades as the month moved on. Did they all go right? Too much juggling does not give any additional benefit. So i would stay with the same set of trades. A new trade will be taken independent of the status of the current trades.

No New Trades :

We are already into 12 trades. Let us wait another day before entering into a fresh trade. Outlook for the day appears slightly negative based on Asia cues and overnight US/Europe markets. Let us hope that the day works out well for us.

Disclaimer: This post and examples are for teaching purpose only and are not meant as advice/suggestion to trade in these stocks. Trading in Futures and Options can lead to big losses and should be done with appropriate knowledge and advice only. Mentioning the stocks here does not imply that I have a trading position or likely to take a trade in these stocks.