Do you make money by options/future trading?
We See posts and stories on Instagram/Twitter with people making 50-60k daily trading. Some even make lacs. I am wondering if it is legitimate and can we also do it? Because the last time I tried and I lost 15k. What are your comments?
steppenwolf
Stealth
a year ago
Stay away from options/futures trading if you don't want financial and mental pain.Being a trader myself, if you wanna get into options trading try to become a profitable trader in equities first. If you cannot make money trading equities there is no way you can become a profitable options trader.
Getting into options from the get go is a sureshot way to blowing up your capital multiple times.
All the screenshots you see most of them(90%) dupe people so that they can sell their courses. Training and brokerage is their major income not trading.
15 lakhs capital min with modest returns of 1-2% a week max then you can make money with high probability , no chance of 50k daily with small capital.
Yes sometimes I make a couple thousand rupees, but mostly by end of month I loose 15-20k. I have decided to dedicate more time now so that I can reach my monthly Target of 50k per month. Finally I would like say I am really proud of my efforts 💪
jumpinglucifer
Stealth
a year ago
Can we connect and learn together. It might help us
SceneUnseen
Stealth
a year ago
Which broker do you use? Zerodhas 20 bucks per trade really eats in to my profits when I'm trying to adjust a position.
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Trading is a full time job. No one can manage it with corporate.
If one manages it with corporate, tell me the firm he is working in, because I want to work in an organisation with no work and free money.
ThoseFarrow
Stealth
a year ago
There is a reason why everyone who has done it tells you don't do it.
It is profitable but not to the scale which is shown by the so called wannabe finfluencers. You can make a decent amount provided you do a through back testing and put your emotions out of the game.
Most of the times you might lose but at times you will win too… The idea is to generate +ve outflow at the end of month… that’s it
Qwerty2398
Stealth
a year ago
yes. you can make a lot of money. Just like the multicore salaried income multimillionaires who are there in Grapvine.
No one makes money "daily" in F&O. For me there are good months and there are bad months, mostly based on how the overall market does.
Option buying is simply not worth it, selling is high risk and capital intensive. Futures are also high risk but that is what I am comfortable with.
It is very difficult to make money consistently with trading. Took me 3 years of no profit no loss to reach here and have been doing good for the past few months but even now the future is uncertain so I have to be very diligent with the risk management.
Those screenshot are fake*. Anyone who is earnings thousands or lakhs daily would not require to post on SM nor they'll need to sell courses. F&O is a zero sum game and trading works because of information asymmetry or propriety models. If everyone knows/does the same stuff, then it stops working. So think why would someone sell you a course that endangers their earning potential? Ever wondered why successful HFT firm are super secretive?
*Some stats :
9 out of 10 retail traders lose money in F&O. Top 1% and top 5% of traders account for 51% and 75% of the profits made in F&O
Source : https://www.sebi.gov.in/reports-and-statistics/research/jan-2023/study-analysis-of-profit-and-loss-of-individual-traders-dealing-in-equity-fando-segment_67525.html
MrWane
Stealth
a year ago
You have your answer in the last line.
Its really tough to make money trading derivatives with a full time job. Their is stat which says 90% people trading options lose money though this might be wrong.
Passive investing in index fund or even with a set portfolio might be more fruitful unless you really know your shit about TA.
Unless you give full time/at least dedicated 5-6 hours, do not do it. You will end up giving back the money you make in long run.
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