Nifty Futures Intraday Trading Report July 06, 2011

I was watching a couple of seminar videos related to trading in YouTube. I was specifically interested in the talks of one Larry Williams, who had developed various leading technical indicators such as the Williams Percentage Range.

One aspect which I had noticed in his talks is the importance of money management while day trading. That was a revelation to me because I hardly concentrated on such factors (yeah, it is only now I realize the value of good money management to succeed in day trading).

As a part of this, I decided to cut short my losses. Usually, I have this habit of ignoring the losses and thinking “tomorrow is another day; and I will get a chance to recoup my losses tomorrow”. This thinking is visible on all my previous posts. I never even tried to think like this – “how about trying to reduce / recoup the losses on the same day that it occurs”. After all, W.D.Gann always used to say to cut short the losses.

Bearing that in mind, I began to trade today. The first trade ended with losses since I shorted in between 5640 and 5650. So my intention to take back the losses from the same place where I had originally lost it. I got a chance to recover it while I shorted in between 5650 and 5660. This trade was squared off in between 5640 and 5630.

I waited to get convinced about 5625; which is a major support point according to Gann sciences. The contract rebounded once again and when it was playing in between 5640 and 5630, I entered long. This last trade was closed off in between 5650 and 5640.

Not much of a spectacular day however, I could cut short my losses. Now I just have to pay the brokerage. This has left me with some sense of accomplishment because I literally did not lose any money in the stock markets on this day.

I hope to follow this trend in the coming days. Cut short the losses and live to fight for another day. This will be my new motto while trading the Indian and the currency markets.

If you are interested in watching those Larry Williams videos, you may click here.


About Praveen Pious Francis
A part-time blogger who has a wide range of interests including investing in the stock markets across the globe and broadband technologies in India.

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