BC TRADING

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Manek
@ManekAgicha 5 years, 8 months ago 565 views

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A thread on 𝐇𝐨𝐰 𝐓𝐨 𝐀𝐝𝐣𝐮𝐬𝐭 𝐚 𝐒𝐭𝐫𝐚𝐝𝐝𝐥𝐞

1/n

1. First of all one should know when to do a straddle, ideally when premiums are good and view is 𝐬𝐢𝐝𝐞𝐰𝐚𝐲𝐬 or when you are not expecting a huge trend.

2. When you do place a straddle, you will have good premiums so you will be covered for a good amount of move.

2/n

3. Find your breakevens, and ideally delta should also be neutral.

4. Do not adjust until your BEP is breached or the delta exceeds (+/-)40, whatever happens first, generally delta limit will breach first.

5. When delta reached lets say -40 it means you have to roll puts.

3/n

6. Just book profits in the current short put and roll put up by matching the premiums, delta should again be close to neutral but one can choose to have a little -ve delta since if there is mean reversion, PEs will spike.

7. This means you will be going Inverted(Short ITM)

4/n

8. Keep repeating the same process until expiry OR till either one option reaches 100 delta which will mean that you basically are short/long one future lot.

9. As soon as any option reaches 100 delta, just book the straddle be it in loss or profit, dont adjust at all.

5/n

10. While doing this keep in mind a loss limit(1-2% of cap), just get out if loss gets out of hand. "You cant play if you dont have chips"

11. If you want a video explanation check this Hindi video out on my YouTube channel
https://t.co/dO0XkuVtWG

Retweet if you gained value🥂

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Trader knight
@Traderknight007

Like humans , stocks too have different nature and if you are trading every stock the same way then this thread may be for you.

A thread on Nature of stocks and how it can help you to improve your trading results.

First start with what is the nature of stocks ?

I broadly categorize stocks in two categories-

1. The momentum stocks-

These are the stocks where most of the moves are swift in nature, or we can say that the pullbacks in a trend are smaller.

2. The AKBC stocks-

These are the stocks where most of the trending moves comes with deep pullbacks.

So the purpose of categorizing these stocks, is that we Trade those stocks/instruments which are more suited to our style.

Say if you are a mean reversion player and you are trading in the momentum stocks category then you are more bound to lose over large number of trades.

$Edwin Hayward \U0001f984 \U0001f5e1$

Edwin Hayward 🦄 🗡...
@uk_domain_names

Here's how the UK's situation will change after the transition period ends, compared to our former EU membership...

(Come back to this thread. It will keep growing!)

- UK can negotiate its own trade deals
- No more automatic participation in new trade deals reached by the EU

- UK gets to keep fish equivalent to 25% of the catch EU boats previously caught in UK waters, staggered over 5.5 years
- Costly export health certificates for fishery products
- Inbound and outbound customs and regulatory checks (UK side will defer some of these temporarily)

- Stringent rules of origin and local content requirements
- Loss of freedom of movement for UK citizens in the EU and EU citizens in the UK (Ireland excepted)
- No Erasmus programme
- No equivalence decision for financial services

- A border down the Irish sea between NI & GB
- No access to the Galileo military
- Temporary agreement on data, which expires in 6 months
- 2 parallel trademark systems, requiring firms to file twice in the UK and the EU

- 2 parallel product conformity assessment systems (CE and UKCA), requiring firms to file twice in the UK and the EU. One year grace period (with exceptions).
- 2 parallel chemical regulatory systems (REACH and UK REACH), requiring firms to register twice in the UK and the EU

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Trader knight
@Traderknight007

A thread on Pyramiding-

What is pyramiding?

In pyramiding we add on to a position when it is going in our direction. Its basically opposite of averaging down.

MOMENTUM - Success of a pyramiding trade depend on this ingredient, the more the momentum the better pyramiding.

There are many way to enter and exit in a stock-

1. ALL IN - ALL OUT
2. ALL IN - SCALE OUT
3. SCALE IN - SCALE OUT
4. SCALE IN - ALL OUT ( I use this one)

Why traders use Pyramiding ?

More than anything what pyramiding do is keep your losers small and your winners - Big.

Pyramiding in my view keeps your dd smaller as your losers are very small because you enters with only a fraction of what you would have entered Normally.

BUT, not necessarily it should be more profitable than ALL IN- ALL OUT, Where one enters all at once and sell all at once.

HOW TO DO PYRAMIDING-

There are various methods which are used by traders for pyramiding ,while keeping the basic concept of adding onto the strength.

1. PYRAMIDING AND TRAILING BASED UPON STRUCTURE-

In this method we scale in or pyramid the qty when the stock breaks above

Investment Books
@InvestmentBook1

Knowledge sharing initiative Book 3: "Zurich Axioms" by Max Gunther

The book crystallizes how to think about taking investment bets (position sizing), and how to reduce risks in investing & speculation. It focuses on teaching a balance between rewards & risks.

