First a Disclaimer: Not every trade can bring the same results but it really helps if you have the knowledge of hedging. Every trader’s results may vary so please do your own research before investing in stock markets. It was because of the hedge knowledge he got from the course that Mr. Ravindra took such a huge risk in his First Trade itself. He is a very experienced trader. It is highly recommended that you start small.

Last month a smart customer took my course and result of his first directional trade is stunning. Yes a 10.65% profit trading Intraday with hedging yesterday. And the best part is the trade was NOT a copy cat as written in the document – he bought Nifty Call Options instead of Nifty Futures buy. The calculated risk paid off. We will know shortly why he preferred to buy the Call Option instead buying a Nifty Future.

See his yesterdays’ email (please click on image to enlarge to read properly):

Testimonial by Ravindra – January 2016. 10.65% Profit Intraday Rs. 4.05 Lakhs in Directional Strategy of My Course – Results may vary for users

Some guys are smart really. Hey don’t we have students better than teachers all over the world. 🙂 Well it looks like its in my case as well and am so proud of my customers. 🙂

Now if you work this out it is (4.05/38) * 100 = 10.65% ROI (Return on Investment). So this looks like a great return. I have always said, people who can master the directional strategy can make more than 3% a month. Some are making more than 3% per month even in non-directional. 🙂

Whenever you are taking the directional trade you should know your maximum risk BEFORE you take the trade. People who have taken my course know that profits can be unlimited especially if you are wrong in predicting direction.

And how many times did you took the Nifty Futures trade and got the direction wrong? I am sure most of the times. But what if you can make more money if wrong? 🙂

Note: Ravi converted the positional directional trade (Futures hedged with Options) into an Intraday trade. It was an Intraday trade done Monday, January 04, 2016. Please also note that he did not buy the Nifty Future, but bought the Call as he wanted to go long on Nifty, but was horribly wrong and was awarded Rs. 4.05 Lakhs by markets in a single trading day because he was wrong in predicting direction. How many times has that happened to you? 🙂 Aren’t we punished by markets whenever we are wrong? Add to that the worries we have, when we trade Nifty Futures naked (means without hedge). All that worries will go if you are hedging.

He also bought the Call Option to save money on margin. For Future Buy/Sell your broker will block at least Rs. 40000-45000 for 1 lot Nifty. But here he pays the option premium multiply by the number of shares bought. This reduced his margin by a whopping 75%. He traded in 7500 shares or 7500 / 75 = 100 lots. This is another reason why he got an increased ROI.

If you have taken my course please do not ask me why he bought a call. This was a smart move by the trader – more to do with trading with less margin and to get an increased ROI. This is where your brain comes in. 🙂 Returns will be more if you can use your intelligence plus the knowledge you get from the course.

How many times you made money when you were wrong in direction? None I think. That is what I call beauty of hedging. It not only protects your capital but it can make money as well.

Agreed it will not make money always – but understand this – when it makes it makes unlimited money and when it losses the losses are limited and you can wait for profits to come. Two great trades and you are done for the month. On top of that, you need not be correct on direction. What more do you want?

When I replied “great trade” this person replied this:

Testimonial by Ravindra – January 2016. 10.65% ROI in Directional Trade of My Course – Results may vary for users

Update on Monday, January 04, 2016:

Now this is amazing. As promised he shared his trade details done today. Ravi had another great day. He made another Rs. 1.80 Lakhs trading Intraday on the same directional strategy only with options. Surprisingly there was no movement today, but still the trade made a profit. Note that the trade needs movement to make money. It does not matter which side.

See this:

Testimonial by Ravindra – 05 January 2016 – Intraday Profits – Results may vary for users

So profits in 2 trading days:
Rs. 5.85 Lakhs on 38 Lakhs.

ROI (Return On Investment): (5.85/38) * 100 = 15.39% in 2 trading days. Amazing. Hats off to him.

I have written him to continue sending the trades so that I can see if I can convert this into Intraday Trading. Lots of my subscribers are looking for Intraday strategies – and if research proves it to be good then lot more traders can benefit.

I personally do not like trading Intraday, but if something good comes out – then I am Ok.

Lets wait and watch how this one plays out. I will start start doing some research on this.

Thanks Ravi for trading with Guts and Brains. Like I always say: If you are doing it right, hedging your trades, and know what you are doing – over time you will make money.

Calculated risk taking traders will play out well in the long run, speculators will phase out in long run. Unfortunately humans love to gamble and therefore more than 95% of traders are gamblers who lose money.

I hope you do not.

Reply by me – Results may vary for users

Update on Monday, January 06 2016:

Mr. Ravindra has another Roller Coaster Day. Makes Rs. 4.76 Lakhs Profit on 45 Lakhs margin blocked. Here is his today’s email.

4.05 Lakhs + 1.80 Lakhs + 4.76 Lakhs = Rs. 10.61 Lakhs Profit in 3 Intraday Trading Days – Results may vary for users

I have got just too many requests today from my clients to share his trade details and I have not sent it to single person. The reason is pretty simple. I want to be 100% sure this directional trade can be converted to intraday trading. Until and unless I am not pretty sure I will NOT share his details.

