Money management with Adviser street

There are tons of people out there who want to become successful day traders. People see the opportunities and profit that other day traders make and then attempt to create these opportunities for one. This thinking and ambition is great as it will help in motivating you on your journey, but you need to be cautious too that your ambition does not take you towards the irrational thinking. Your ambition should move you forward, but don't let it blind you on your search for success. To become successful trader you have to be disciplined and should have proper capital management. Everyone should keep in mind that no one can get rich over night. Day trading takes time and requires lots of focus and dedication than only success can be attained.

The famous and profitable traders put a lot of focus into their trading education. They study trading strategies and chart setups in attempts to have a better chance of mastering the markets. Although this is good thing but they forget to understand and study the money management, AdviserStreet like firms with providing trading tips also help in money management.

Day Trading Money Management Tips:

These strategies will help you to properly manage your money and help you be in trading game for long enough.

Regularly withdraw money from trading account.

There's definitely a happiness and thrill with growing your trading account and as you will become a more consistent trader, you will see profits on regular basis. But you cannot let your success run over your head.

Whenever you score big on your trading day you try to do that again and again. There are traders who do this thing to manage money and not let their success run over their head, what they do is they wire out the money from their account as so as they reach to certain amount say   100,000 they wire out money and take it to around 60,000 to 70,000, they do this to secure their gains. Sure, it can be exciting to trade with more money, but there is external risk also as you starts taking irrational decision and feel free to do lots of trades.

 Don't get taken out of the game after a good trading day. Pay yourself so you can stay in the game and have more great days!

Have a Max Dollar Stop Loss

 BY having a max dollar stop loss it’s a great way to protect your trading account. A max dollar stop loss is a trading loss that instantly tells you that you were wrong about the trade and need to get out. This number will vary from person to person depending on their account size and their risk appetite. For example, one trader may have a max dollar stop loss of 50rs while another may set theirs at 100rs. If your max dollar stop loss is 50rs, you need to immediately exit the trade when you are down 100rs. Their should be no second thought. No if’s and buts’ should be their while exiting, if the trade do not go according to you just exit the trade.

If your max dollar stop loss is 50rs, you should never have a loss over 50rs. This keeps you from blowing up your trading account with one trade. Sure, you may think you can recover the losses, but that’s just rationalizing and thinking hypothetically. You could just as easily lose 10000, 20000, 50000, and then blow up your account.

When choosing your max dollar stop loss, make sure to choose a number that is right for you. Can you come back after a 10000 loss? If the answer is no than, set a lower one. Remember, this doesn't mean you always have to wait to hit your max stop loss it’s just the last line of defense.

Never trade the Money you don’t want to lose.

You should never trade with the money that you need to survive. If you are trading with the money that you need to pay your bills, you will be stressed and trade emotionally and then lose all your money. You should only trade with money that you can afford to lose. Obviously, you are not in the market to make looses but you have to be always be ready for situations adviser street is very  helpful in trading and increasing your profit trades.

You should never trade to try to pay the rent. You may have a bad trading day, week or month, and you need to be prepared for that.

Wrapping Things Up

Proper money management can make you rich or can make you break your success in the stock market. Protecting yourself from a 10000 loss is just as valuable as working for a 10000 profit. Adviser Street wants to make sure that every trader stand the best chance of succeeding in the market.

As always, good luck with your day trading!

Take help of Adviser street to earn second income never depend on single income.

Earn second income by investing.

Investing in liquid or debt mutual funds could be a source of generating extra income for anyone.

Eveyone work hard to earn money for living and enjoying their life . They do work very hard to earn money but they don’t let their money work for them to earn extra income. There are many options in the world to earn extra income . Two of these ways are to put your money in liquid funds and in accrual funds . Investing in these kind of fund can even secure retirement and even after retirement also you can invest to generate extra income. One of the pretty good advisors to help in investment is adviser street.

LIQUID FUNDS AND ACCRUAL FUNDS?

Liquid Funds are the mutual fund scheme in which the money is kept for very small period time, we can say preferably  not more than three months. As it is for short period of time the risk associated with it is very less as the volatility is less here. Accrual funds are the funds which are

 Invested  in Debt papers for short and medium time period to generate interest income. These funds usually do not take any interest rate/credit risk but stick to earning interest.

WHO AND HOW TO INVEST IN ACCRUAL FUNDS

According to financial consultant and advisors, retired people could invest in Debt accrual funds for higher post-tax income. These funds benefits more to those retired people who are in the higher income tax bracket (20% and 30%). For those who are in the 10% tax bracket, and also those who do not have to pay any taxes, bank fixed deposits are equally good, they say.

This is how the people who are in the 20% and 30% tax bracket can generate another stream of income by investing in accrual funds: The investor like adviser street will invest in the fund and subsequently should also set up a systematic withdrawal plan (SWP) for the same scheme. The SWP are set up in such a way that only the gains from the fund are transferred to the investor's bank account, at regular intervals, while the principal iss not touched. By which the investor gets the benefit of steady second income and also have to pay less tax as compared to if he have invested in Bank’s fixed deposit . This is because as per tax rules, only the gains are taxed not the principal amount. As per the financial planner and investors while investing in accrual funds, the investment option should be growth and not dividend.

INVESTING IN LIQUID FUND

You can get return upto 7% by investing in the liquid fund. As the banks cutting interest in savings account, Liquid Funds, which are almost a perfectly substitute product for SB accounts, could turn more attractive in terms of return.