(1/n)

Here are the key takeaways from the book:

1. Take sizeable bets in life: Taking small bets will give you a good night's sleep as you have very little to lose, but the important point is "it won't ever make you rich".

(2/n)

2. Taking size-able risk is necessary to get rich but make sure you don't go bankrupt taking that risk.

3. Don't diversify too much as gains & losses will nullify each other.

(3/n)

4. Be less greedy to make money - Book some profits when you see a sudden huge increase in wealth - fear of regret will stop you from booking profits but don't be greedy as consistent streaks of lucks are rare in life.

(4/n)

5. Cut losses when you go wrong don't start praying that your losses will recover rather act quickly take some loss and sell out.

(5/n)

Meet Shah
@ms89_meet

Thread on "The Final Checklist"
by Peter Lynch.

~ Ideas can come from anywhere - Peter Lynch.

~ If you can't find any companies that you think are attractive, put your money in the bank until you discover some - Peter Lynch.

~ All you need for a lifetime of successful investing is a few big winners, and the pluses from those will overwhelm the minuses from the stocks that don’t work out - Peter Lynch.

~ Time is on your side when you own shares of superior companies - Peter Lynch.

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Technical Analysis Masterclass- Part 2

'Entering the trade'

Entering a trade without ascertaining a certain things is gambling.

In this masterclass we will learn the pre-requisites to enter a trade.

DON'T ENTER A TRADE WITHOUT DETERMINNG THE FOLLOWING.

Please share.

We understand what reward to risk (popularly called risk to reward) is.
It will be denoted by R:R.

We will also try to bust a few myths about R:R and how to avoid losing trades.

Before entering a trade, you need to determine 3 things.

1. Entry trigger
2. Stop loss
3. Target

1. Entry trigger = Reasons for entering a trade. There could be multiple reasons or a single reason for entry.

Generally a set of reasons AKA confluence is a higher probability trade and a generally a safer entry.

Example of an entry trigger.

2. Stop Loss.

The price in the opposite direction of the trade where the trade is exited, at a loss.

At this level, the reason for the entry becomes invalidated according to TA and the price can then move in the opposite direction, probabilistically.

3. Target is the possible price level that the asset might touch based on previous trends or confluence AND where a possible reversal could occur.

Target is the next path of least resistance from where the price might reverse.

We will always ONLY use TA to determine all 3.

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@robinberjon

Recently, the @CNIL issued a decision regarding the GDPR compliance of an unknown French adtech company named "Vectaury". It may seem like small fry, but the decision has potential wide-ranging impacts for Google, the IAB framework, and today's adtech. It's thread time! 👇

It's all in French, but if you're up for it you can read:
• Their blog post (lacks the most interesting details): https://t.co/PHkDcOT1hy
• Their high-level legal decision: https://t.co/hwpiEvjodt
• The full notification: https://t.co/QQB7rfynha

I've read it so you needn't!

Vectaury was collecting geolocation data in order to create profiles (eg. people who often go to this or that type of shop) so as to power ad targeting. They operate through embedded SDKs and ad bidding, making them invisible to users.

The @CNIL notes that profiling based off of geolocation presents particular risks since it reveals people's movements and habits. As risky, the processing requires consent — this will be the heart of their assessment.

Interesting point: they justify the decision in part because of how many people COULD be targeted in this way (rather than how many have — though they note that too). Because it's on a phone, and many have phones, it is considered large-scale processing no matter what.

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Chennakeshava Temple, Somanathapura, Karnataka.

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Dandanayaka Somanatha established a village named Somanathapura on the banks of river Kaveri. He sought the permission of King Narasimha III, to begin construction of a grand temple dedicated to Lord Vishnu that would also showcase the might of Hoysalas.(1)

The temple rests on a high star shaped platform (jagati) with 3 sanctums (garbha griha) making it a trikuta, set in a square matrix oriented along the east west and north south axes.(2)

The western sanctum is dedicated to Kesava, the northern sanctum to Janardhana and the southern sanctum to Venugopala, all are forms of lord Vishnu.(3)

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Pretending that voting for Trump or denying climate change or suggesting the solution to every problem is more guns is a legitimate point of view, worthy of respect is not "how America works." It is how it dies.

People in a free society are entitled to any point of view no matter how obviously wrong or outlandish or destructive provided they do not impose their views on others.

But suggesting that something ignorant or divorced from reality warrants the same kind of treatment in public debate as something based in fact or at least credible is absurd and when done on behalf of a society in public media or academic settings it is self-destructive.

We would not grant media coverage or much bandwidth at all to a group that argued that unicorns exist or that there was a pot of gold at the end of the rainbow. Yet views like denying climate change or basing policy decisions on sweeping, obvious lies, are just as unsound.

Somewhere, somehow, judgments must be made. Some behaviors are wrong and must be condemned. Someone must challenge lies and demand facts. Coddling people who embrace idiocies does not help them no matter how loudly they demand to be coddled.

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