Today he took some risks. There were a total 4 trades and he booked profits in ALL the trades. Since it was intraday he kept booking profits in different legs at different times. This is his intelligence and the credit goes to him.

Yes he took calculated risk for the day and it paid off since he knew even slight whipsaw (change of direction) of Nifty will bring him profits in all legs. It worked.

Very Important Note: Mr. Ravindra took the course on 26-Dec-2015. Paid 5000. Did not email me for a single doubt and takes his first trade with a margin of 38 lakhs. He has experience of 5 years in options trading. How many of us even with 10 years of experience can do a course and risk 38 Lakhs on a single trade? This person has the guts. Even if you are a crorepati can you risk 38 Lakhs in your first trade after doing a course? On top of that he converted the positional trade to Intraday. Which means he is very experienced and smart trader. This is the reason I am not sending his trade details to anyone right now. People will start copying.

But its easy to know what he did which is there in his email itself. Except for today’s trade where he did buy Futures, he just bought the ATM Call Option instead of the Futures. Rest of the trade remains more or less same. So please look into the document I sent you and start experimenting. Paper trade first and see how it goes. Then do the real trading on a single lot. Remember he is doing it Intraday – so paper trade Intraday only.

Ravindra’s total profit in last 3 trading days:
4.05 Lakhs + 1.80 Lakhs + 4.76 Lakhs = Rs. 10.61 Lakhs
ROI: (10.61/40) * 100 = 26.52% in 3 Days.

Amazing!!!

Enjoy Ravindra Hats Off.

Ravindra’s total profit ending this week is Rs. 16.26 Lakhs on Rs. 38/- Lakhs margin blocked

Ravindra’s total profit ending this week 4th to 8th January 2016 is Rs. 16.26 Lakhs on Rs. 38/- Lakhs margin blocked. This is (16.26/38) * 100 = 42.78% return in 5 trading days. Humongous!!!

In the last few days I got many requests from my paid as well as non-paid customers to show his trading details. Unfortunately Ravindra was NOT comfortable, but when I told him his personal info will not be revealed he readily agreed.

Here is the screen shot of his profits for the week taken out from back end of Zerodha.

Rs. 16.26 Lakhs on Rs. 38 Lakhs margin blocked. 42.78% return in 5 trading days – Results may vary for users

I got quite a few emails where some people suspected this to be fake. Let me tell you that I do not lie, at least on this website. I know you people trust me and breaking trust is something I am yet to discover.

But please remember these kinds of returns are not possible from every trade or trader. You must have expertise like Ravi to get such kinds of returns. Look at his qualifications – he is MBA and CPA. And am sure he was doing good even before he took my course.

Here is his email:

Rs. 16.26 Lakhs Profit in 5 Trading Days – Results may vary for users

I do not even take credit for his returns. He learned hedging from the course and took advantage of the knowledge – that’s it. Note that he changed the strike prices as per his views that day. Even entry and exit of all legs were timed differently. This cannot be taught in a course.

This is something that will take you months to master. Therefore even I was reluctant to show his trade. Next day Nifty changes and so the strike prices – but I know there are lot of people with a lot of money who would try to copy the trade and of course fail and blame me for that.

He commented below is apt, which I must mention here:

Dear Dilip,

I cannot tell you how much of an eye opener your hedging techniques have been. So far I use to work with a strict SL and now with your hedging techniques I can take more risk knowing that there will be multiple exit opportunities for each legs of the trade.

Anyway – my humble advice is , mastering the 3%-4% returns per month trades until one has the epiphany and starts his/her own financial engineering. Bottom line is, understanding the setup and the strikes. It comes with experience and most of all by making mistakes 🙂

Cheers,
Ravi.

I have therefore hidden the strike prices but people who have taken the course may get some idea about it. But please understand that even I do not know when he entered and exited the trade. Guess work can be counter-productive.

Ravi has promised me to come with a white-paper on this. And he also wants to write on this blog for free. He is a class apart trader and therefore I think he fits great to write for us and help this community.

And most importantly he is NOT charging me anything to write in the site. Thank You Ravi. We all will be really grateful to you, especially the Technical Analysts who visit this blog. All articles written by him will be attributed to him.

Thank you for this extraordinary week Ravi. We all learned a lot. 🙂

Very Imp Disclaimer: These results are typical and its not guaranteed that every trade will produce the same or similar results. However the hedging methods in the course will help you to take such aggressive trades even with a lot of cash. Because you know that capital protection is there no matter what. Smart traders will always make more.

If you are an experienced Future trader I can only say that the hedging methods in the course will help you a lot. Since this hedging will take stress off your mind because of either limited losses or unlimited profits, you can trade better and make better income.

After the course you will actually start looking for the worst tips providers in India and hope their Future direction is wrong. No I am not joking – this is how you can make more money. 🙂 Well you still make money, though limited if right.

Details of the course is here.

