Its a complete trading process on how I add to my positions at various points and how I manage my positions. Having four entries, but i have explained three entries only as one entry was a forced entry where i took additional risk has not been marked on the charts. Remaining three entries has been marked on my charts.
Most important point is my stop loss never exceeds 1% on my entire capital. For this example its assumed my total trading capital as 10,00,000. All my entries and Stop loss has been explained in the table.
This entire trade on closing price of today(702) has given me 8.5% return on my portfolio. My first entry was on 1/7/2021, that is for 40days with a risk of only 1%. It means if the stock had failed I would have lost maximum of 10,000/- only.
If I had one position on this stock with 1% risk on your capital you needed the stock to move up by 85% (i.e almost double) to achieve 8.5% return on your portfolio.
The Best two secrets in trading is Risk Management (Stop Loss) and Trade Management (Position Sizing).
Most important point is my stop loss never exceeds 1% on my entire capital. For this example its assumed my total trading capital as 10,00,000. All my entries and Stop loss has been explained in the table.
This entire trade on closing price of today(702) has given me 8.5% return on my portfolio. My first entry was on 1/7/2021, that is for 40days with a risk of only 1%. It means if the stock had failed I would have lost maximum of 10,000/- only.
If I had one position on this stock with 1% risk on your capital you needed the stock to move up by 85% (i.e almost double) to achieve 8.5% return on your portfolio.
The Best two secrets in trading is Risk Management (Stop Loss) and Trade Management (Position Sizing).