At 6% annual rate of interest, even if the fund house has to pay a dividend distribution tax of about 28.3%, the post-tax return works out to about 4.3%. In case the fund manager can generate a bit higher return in the fund, the returns to the investors in the fund could also be proportionately higher.

To help more with investment contact us at

https://www.adviserstreet.com/

Effect of Budget on USDINR

                                        

Rupee opened less as compared to previous day.

The Indian rupee opened less at 71.14  per dollar on Tuesday 29 jan 2019 as compared to the previous close of 71.10.

Rupee is continuing consolidation in a narrow range of 70.70 and 71.40(Spot) and as the interim budget is about to come this week volatility could be restricted to a range. The traders are expected to remain cautious as the Budget announcement is coming and due to which rupee could be in broad range. Global crude oil prices could break narrow range and could witness Bullishness as after the U.S. government slapped sanctions on Venenzula’s oil firm PdVSA in a move aimed at severely curbing the OPEC member's crude exports to the United States. Today, USDINR pair is expected to be in the range of 70.70 and 71.50, said Motilal Oswal.

News from Moneycontrol.

https://www.adviserstreet.com/

Make Money by Trading Futures and Options

Every Traders Dilemma- trade futures or options

Big choice selection for every trader, What’s better to trade — Nifty futures or options?

It totally depends on a trader’s risk appetite and what kind of trader wants or whether he is speculator or hedger, and also on the volatility of the market. The person with the lower risk capacity should go for call or put option as it is cheaper and it do not depend on daily market.

1. How does it work?
Let’s say a trading firm adviser street has a view on market  that Nifty will rise above 11,000 by January 31,and he is ready to take risk . He could simply buy futures at the Friday closing of 10,937 or buy an 11,000 call option for Rs 79 a share (75 shares make one Nifty contract). The trader could also write a Nifty put option as he is bullish . He will lose only if the Nifty falls from the current level of 10,937 for futures and stays below 11,000 for options by expiry. The gross profit on futures is Rs 12,225 at contract level — difference between 11,100 and 10,937 multiplied by 75. The 11,000 call expires Rs 100 ‘in the money’. On that you make gross profit of Rs 1,575 as you had invested Rs 5,925 (79×75) in the options contract. (don’t go on figures it’s for example but see the concept behind it). 

2. So, What does it means is the profit bigger from trading futures?

From some aspect we can say yes, but on a relative basis, return on investment is very much greater in options. To buy the 11,000 option the trader just paid the mere amount of Rs 79 a share or Rs 5,925 a contract. The gain was Rs 21 a share or Rs 1,575. The return was a large 27 per cent. On futures he puts up a 15 per cent margin just to buy one single contract (10,937×75) or Rs 1.23 lakh. The return of Rs 12,225 is just 9.9 per cent,and the funds are blocked and traders looses on, and if you have right advisor like adviser street than you can get good returns in options.

3. So is it means that options are better choice than futures? 

The thing is that trading an out-of-the-money (OTM) option is cheaper than a futures contract as one is not subjected to mark-to market losses as in the case of a futures contract or an options seller. The maximum loss for an option buyer is just his premium or the price he pays to buy the option from a seller. It’s not like that in futures there is no profit, in future there can be huge profits but so as the losses will be. On the contrary, time reduces the value of an option, but this doesn’t apply for a futures contract. Also the profit earned in futures is much higher than the options. Option buyers make smaller profits as compared to futures traders but the risk is lesser for option buyers as compared future buyers. So it’s like lower the risk lower the gain, higher the risk higher the gain, it totally depends on the trader that how much he can take risk, advisors like adviser street can help in managing the risks and in making profit.

4.    How to avoid losses?

By trading with strict stop losses and by proper money management. 



https://www.adviserstreet.com/

https://economictimes.indiatimes.com/markets/stocks/news/hedging-and-betting-with-index-futures-options/articleshow/67718986.cms

Top Online Trading Advise In India.

Online Money Trade Adviser’s.

The biggest question in the mind of traders nowadays is “why online trading?”

It’s because online trading is easy and quick. You get opportunity to educate yourself on your investment options, you get to place your own orders to buy and sell, and possibly make (or lose) money without leaving the comfort of your home. As with any investment strategy, there are benefits and risks involved. There are same main benefits of online trading which are as discussed.

It’s cheaper.

The cost you pay for online trading is not much high as compared to the offline trading. The brokerage you pay in online trading is much less to offline trading.

The transaction fees are also less in online trading.

Thanks to advisers firm like Adviser Street which offer quality service in less price.    

Investors get full control.

Online traders can trade according to their will and at any session. In conventional trading the trader has to be completely dependent on the broker to place orders. The transactions in online trading is very easy to do and can be done very quickly. Also, investors can review their options by themselves rather than depending on brokers.

Investors can monitor their investments in real time.

Investors can monitor their investments at any time of the day. Through phones and laptops the trading platform can be viewed and transactions can be made. Online trading offers many more features also like technical analysis, fundamental analysis and day to day news update also.

It’s also safer than paper shares as there is no problems of fake signatures , delays , thefts ,etc.

Also there is no odd problems, single share can also be sold.

And also the amount is directly credited into the demat account.

It’s the world of Digitalization, so why should Trading fall back. Go online to trade.

https://www.adviserstreet.com/