One of my customers who took my course exactly 12 months back made my day on the first day of the year 2016. Of course this apart from hundreds of emails and WhatsApp messages from my subscribers wishing me and my family a very Happy New Year. By the way, how many owners of businesses/websites in the world can boast of HUNDREDS of customers/subscribers wishing them on Happy New Year and also on festivals? You may have also received many messages in new year form various companies or businesses, but how many of them you replied back? Not trying to show off, but just sharing happiness, to double my happiness. 🙂

Some of my competitors in similar business may be far ahead of me in terms of “making money from giving option tips or course” (and I don’t care), but they are not even slightly close to the kind regards and love my subscribes have for me. Its easy to make money but its very hard to win hearts.

A Heartfelt Thanks To You All. Thank You So Much for the Love, Blessings and Regards for me and my family.

If I find time I will upload the screen-shots of the messages in my website so that it is etched in my memory for the rest of the year that a lot of traders in India are looking forward to help from me and I need to work. Thanks a lot, whenever I will feel down or need some motivation – I will look into those messages again.

Now coming to what the special message was on 1st of January 2016? Nothing except this person took my course in January 2015 and made profits continuously – so much so that he wants me to help him know “What To Do With Option Trading Profits” made from the course. This is awesome. This is the EXACT purpose of the course – to make small profits from the stock markets, compound it and make it into a BIG Profit. And when you find it hard to manage the profits, take some money out and invest it into other areas of stock markets and to let it grow on its own so that it at least beats inflation. And over a period of 10-20 years make it HUGE so much so that if you want you can retire rich.

But this email was unexpected as I thought it will take at least a few years before a customer would ask me this question. It is actually surprising that it came in his first year of trading options. Another surprise was that I thought someone from Mumbai, Ahmadabad, Delhi or Bangalore will ask this question, but this came from a trader living in outskirts of Kolkata. Amazing! 🙂

That is the reason why you should also read about other areas of stock markets like mutual funds, stock investing and any other investment opportunities that can make more than inflation with low risk.

Some money should make more or less the same as inflation (Bank Fixed Deposits), some money should make more than FDs (mutual funds), some money should make more than mutual funds (stocks), and some money should make more than stocks (stocks combined with derivatives with proper risk management/hedging.) This is how I manage my financial portfolio and risk. Please do not copy, your investment profile and needs may differ from mine though you must read to get some ideas on investing.

So here the screen shot of the best question and testimonial I ever received since I started this course. Remember it is NOT about one or two profits – it is about PROFITS made from the Course OVER ONE YEAR. And that’s HUGE. Please click on the image to enlarge and read properly. Read my reply as well. Or scroll down to read what my customer asked and my reply as well.

What to Do with Option Trading Profits – Please click to enlarge

Here is the same email and my reply in text:

Dear Dilip da, (People in West Bengal add “Da” at the end of First Name just like most people in North India add “Ji” to show their regards)

Wish you a very happy and prosperous new year.
I am trading your strategies and getting a decent return. I am keeping the profit in my trading account as I have no idea to roll my profit money. It will be very helpful for me if you guide me how to invest my profits earned from option strategies.

Regards,
Rupesh

May Reply Was:

1. Either take them out and keep them in liquid funds for a 8-9% yearly return, (best option if you are not willing to take any more risk with the profits made). Or,
2. Do a monthly SIP in a top 4 or 5 star Large or Mid Cap equity fund like Birla Sun Life Frontline Equity (Growth) Fund, (Growth Fund to Compound the Money, unlike a dividend fund which will give back profits made occasionally therefore killing the chance for the money and profits to compound). Or,
3. Invest in 10-12 high quality stocks that you think may become multi-baggers in a few years. Or,
4. Just keep the profits in your trading account and increase the number of lots traded, until you think you can handle. Once you get uncomfortable trading the lot size go back to either 1, 2 or 3.
5. Be happy with money compounding over the years.

Thank You Rupesh. I started providing conservative option course in May 2014 and I think you took it in January 2015 – one year back.

Exactly after one year you are asking this question. I am so thrilled and happy to read your email. You are not only making profits but also are looking to protect your profits to compound. Great thinking.

Thank you for being patient and being happy with small profits every month and not taking undue risks with my strategies. This will go into one of the best testimonials I ever received as this is exactly what I want from people who have taken my course. Make small profits, compound and then shift the big profits in other investment vehicles of stock markets to protect and make a huge amount over a few years. And then retire rich.

I wish you Good Luck Mr. Rupesh.

===========================================

NOTE: 3% per month can be huge over the years, it is much better than trying to make 10% a month and keep losing. If you want to make the year 2016 profitable trading options learn conservative and peaceful trading. My course will help. Read about my conservative options trading course here.

Testimonials of the Year 2015.

You Can Pay Online Here in 1 Minute.

What are you doing with the profits made from Trading the Stock Markets, Options, Futures or Commodities?

I work hard to provide real practical wisdom and correct knowledge in options to my dear retail traders, who are not very rich but want to get rich trough my website www.TheOptionCourse.com. I try my best to tell them you cannot get very rich very fast trading stock markets, but you can get very rich in a few years trading the stock markets. If I am unable to convince them, unfortunately markets convince them. Hope sense prevails and Your Year 2016 is filled with Lots of Happiness, Great Health and Sound Investments.

