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Intraday Trading

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Day-Swing-Position Trading

Beware of Scammers

Trade Blunders – Crimes of Thinking

Making Money Through Day Trading

Junior Nifty Stocks

NIFTY 50 STOCKS

Recommended Share Trading Books

Retail Traders - Cause of Failure

Trading for a Living

STOCK MARKET- Trading Rules

Traits of a Good Share Trader

What makes a Trader

INTRADAY SHARE TRADING TIPS

Intraday Trading-Watch Out For These Factors

Retail Traders and their Day trading Success

How to Interpret and trade Open Interest

Intraday Trading Break Out Method Trading

Intraday Trading Ways Explained

Stock Picking Methods and Strategies

NIFTY 50 STOCKS

Guidelines for Intraday Trading

CANDLESTICK CHARTING IN INTRADAY TIPS

FUTURES AND OPTIONS IN INTRADAY TIPS

TYPES OF OSCILLATOR APPLICABLE IN INTRADAY TIPS

Swing Index Oscillator used in Intraday Tips

Accumulation/Distribution Oscillator Used in Intraday Tips

Aroon Oscillator used in intraday Tips

Average True Range(ATR)Oscillator used in intraday Tips

Bollinger Band used in Intraday Tips

Demand Index Used In Intraday Tips

Adx Used In Intraday Tips

Macd Oscillator used in intraday Tips

Dynamic Moment Index Oscillator used in intraday Tips

RSI Oscillator used in intraday Tips

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Momentum Index Oscillator used in intraday Tips

CCI Oscillator used in intraday Tips

Chaikin A/D Oscillator used in intraday Tips

Chaikin Money Flow Oscillator used in intraday Tips

Chande Momentum Oscillator Oscillator used in intraday Tips

CMF OSCILLATOR USED IN INTRADAY TIPS

DAY TRADING

DEMA OSCILLATOR USED IN INTRADAY TIPS

DEMAND INDEX OSCILLATOR USED IN INTRADAY TIPS

DETRENDED PRICE OSCILLATOR USED IN INTRADAY TIPS

DIRECTNL MOVEMENT ADXR USED IN INTRADAY TIPS

 
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Retail Traders - Cause of Failure

Retail Traders and access to information

Trading is all about the interplay between intrinsic value and market value (price). If the price of an instrument drifts away from the current value estimates of those who control the markets with their enormous bank rolls, they will trade and push price back to that area. Anyone caught in the middle is in danger. Sometimes values will change and price won't. This would be the case during a significant news event. When new information hits the market, values change and therefore price adjusts to reflect the new information.

The funny thing is that for little traders, it is pretty much impossible to gain access to the information that large traders use. This is true for many reasons, one of the biggest being that quality research/data is very expensive to acquire or produce.

A Misnomer

Retail trading is somewhat of a misnomer anyways. If someone really has the skills to legitimately be called a trader (they are successful [knowledge + experience]), they will see the disadvantages of the retail sector and avoid it. They most likely trade for an institution or trade within the real market privately, i.e. has the ability to actually offer/take liquidity from the market they trade in.

Retail traders are in most cases uninformed. They usually have little to no knowledge of trading, or even the markets in which they trade. Most of the time they use only old prices (charts) to make trading decisions. They are under-capitalized and completely underestimate the time and cost involved in becoming a professional trader.

Source of Liquidity?

The one benefit they provide to financial markets is that they become liquidity for informed traders. The money that the uninformed lose to the informed actually ends up paying for the research operations run by successful value traders. Value traders benefit the entire economy because they're trading makes prices more informative and helps industries of all sorts efficiently allocate resources.

Without uninformed scapegoat traders, profitable trading would not be possible.

Wrong Side

But one of these reasons is retail wannabe traders wind up on the wrong side of the markets because of their need for confirmation. So they wait and wait and wait and then enter once it is too late. Lose. Then they impulsively jump right in. And lose again. And then they.............. "Rinse, repeat" until they bust out.

There’s a right time to trade (the way most of us do) and a wrong time...

Most people simply trade at the wrong time for what they're trying to achieve and can't see the difference.

Fear of missing an opportunity is as strong a force as fearing a loss, and also as losing a paper gain. It’s all fear.

If you continually fight the war gathering wounds and scratchers until you slowly bleed to death, you're going to be keep running back in to the battle with vengeance in your heart, and will never see why you're getting picked off every time, cause all you want is redemption for your fallen comrades.
We remember reading recently someone saying that every move up or down in the market is just someone’s position getting liquidated... Think about it

 
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