Monthly Archives: May 2023

TECHNICAL VIEWS

Trading Levels for 25 MAY 2023 generated by MUDRA STRATEGY

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  • *NOT FOR TRADE.
  • *T & C APPLY.
  • * © eaglemoney.in
  • *Use these levels ONLY FOR paper trading.

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TECHNICAL VIEWS

Trading Levels for 24 MAY 2023 generated by MUDRA STRATEGY

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  • *NOT FOR TRADE.
  • *T & C APPLY.
  • * © eaglemoney.in
  • *Use these levels ONLY FOR paper trading.

#Nifty #Banknifty #profit #trading #Trending #optionTrading #nsefo #share #India #bearmarket #bullishstock #nifty50 #NIFTYFUTURE #niftytomorrow #optionbuying #Investing #StockMarketindia #niftyOptions #BankNiftyOptions

TECHNICAL VIEWS

Another example of profit even when trade goes wrong

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In last post, I shared a trade calculation in which main position gone wrong. I didn’t occurred loss in that trade as my hedging position has given good profit.
As i said in last post also, our loss is limited, if position goes wrong, this is due to Hedging. We exit main position at predetermined price, And the exit of second position (i.e. option bought as hedging) depends upon the trend. I exit simultaneously both positions, if main position in profit. And I exit the hedging position at predetermined target, if trend reversed & main position fall in loss. The hedging option recovers loss & sometimes it gives good profit than loss occurred in main position.

In last post I hav given example of live trade in CANBK MAY CONTRACT traded on 08 May 2023.
Lets see another live example. I have calculated it in BAJFINANCE MAY CONTRACT.

On 08 May 2023, our premarket levels are as below, for more details, you can see it in this post.

Now see the chart of Future contract below , which explains the trading positions.

As you see in above chart image, the trade is carried out on 09.40 AM. This is the main position (I Shortsold Fut), in this chart, you can see that the position has triggered the stoploss & exited it by short covering on 10.45 AM, & the hedging (i.e. ATMCE) exited after some move on 12.05 PM . which is shown in below chart.

Here is the summary of the trade.

The Lot size is 125 of BAJFINANCE FUT.

Trade in Main Position:
FUT SHORT @ 6503.50
FUT BOUGHT @ 6601.10
Loosing points = -97.60


Trade in hedging Position:
CE LONG @ 127.25
CE EXIT @ 262.05
Gaining points =134.80


Total points = +37.2
Profit = 4650/-

The summary is our position is not in loss, I got good profit, even trade in main position gone wrong.

I thought to share this trade with readers, because Its must that we should know the profit or loss when trend goes wrong.

All in all, My experiments with MUDRA Strategy is very good whether the main trade shows profit or loss the summary is position most of the times.

Thanks for reading, Happy Trading! Stay Profitable! enjoy!

  • *NOT FOR TRADE.
  • *T & C APPLY.
  • © eaglemoney.in
  • *Use this Strategy ONLY FOR paper trading.

#Nifty #Banknifty #profit #trading #Trending #optionTrading #nsefo #share #India #bearmarket #bullishstock #nifty50 #NIFTYFUTURE #niftytomorrow #optionbuying #Investing #StockMarketindia #niftyOptions #BankNiftyOptions

TECHNICAL VIEWS

How much we may loose, if position goes wrong?

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Every Strategy has limitations, & off course Mudra Strategy also has some limitations. BUT it has the beauty to limit the loss. Our loss is limited if position goes wrong, as we Hedge. We exit main position at predetermined price, And the the second position (i.e. option bought as hedging) recovers loss & sometimes it gives good profit than loss occurred.

Lets see live example. I have calculated it in CANBK MAY CONTRACT. On 08 May 2023, our premarket levels are as below, for more details, you can see it in this post.

Now see the chart below , which explains the trading positions.

As you see in above chart image, we have traded two times.

The first trade carried out on 10.05 AM. This is the main position (I Bought Fut), in this chart, you can see that the position has triggered the stoploss & exited on 11.50 AM, & the hedging (i.e. ATMPE) exited after some move on 01.15 PM . which is shown in below chart.

Here is the summary of the trade.

The Lot size is 2700 of CANBK FUT.

First Trade:
FUT LONG @ 316.3
FUT EXIT @ 311.55
Loosing points = -4.75
PE LONG @ 9.20
PE EXIT @ 14
Gaining points =4.8
Total points = +0.05
Profit = 135/-

The summary is our position is not in loss, even trade in main position gone wrong.

Lets calculate about second trade:

Market reversed & started upside moving. The order for long Fut triggered on 01.35 PM & at the same time it has been hedged with ATMPE. On 01.45 PM stock fut price has touched our target of 0.75% & I have exited from Fut as well as in hedging position (i.e. ATMPE).

Here is the summary of this second trade.

Second Trade:
FUT LONG @ 316.3
FUT EXIT @ 318.75
Gaining points= +2.45
PE LONG @ 8.0
PE EXIT @ 6.9
Loosing points = -1.1
Total points= +1.35
Profit = 3645/-

(the price of ATMPE dropped to 8.0 from 9.20, as the premium of PE was high in the morning, but it has dropped after noon.)

The first trade was gone wrong, whereas second trade achieved target. Both situation seen in same stock on same day.

The main intention of this post is to calculate & the loss when position goes against us.

Thanks for reading, Happy Trading! Stay Profitable! enjoy!

*NOT FOR TRADE.

*T & C APPLY.

* © eaglemoney.in

*Use this Strategy ONLY FOR paper trading.

#Nifty #Banknifty #profit #trading #Trending #optionTrading #nsefo #share #India #bearmarket #bullishstock #nifty50 #NIFTYFUTURE #niftytomorrow #optionbuying #Investing #StockMarketindia #niftyOptions #BankNiftyOptions