I am truly overwhelmed from the response I got from my newsletter subscribers & customers. Hundreds of them wished me and my family “Happy New Year” on the first day of the year 2016. Some of them wished me even before I wished them through my newsletter. This shows tremendous support and regards I have in my subscribers. I feel blessed.

But with support, regards and hope comes great responsibility. So I am a bit overwhelmed. I will work harder this year and try my best to teach this community about stock markets, trading and investments as much as I can. Let me tell you I have a lots of regards for this community. Retail traders want to grow rich through trading, but they do a lot of mistakes. I will try to tell them the truth, that’s all I can say. Lets all wish Year 2016 is great for all of us.

Thanks. Some of the screen shots of the wishes are uploaded here:

Form Me & My Family, Here’s Wishing You and Your Family A Very Happy New Year 2016

.

Today is Dec-2015 Expiry Day Please Close All Trades – Note that all ITM (In The Money) Options and ALL Futures contracts for DEC-15 expiry SHOULD be CLOSED today before market closes for trading preferably before 3.15 pm.

If you do not close, your broker may close it at market rates anytime between 3.15 and 3.30 pm. And if they forget to close then you may have to accept rates given by NSE/BSE and it is NOT good to accept “whatever” rates thrown to you. It is always better to take risk off your hands and know the exact profit/loss made by you before markets closes.

So please close all In The Money (ITM) Options and Futures contracts expiring today before 3.15 pm. Of course if you have sold options that are currently Out of The Money (OTM), then to save brokerage you can leave them to expire worthless.

VIX is low but the benefit has been absolutely ZERO movement by Nifty. It is OK to make less but make it surely. And on top of that we are least bothered about the direction. I am always for low profits and low risk (and still profits from strategies in the course are much better than what even the best mutual funds gives you.)

This year Mutual Funds gave NEGATIVE returns but people who took my course – even a beginner trader may have made at least 24% return. See this, year to date returns of Nifty:

Nifty January to December 2015 Returns – source moneycontrol

Compare 24% to NEGATIVE returns and you get the point. For me at least its more than enough. If you are slightly intelligent in Finance – you should understand that making 24% a year is GREAT RETURN. If you do not know, FIIs (Foreign Institutional Investors) will be VERY HAPPY with a 10% return a year because in America they get ZERO returns if they keep cash in their banks. Even FDs there give near ZERO returns – I think its 1% a year. Of course inflation is also ZERO. So a 10% return is 10% more than Inflation – which in their country is a great return.

Strangely in India people think trading options means “trade with few thousands and make crores in a few years”. Yep and they lose those few thousands in no time.

For example someone searched for “how to earn 1 lakh per month from share market investing 10000” and landed at my page: How to make crores from the stock markets. 🙂 How is that even remotely possible?

If you are losing money chasing such dreams than chances are it is really a costly dream and you must have lost lakhs looking for that “amazing strategy” which NEVER makes money in real trading world. Like real life is very different than “reel” life, its easy to dream making millions from the stock markets with only a small investment in couple of years. We all want a life like those hero in the films, in reality they themselves do not live such kind of life. So please be realistic – do not buy dreams.

Do not get me wrong it is not difficult to make millions from the stock markets but you have to give yourself time and of course you need some money – a couple of years is just not enough. If you have patience and discipline and you are doing things right most of the times – stock markets will give you excellent returns within a few years. 10 years is a good time frame. But if you are one of those looking to double your money every year, then be ready to lose 1 lakh every year for the next 10 years. Probably more. 🙂

Interestingly, I have experience even there. 🙂 From 2007 to 2010 I did very aggressive trading. The idea was to double my 5 lakhs every year and make it over 1 crore in 5 years. If correct I would have made 1.6 crores. The result – I LOST 5+2 LAKHS IN MY QUEST TO DOUBLE MY MONEY EVERY YEAR. And to rub salt in my wound – I had to take a personal loan to survive.

Well whatever happens happens for good else this website wouldn’t exist.

Do not do my course if you think 3% a month is too low a return, but please also DO NOT waste your hard earned precious money on people who sell you dreams of great returns from aggressive trading. They will charge you heavily and you will lose money trading their tips and on top of that they will not pick the phone after you lose money.

Please DO NOT let that happen to you next year. Just DELETE those SMS – they are not worth your time and money.

All The Best For 2016. Please trade sensibly and everything will be fine.

Best Regards,
Dilip Shaw
Mobile: 90511 43004
If you think 3% a month is a good return, my course can help you achieve that. Read about it here.

How much money you lost trading this year and why?

Note: Part of newsletter sent on 27 & 28 Dec 2015.

Refer my email dated November 11, 2015 which you can find here: Muhurat Trading Tip Happy Diwali 2015. I quote from the article:

I would suggest start buying Sun Pharmaceutical Industries Ltd in stages like some today, some after a decline of 10% and some after a decline of 20% from here. Its looking very strong at 726.00. Its now at 52 week low as well. A very strong company. Though it is having some issues right now, they are short term and the stock will recover very fast when the management will solve those issues. The stock should give you good returns within a few months – but please do not invest a lot, and, invest in stages. If the stock goes down 10% more from here buy more. Or if the stock goes up 10-12% sell and book your profits.

