Nifty 14500 CE trade which made day low price of 0.15 and day high price of 2139, due to erroneous order by a broker who lost 250 crores. Some ppl claim few others brokers made 50 to 75 crores profits. But what really happened? Here's the tick data analysis that shows true info🧵
Here's the time line analysis
This freak movement happened around 2:30 pm, when we checked the tick data of 14500 CE, we could see that last traded time was 12:57 for a long time. After 12:57 pm, there was no trade executed with the counter 14500 CE.
Many people wrongly assumed that 1000's of lots were purchased at extremely low price of 0.15 paise. No, only few quantities were filled in at this lower price. Around 920 lots were purchased at an average price of 0.95 paise & Around 142 lots were purchased at 18
More from Kirubakaran Rajendran
If you are someone who spends more time on analyzing markets during trading, then this for you. Certain traders will create their own bullish or bearish view in their mind but seek confirmation for their trades which is called as confirmation bias. #tradingpsychology 1/15
We do not like people or information that contradicts our thoughts. We like them when they confirm what we think. Hence, we tend to place more weight on information that confirms our trade position. Example- You think market is bullish & wanted to go on a long position,
Next a new bullish bar prints on the chart. You would think "Yes, my bullish proposition is still valid" (even though this bullish bar is smaller range)
A bearish bar prints. But you think "this bar lacks momentum" (because you already have firm belief that market is bullish)
One more bearish bar follows, pushing against a support level. But you would think "the support level is holding" Bullishness confirmed. Buy more! (even though this bar closed below the support level with clear momentum.)
During Trading hours, Your maximum time is spent on? Are you spending more time on analyzing your trades before placing the order or after placing the order?
— Kirubakaran Rajendran (@kirubaakaran) December 14, 2020
We do not like people or information that contradicts our thoughts. We like them when they confirm what we think. Hence, we tend to place more weight on information that confirms our trade position. Example- You think market is bullish & wanted to go on a long position,
Next a new bullish bar prints on the chart. You would think "Yes, my bullish proposition is still valid" (even though this bullish bar is smaller range)
A bearish bar prints. But you think "this bar lacks momentum" (because you already have firm belief that market is bullish)
One more bearish bar follows, pushing against a support level. But you would think "the support level is holding" Bullishness confirmed. Buy more! (even though this bar closed below the support level with clear momentum.)
Here's a detailed analysis of 920 Straddle with 25% SL using @stockmock_in platform. This analysis would show which days are max profitable, how it behaves on gap days and how it behaves on different VIX days. 🧵
Here's day wise total profits, Wednesday are the days it has generated highest profits compared to all other days and Friday being the least profitable day.
Here's day wise average profits, obviously Wednesday are the days it has generated highest average profits compared to all other days and Friday being the least profitable day.
Even the live profits after all charges generated through 920 straddle trading bots at https://t.co/AKj4vqky6X also reflected Fridays are not profitable when you incur all charges. Wednesday being the most profitable day. Live profits are shown here https://t.co/3hgti23lRB
Here's total profits made during gaps, when day open is greater than previous day high, Day open < Prev day low and flat days. Irrespective of gaps, its able to generate profits over all. Even the avg profits denotes the same
Here's day wise total profits, Wednesday are the days it has generated highest profits compared to all other days and Friday being the least profitable day.
Here's day wise average profits, obviously Wednesday are the days it has generated highest average profits compared to all other days and Friday being the least profitable day.
Even the live profits after all charges generated through 920 straddle trading bots at https://t.co/AKj4vqky6X also reflected Fridays are not profitable when you incur all charges. Wednesday being the most profitable day. Live profits are shown here https://t.co/3hgti23lRB
Here's total profits made during gaps, when day open is greater than previous day high, Day open < Prev day low and flat days. Irrespective of gaps, its able to generate profits over all. Even the avg profits denotes the same
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But don't limit yourself to just ChatGPT.
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@KaiberAI helps you generate beautiful videos in minutes.
Transform your ideas into the visual stories of your dreams with this Amazing Tool.
New features:
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Check here
https://t.co/ivnDRf628L
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Make your meetings 10X more productive with this amazing tool.
Try it now:
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Use ComposeAI for generating any text using AI.
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Use this AI tool to extract and monitor data from any website.
Train a robot in 2 minutes to do your work.
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