22nd august 2014 - long auropharma eq

22nd August 2014

LONG AUROPHARMA EQ – System 2

Big Picture (Nifty)

• Nifty Futures are showing signs of increased selling pressure.

• AuroPharma EQ is exhibiting volatility in line with its averages volatility & ADX is above 25 indicating that the current market condition is “Quiet Uptrend”

Intraday Fundamentals

• There is no fresh news flow , it was upgraded by a lot of Technical Analysts with targets greater than 900.

• Upgraded By – Religare,S2Analytics

Trade Management

• I scaled in via multiple bids giving me an average price of 713.76 with a initial stop of 708.

• I made some cash flow trades at one-two ticks after break-even.

• I exited as per my risk management system – I had a SL in the system

Intuition

• No

Review

• This trade was filled with indiscipline – Only thing I did right was I had a SL limit in the platform. I lost only 80% of my intended risk limit which is a good thing however cashflow trades costs would take the risk limit beyond 100%

• There was no fresh news flow to make the stock see some activity • I made cash flow trades which I should not do considering this

account which I was trading has retail brokerage, even though trades were alright I should not make these trades considering I am trying to curb my over trading problem.

• Overall lesson this trade proves – Enter a risk limit order, No need to make cash flow trades on retail commissions, need to sit tight after entering trade (this is what causes me to overtrade). Need to trade stocks in play.