I also offer a conservative course for option & future traders to earn a monthly income. Click here for the details of the course. Click here to know the course fees.
According to most Technical Analysis Indicators, Nifty is now in a sell zone.
Moving averages for 5, 10 and 20 says STRONG SELL, however 50 and 100 says BUY.
So basically you can go short on Nifty for the short term. Success rate is 50%.
Why am I saying only 50%? Because this is what are Technical Indicators.
Technical Analysis Indicators Change Every Hour Every Day
They may also change EVERY Minute, Hour, Day or in a jerk due to the news.
We are not computers that we will keep automatically checking Technical Indicators every second or read news every minute. We have better jobs to do than to stick to our monitors and keep trading and keep changing our positions.
That’s simply not possible.
Therefore it is always better to be a non-directional trader.
What is non-directional trading?
Well before I explain that let me tell you something. 80% of all directional options trades expire worthless. Rarely anyone buys In The Money Options as it is equivalent to futures trading, except loss is limited but In The Money Options are very costly so most traders buy Out of Money Options. OTM options 80% of them expire worthless.
Hope I am clear now – this means all the money becomes ZERO.
Non directional trading is different.
Irrespective of a directional bias the trader takes a call. He does not know if the stock will go up or down but he still makes money.
Yes this is non directional trading. Whether the stock goes up or down the trader makes money. Since they do not have to take a directional call they are TENSION FREE unlike directional traders who have to take a call based on either tips, TA, speculation or news.
For how long will they make money if only 20% chance is in their favor?
Over the years, I have learned how to exploit this non-directional trend and put the 80% on my side, buying and selling options in different trade structures allowing me to create income streams for my clients regardless of the overall market conditions.
This is called non-directional trading and is meant to profit from the way options are made. Actually for what they were made to profit from and of course hedge them with options.
You can also learn non directional trading and profit 80% of the times irrespective of the direction. In fact even after 100 years if Nifty is between 10000 and 11000 you will still make 3% average a month from these trades.
You can do this course and learn non-directional strategies.
You Can Read More On My Site
Learn To Trade Options To Make Monthly IncomeLearn to trade options in such a way that you make money irrespective of Nifty direction. It does not matter where Nifty goes - up or down or stays there - you will still make money. It takes 10 minutes to trade in a day. Details of the course is here. Click here to know the course fees.
Dilip Shaw, Founder
INCOME DISCLAIMER: Any references in this site of income made by the traders are given to me by them either through Email or WhatsApp as a Thank You message. However every trade depends on the trader and his level of risk taking capability, knowledge and experience. Moreover stock market investments and trading are subject to market risks. Therefore there is no guarantee that everyone will achieve the same or similar results. My aim is to make you a better & disciplined trader with the stock trading and investing education and strategies you get from this website. Please note that I DO NOT give tips or advisory services by SMS, Email, or WhatsApp or any other form of social media. I strictly adhere to laws of my country. I only offer education on finance, investments on stock markets in the best possible way as much as I can through this website. Still, you must consult an authorized advisor or do thorough research before investing in any stock or derivative before trading any strategy given in this website. I am not responsible for any investment decision you take after reading any article given in this website. Knowledge is the only way to get success in stock markets. I try my best to give stock market investing and trading knowledge through the articles posted in this website. Thanks for visiting my website.