Stop gambling & Start learning: I have received a few DMs about how people have lost lakhs & want a strategy to recover those losses. Here is my suggestion. If you are not profitable, do not trade FnO or anything for that matter. Stop today & vow not to trade unless you learn.1/n
But, then how does one learn? Start with Identifying support and resistances - this is the ABC of markets and everyone must know this, especially discretionary traders. Perfect this on the monthly and weekly charts. 2/n
It is pretty easy to learn this on higher TF than on 5/15/30 mins TF where there is a lot of noise. Practice this over the next 6 months and buy stocks where you see there is a proper setup. I have many charts on my timeline for reference. 3/n
Once you get a hang of this, move on to the daily timeframe, and start positional trades. If you are profitable in this then I suggest increase your capital here and practice for at least 1-2 years. Meanwhile, learn other things like FnO trading. 4/n
To give you confidence, here is my short story. I too started trading in FnO looking at how easily money can be made. Little did I know that it was far easier to lose money in this . 5/n
But, parallelly, I did focus on cash stocks trading & I got a hang of it. I started making money with just pure trendlines, support, & resistance. But, the urge to make quick money never left me & I tried trading FnO for many years until I lost a significant amount of money. 6/n
After a few attempts over a period of time, I realized that I cannot handle leveraged positions anymore and I need to stop losing money. So, I started focussing completely on cash stocks and decided to increased my capital. 7/n
With the increased capital, profits turned out to be pretty decent & the craze of FnO never came back. Also, this was positional & based on daily charts. This meant I didn't have to bother about my trading while I was at work & just spend an hour or two in the evening 8/n
Until this July I never did FnO & I am profitable. The current FnO is purely algo driven. So, basically, I want my trading to be stress-free & peaceful - that's how I like it. I hope this story gives you the courage to stop gambling and start learning! 9/n
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