I had recommended Sun Pharmaceutical Industries Ltd at 726.00. You can exit from the stock today and make a profit of around 10% in 45 days. I think stock can go up to 830-850 soon. But due to recent controversies its better to book profits and exit.

See this:

And closing price on 24-Dec-2015:

Note that at the time of writing on 10-Nov-2015, it was trading at 726 but closed at 731.95 that day. The newsletter was sent for Muhurat Trading 2015. See how the stock almost reversed from 726. It made a low of 706.20 on 24-Nov-2015; after that straight up.

What We Learn?

If your basics are correct you will always make money. 10% in 45 days is a great return but still risk-management says only a part of your stock markets investments should have gone into Sun Pharmaceutical Ltd even if you are 100% sure it will give a great return soon. That’s because if by chance you need the money in between when it was down, you would have been forced to exit in a loss. At any cost this situation must be avoided.

Thanks and Enjoy Profits.

Hey isnt 10% in 45 days is BETTER than 3% a month? 🙂 Yes it is but movement of a stock is NOT in your control, but the options are in YOUR control because you can hedge and lots depends on VIX. And VIX can be guessed. Therefore every stock investor MUST learn options trading.

Learn Conservative Options Trading and Enjoy Consistent Profits.

With My Free Tips I Do Not Make A Single Rupee

Yes I do not earn a single rupee with these free tips and I have given many in this site. Yet its 10.30 pm on Saturday night 26-Dec-2015, I am writing this to help you. This is the time when most Indians are watching TV or are having fun at restaurants, clubs or in movie theaters. Why am I telling you this? Just be passionate in what you do and be honest. I can assure you will live a very happy life. I also love to have fun and I do – I was busy today and tomorrow I have some appointments and may not have time, so I have to finish this today. On Monday morning this post will go live so that you can read it before market opens.

Mind it on Muhurat Trading day this website got more than 500 clicks in a single day. It was on top of Google rankings for Muhurat Trading Tips. Plus thousands of subscribers read this through emails. So I am sure many of those must have bought Sun Pharma that day and will make profits today. The stock actually crossed 800 a few days back, but I was waiting for a better rate, unfortunately again it fell. So I think it is good enough for an exit signal. Some people may have booked profits earlier above 800 and may have made more.

I feel very happy when my subscribers make money and feel very bad when someone loses money. That is the whole point of this site, to educate how to invest, and am working towards it. Frankly, I love doing it whether I am compensated for it or not.

Love what you do. Love your job and make sound investing decisions. Do not be greedy and be happy with small profits. And most importantly – When its Work – its Work – forget everything else. You will start having fun while you work. And you will be very happy in your life.

Added on January 04, 2016:

Please see the comments section of this article. Someone asked an interesting question – “It seems you are saying without base but support and resistance. Where are fundamentals of the stock?”

I have shifted the answer to the article itself as I think it is a great question and the answer deserved a place in the article itself. Lots of people do not read comments.

My answer is this:

If you read this article when I emailed everyone to buy Sun Pharma, it is clearly written:

I would suggest start buying Sun Pharmaceutical. Its looking very strong at 726.00. Its now at 52 week low as well. A very strong company. Though it is having some issues right now, they are short term and the stock will recover very fast when the management will solve those issues. The stock should give you good returns within a few months – but please do not invest a lot, and, invest in stages. If the stock goes down 10% more from here buy more. Or if the stock goes up 10-12% sell and book your profits.

When you are buying a stock to make 10% quick profit, then it is more of a swing trading than a long term fundamental trading. And can’t a trader do swing trading in a fundamentally strong stock? It is actually a killer combination. I actually do it, and highly recommend swing trading with fundamentally strong stocks. So even if I need to hold, I know I will NOT hold them for years.

For example even if Jindal Steel & Power Ltd. nose dives 25%, I would not buy that stock. Though a Group “A” stock now – its fundamentals as a company is not strong. I would rather control my greed and never regret not buying the stock even if it jumps back 50% the next day. Greed is a BIG trapper. You will never know when you get trapped. 🙂

Now when Sun Pharma hit the target in 45 days, it DOES NOT matter if there is any controversy in the stock or not – what matters is my investment paid off and I should exit, that’s it. That is why I gave an exit call. Interestingly the stock was up more the next day when my subscribers would have exited the stock with more profits (newsletter was sent after market hours). I wanted to wait for it to hit 820, but since the stock was surrounded by another controversy I thought it is better to exit.

So yes, more to do with support BUT Not resistance because we already made up our mind to exit with a 10% profit.

Now please DO NOT ask how I find support. 🙂

Thanks for a good question.

Predicting stock markets to some extend is easy and we do not need software to make money in stock markets.

We will read that later but before some updates.

Recently 3 of my predictions came true:

Click here to read my previous newsletter.

Prediction 1: INDIA VIX will Fall – INDIA VIX is now at 15.18, down by 9.26%
Prediction 2: Not Much Movement in Nifty after the FED rate hike – Nifty now at 7765 – almost same place as yesterdays’ close, and,
Prediction 3: 7600 will be a great support – Nifty bounces back exactly from 7610.

