Welcome to 2019.
I wish a happy and prosperous year 2019 to all the readers.
Let us interact more on this site, learn more about our trading, develop more control on our emotions and achieve the desired goal of profit in this year.
Year 2018 :
This is where NIFTY ended on the last day of the year.
On the last trading day of 2017, NIFTY had closed at 10530.70. In one year, it moved up by 3.15%. It made the all time high in August and then climbed down. A volatile but ultimately an average year as far as results were concerned.
For Our Trades :
This blog started on January 21, 2018 with the first F&O Workshop planned at Bangalore. The journey here has been great with terrific interaction with the readers. There have been moments of great satisfaction as well as of extreme despair. With the blessings of the markets we could come out of these situations unscathed and successful.
We had bad experiences like in August and very good months like September.
Though the months of November and December were no great shakes ( we lost money in December) the year ended with a very good profit.
This is the difference between Option Selling and Option Buying.
In Option Selling, one can make small profits every month for few months and then comes the one big loss which takes away the entire profits and some more. I have seen it happening many times. These traders are very confident till the trades are doing well and swear by their methods and are very happy traders. Then one day the UNLIMITED LOSS happens and their trading capital is wiped out. They move on to other things in life and mostly do not trade again.
In Option Buying, one can take some loss every month which can be wiped out with some good trades in the next month and you are looking at a decent profit. We know that UNLIMITED PROFIT is just a term, but at least cash a limited part of this. We have seen this happening with our trades. Some loss here and there should not make us leave the path we follow. Small losses, big profits is the sure way to profits. We can not go wrong with this simple principle.
New Trades :
We are into 3 trades already which are not doing well currently. This is a long expiry and we shall get better opportunities as the month progresses. For today, we do not add any trades. Stay with the present trades.
Once again, happy new year to all the readers.
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.