Note for traders who have done my course: Check your profits and if they are reasonable enough, please close the trade and enjoy the profits for a few days. Read the course document given to you, if the strategy 1 is even slightly close to where we need to book profits – you should close the trade.

Do not enter immediately after a 10% fall in VIX. Wait for a rise and enter again.

Good traders are ones who wait for the right opportunity to make money.

We all know money cannot be made everyday in stock markets – yet we like to trade everyday. Most of us lose. So learn to stop the urge of trading for the sake of trading. Markets for sure will give us enough opportunities. Learn to be patient and wait for that opportunity. Believe me if you do this and take only 15-20 max Strategy 1 trades in a year – you will make money more than 90% of the times, even though I promise only 80%. With practice you should be able to make money almost every time you trade. But patience is required. Remember no one can teach patience. Its ok if the profits are small, at least its better than losing money.

Predicting Markets with Some Accuracy Is Possible. A Software is NOT Required.

Lots of people must be thinking how can I predict things which such accuracy. Frankly it has more to do with experience that anything else.

For example…

VIX will fall after a big news – this is plain common sense. Nothing further to discuss.

7600 a good support: At 7600 almost all good blue chip stocks were at very attractive prices. Some of them were hitting at 52-week low. BUT here is the most important part – there was nothing bad in our economy that led to stock markets falling. Somewhere down the line greed and hope will kick in. You must know that it is mostly the stock buyers and sellers who move the markets NOT the derivative traders. 8900 to 7600 is a great fall in a few months and somewhere Nifty had to bottom out.

It could have gone to 7500, it can go there in Future as well but the news was really not that bad except for the FED rate hike which the markets had already factored in.

Not much move in Nifty: Refer to this article.

Basically Nifty traders would have been worried if FED increased rates by 0.50% or more. But chances of that were NIL. So it is very easy to assume that Nifty will not move much as the markets would have already factored that in by Wednesday’s close.

As you can see for these things software are not required. I fail to understand why people spend lakhs on software to make money in stock markets. I do not see any retail trader making money because a software did a great job while he was having his lunch.

A few years back I invested 5 Lakhs in a properly back-tested system to make at least 5% a month on average whatever happens to Nifty. This was by a GIANT BROKER in stock markets. (I still hold their Demat acc though with zero cash balance). At that time you could invest 5 lakhs in a PMS (Portfolio Management Service) – that was the last 5 lakhs I had. After that I had to take a personal loan to survive. Anyway, I think today the minimum is 10 Lakhs to invest in a PMS. If you are thinking to invest – just don’t do it.

Long story short, after 6 months Nifty was up by 5% and my investment was DOWN by 1%. Hey dint the back-testing say it should have been up by at least 30%? After all I was sold on those lines nothing else. Forget 30 – at least match Nifty, how can they be down by 1%?

When I called and asked them the same questions – all I got was lame excuses like a kid gives to his teacher for coming late to school. I think they are given coaching to lie as well. I got so angry, I closed my account in few days. Even closing MY account was a bad experience. I had to email them 3 times, courier documents and call them 5 times and had to literally shout at them to close MY ACCOUNT TO GET MY MONEY BACK. What a horrible experience. I got back only 95% of the value of my money. There was management fees, taxes and blah blah. You get the point.

I cannot name the company due to legal complications. But what I am trying to say is this:

If Automated Trading Software Made By By A Giant Stock Broking Company With Crores of Rupees and Great Human Resources Did Not Make Money For Their Subscribers How Can You Expect To Make A Sofware With A Few Lakhs That Can Spin Money Out of Stock Markets For You?

Stop dreaming please and save your hard earned money for better things. Invest in knowledge. Buy books or read online about stock markets.

Again I want to apply some plain logic here.

The greatest investors in stock markets NEVER used any software to predict stock direction or markets movements. But they made millions. Other than making smart looking charts, BELIEVE ME, these software can do NOTHING.

Had you bought some great stocks 3 years back and did nothing – your money would have by now more than doubled. Do you need any software for that?

I Get Calls To Sell You Software But I Reject

Who doesn’t want to make easy money? No I don’t. Almost everyday I get calls from someone selling a trading software to market their software to my subscribers. For that they are willing to cough-cough “pay me well” to sell these software to you.

You know what I just need to send one email and at least 10 people will buy. If they are willing to pay me Rs.5000/- for one sale, I make a cool Rs. 50,000 /- per month for doing nothing.

How good is that? But yes I am kicking that Rs.50,000/- per month easy money good bye just because I do not want to make fool of you.

When I am myself against using any software – how can I recommend a software to you?

No I do not need that easy money by fooling people.

You must have noticed – I do not even advertise on my site. That again can make at least Rs.20,000/- per month.

Combine the two and we are talking about saying good bye to Rs.70,000/- per month or more than 8 Lakhs a year.

I am doing ok, I can feed my family well, I can give my two kids good education, and I am very happy in my life. I have set my goals and achieving it. I don’t need more.

Easy money only makes life miserable. One thing will lead to another and ultimately everything will collapse. Greed knows no boundaries.

I know how much I need, when and why and I am working towards my goal and succeeding. Whats the need to change the path? May be I will retire with 20 or 30 lakh more – but that money will not make me happy. So why bother?

Conclusion – What we Learned:

Note: Part of newsletter sent on Wednesday, December 16, 2015. Please click here to register your email to get such newsletters.

As expected, 7600 became a strong support. Nifty bounced back from 7610. Click here to see.

And the good news is that the whole world has taken a 0.25% increase in FED rate for granted and have moved on.

Indian markets are great followers. Once the European markets started moving up yesterday, Nifty also started moving up. Very strange but we traders cannot do anything about it. Intraday traders can benefit from it though.

The good news is worry is over.

And when worry is over you can see that VIX has also started to fall.

At 11.20 am INDIA VIX is at 16.82 which is 3.00% down from previous close.

It will fall further tomorrow. Be ready to close strategy 1 if in reasonable profits tomorrow.

More profits coming. 🙂 I will send an update later tomorrow.

Somebody came to my site today morning looking for “Dilip Shaw Wealth”. Holy shit, really? I mean if I have less or if I have more, why should it really bother you? Your only concern should be if you can really benefit from my course. If yes, then is it worth spending 5k on it once in your life? That’s for you to decide.

Click Here to read the course details.

And here is where you can pay the course fee online or NEFT for the course.

Note: It’s very nice to see a lot of traffic to the site coming from the words “Dilip Shaw” and “TheOptionCourse”. This means you my subscribers, are spreading it through the word of mouth.

THANK YOU SO MUCH!!

My Best Regards,
Dilip Shaw
90511 43004

Note: Extract of my newsletter sent on 14th December, 2015 to my newsletter subscribers. If you want to receive such newsletters please register here.

In-spite of turmoils in the world Market Nifty has shown support at 7600 and actually is moving up.

Refer my email dated Dec 7, 2015 that you can find here:

http://www.theoptioncourse.com/how-to-trade-nifty-now-december-2015/

I had written this:

But I think 7600-7700 is a good support for Nifty. (That does not mean you buy a Future – I do not give suggestions so that you trade without research based on what I say in this blog. Please do your own research before taking an investing decision.)

The recent low is 7610.45. 🙂

BUT the point is this – there is BIG news coming on 15th and 16th December 2015 – The FED rate hike, and markets all over the world, like I have said before will figure the results by today or tomorrow’s closing.

Now, Nifty showing resistant is a GREAT sign. But that does not mean we declare 7600 is the bottom.

But We Can Take Calculated Risks

INDIA VIX is at 17.89 that is 4.13% up from Fridays close.

It may go up tomorrow because we will know the results only on Wednesday or may be Thursday here in India. Once the result is out VIX drops and our trade benefits.

How Can My Paid Subscribers Trade FED Rate Hike?

This part is only for people who have taken my conservative stock option course. Strategy 1 looks the safest. High VIX and not much chance of Nifty moving 5%, but very high chance of VIX dropping.

Risk-Reward is very favorable.

You can trade that. But remember that VIX may increase tomorrow as well so if you have cash, trade some lots today and some tomorrow.

If you are already in strategy 1 and its at break even and if you are trading with a discount broker, I would suggest close some lots and create a new strategy 1. You will profit more in the SAME time. If you are on 5 close 2 or 3 and make a new trade. No need to close all lots as we are looking for risk-management NOT jumping from one trade to another just because VIX is high.

For aggressive traders: Strategy 2 can also be traded directly PUT side – risk slightly more but rewards are great.

Highest Open Interest in Nifty 7500 Strike – So We Can Take Calculated Risks

I have found something interesting. 7500 strike has the highest OI (Open Interest). See this:

http://www.moneycontrol.com/stocks/fno/marketstats/options/openint_inc/index.php

Increase in OI: 884,000
Increase (%): 14.80%

15% increase means most market participants believe 7500 is a very crucial level for Nifty and it may not break that.

But remember that this is what most of the trades believe – but many time open interests are broken.

Since OI is highest at 7500, Will Nifty break or not break this?

Please remember that anything can happen in markets. But here is some common sense that can be applied.

Someone asked me yesterday what software I use? Well I DO NOT use ANY software – my only software is common sense which comes from experience. No one can device a software to take decisions based on common sense. It is a different story that software do not make money. If they did, we just need a software to trade on our behalf and we enjoy life and the world collapses. That day will NEVER come. 🙂

So people looking for software, please use your common sense and learn to work hard. Ok back to topic.

Applying some common sense:

The whole world knows 25 basis points increase (0.25%) is almost certain. Nifty will factor that in by tomorrows’ closing. If that does not happen Nifty is headed up. If that happens, since its already factored in, on Wednesday or Thursday (meeting is for 2 days) morning, Nifty will NOT show any gaps up or down, but VIX will drop for sure.

Now what are the chances that FED will increase rates by 50 basis points or 0.50%? Very slim. For us the real issue is chances of FED increasing rates by 0.50%. If it happens Nifty for sure will gap open down by at least 1-2% and keep going down. But chances of 0.50% rate hike is NIL. So I do not expect a very huge (like 5%) gap up/down after the news.

And all paid subscribers of my course know that a small movement is nothing for us. We benefit.

I have NOT taken your paid course – What can I trade?

Well of course I cannot reveal the strategy here of my course, but please do not buy options for next two days until VIX is increasing – you will lose money big time. And if you are selling options please hedge. DO NOT sell naked – risk-reward is never in favor of naked option sellers when a big news is expected.

And ask yourself what is stopping you from taking my course? There are many traders who have known about my site since the last 1 year and have not taken the course. After 1 year they email me saying all their money got wiped out, please help. Now when everything is gone and you are left with some 10 or 20k how can I help? Do not let that happen to you. Rest its your call.

Hope you all make good profits.

Best.

==== End of Email =======

Update on 15 December 2015 – 1.30 p.m:

Today INDIA VIX is at 18.06 up by 1.46%.

This was expected as written in my yesterdays email (see top of this page).

Nifty is not showing much movement today which indicates it has already factored in a FED rate hike.

A 25 basis points or 0.25% increase is what it has already factored in and probably will close at current levels of 7650.

If FED does not increase rates – still markets won’t move much as that is the second possibility.

However if FED increases rates by 50 basis (0.50%) points then Nifty may fall 100-150 points.

But VIX will drop for sure even if there is a fall. Quick profits to be made.

Strategy 1 right now looks very safe.

Note that FIIs have taken money out from our stock markets in the hope that FED will increase rates. If it doesn’t I assume they will again start pumping money in our stock markets and Nifty may start moving up again.

So its great time to accumulate your favorite stocks in cash. Make sure not to make lump-sum investments – but keep some cash for further downfall. If the stock moves up you make profits anyway.

Best Regards,
Dilip Shaw
9051143004
Click Here to Learn Conservative Trading and Make Consistent Profits

Part of newsletter sent on 10-December-2015. Register to receive newsletters here.

Some people complain that the cost of my course is too much. Really? Have a look at this – an email of my client I received today morning. In 15 days one of my clients made Rs.6930.00 Profit. And all this with a Full Time Job. You can click on the image if you cannot read it clearly.

Testimonial by Yogesh on 10-Dec-2015 Rs.6930.00 Profit in 15 days after taking the course – Results may vary for users

Tell me, is paying 5k or 6k really too much when you can get your money back + some more in 15 days? On top of that you get my support for 1 year.

Tip For Those Who have taken my course: Have you ever tried Strategy 1 (the non-directional trade) on STABLE STOCKS? You know what, stocks have more volatility, so the premiums are also more – therefore you can make up to 5% a month. However with a slight increase in risk. Let me tell you that liquidity will be a issue, so please try on stocks with good liquidity. Luckily stocks with good liquidity also are VERY Stable – so that is an added advantage.

Try it. If you fear trading stocks, do paper trading for about a month and get in. Please remember that margin blocked may be more. For that consult your broker.

If trading options, it is very important that you trade with a discount broker who charge low brokerage so that you do not feel the pain of paying too much getting in and out of a trade.

Another thing you must keep in mind is that it does not matter if margin blocked is more – ultimately it is the ROI (return on investment) that matters. Return of 3000 on 1 lakh is same as return of 15,000 on 5 lakhs.

As you can see above if you really like the magic of compounding to work on your portfolio, you must try to bring more money into your trading account.

Remember with a discount broker number of lots does not matter as you are paying only a fixed price for one order. Even if you buy/sell 10 or 100 lots you still pay a fixed low brokerage. So I request you to trade with a discount broker to save your money.

If you want to open your account under me with the best and the safest discount broker in India – send me your name, email, and phone number and I will set up you under me.

And if you want to know anything about my course, please contact me.

Learn and trade, else you are in a better position to know whats happening to your account by speculative trading. Please stop your losses and do the course now.

And if you are not taking the course because you think 3% a month is too less a return then think again – is making 3% a month better or worse than losing money every month? All in all your losses may run in lakhs or ever crores in the hope of getting 10% a month and you will never know.

You can pay for my course online here.

Update: Just before sending this email I got update from the client that he traded the stock option strategy 3 (not non-directional) on ITC because of my recommendation on 7-December-2015 here:

http://www.theoptioncourse.com/how-to-trade-nifty-now-december-2015/

People who have taken my course, can you see how strong the conservative stock option strategy is? Check your email where I send the strategies, you will find this written by me – “Do Not Fear Trading Strategy 3 – The Stock Option Strategy – You will leave money on the table”. By not trading the conservative stock option strategy, you are actually leaving money on the table.

Note: In spite of the above my suggestion remains same – you should paper trade the pure non-directional strategy in some stable and liquid stocks like ITC, HDFC, HDFC Bank, SBI and see the results. If you are able to devote a little more time, I guarantee that you will see better results than Nifty in Stocks, as they have a higher premium. Even Bank Nifty options have higher premium than Nifty because of the high volatility. I assure with slightly more risk you can make that magical figure of 5% a month.