How to become independent trader and have confidence??

Change your goal from thriving to surviving for the next 12 months. You will be
much better from today.

What is ur exit strategy?I k u trail.Can u elaborate a bit on it

Partial sell when the stock gets extended from the weekly moving averages.

Your 2 biggest mistakes and failures and lesson learnt from that .

Staying glued to the screen. And, not a regret but I wish I had a mentor in my
early 20s.

How to filter out good ones to the weak ones especially on draw down days.

The ones staying solid strong in those days.

Total how many strategies do you have to select stocks???

4-5. But the underlying principle is the same behind all of them - I buy strong
stocks when they are undergoing compression/tightness.

What made you want to start on the journey of being into markets?

Less effort, more money & peace.

What was then the trigger for diversifying and going into another business
(restro in your case)?

Investing is boring.
Must study strategies for short term trading in your experience? Thanks for
doing this

Strategy is discipline. Work on that. Read trading in the zone.

How much time it took for you to start making money in market? What is
your annual average returns for past 5 years?

It took me very long. It can take you much less if you have someone to guide you
all along or if you are reading good stuff & consistently studying your mistakes.

For an MBBS studying student who wants to become a trader with 3 lakh
capital is future hedging better or cash trading sir

You are most likely to lose it all if you are starting out with futures. Not that if
you start with cash, you going to turn 3 to 6 in your 1st year.

What has worked well for you in terms of exiting a stock ? Apart from initial
stop of 7% what has worked well in trailing stops ? How do you ride the
trade to get the max out of it ? And do you have the investment portfolio or
it's all trading only?

You can’t get more than 40% (avg) from one swing. So can’t trail beyond that.
That’s where my entire money is.

What is right budget to begin with for start intraday/swing trading?

Start very low. Learn. Learn. Learn. Learn.

Do you have any rule/ method to determine what position size you want to
take up in a certain trade? For example % of portfolio etc.

I risk 1% of my portfolio per trade usually.

Since individual stock will ultimately follow broader markets, What are the
data points u look for to identify if market is in value stage or not.

I do not base my buys based on general market scenario.

Which moving averages should be used as and confirmation to enter a swing

trade

I don’t use any. I just focus on tightness of the bars.

What additionally do you look for in a stock which has a very tight price
action?
Strong buying force & volume thrust.

Which key KPI's you measure and how to basically improve them.... as per
minervini trade management ..."If you cant measure , you cannot manage"

Keep track on average gains & loss after every 10 trades.

How many times did you read Mark minervini books before you became
confident ?

I lived the book. Reading alone make you anything.

If you may want to disclose, to check market breadth which filter conditions
you use in spider to filter stocks that are above and below 5%.

Look for stocks above 50 dma versus below.

Is inside bar on weekly daily TF only way to identify volume and price
contraction or are there other ways also to identify strong presence of buyers
which would lead to a big up move.

Inside bars only indicate compression. Strong force is judged by how much the
stock is up recently.

What's your average Risk:Reward ratio and batting average? how many
trades on average do u take a year? and mainly how do u maintain your R:R
and batting average? you withdraw any trading profits or is it solely devoted
for compounding & growing capital?
I don’t look at the scoreboard while trading. Or I don’t trade to maintain the
averages. My focus is on following the process. Result is good batting average.

How much percent hit to portfolio are you willing to accept if all your open
positions hit their stop loss in a single day ?
5% in a month.

How to avoid looking screen continously whilen u have a position in it.

Kaam karo. Sirf stocks thodi hai.

How to remain cool when all stocks going up except which you are holding
Remove everything else. Cut the noise. We create problems ourselves.
Is price action a dependable strategy and the shortest time frame or
conditions. And i hear people having strategies, how can i develop my own.
Study your trades after every 10. By the time you end up with 50, you will realise
what are you good at.

why did you change your SL rule? From 2ATR to plain 8%

2ATR also comes around 8%.

What should be Average Volume need to put in like Minimum To Maximum

when scan
I like if the average volume per day is at least 1L.

Do you agree 95% emotions and 5 TA learning?! Have u lost with your greed
initial days!!
It is absolutely normal to lose when you are new. TA plays very very small role.
It is over rated.

How do you backtest your strategies?

I don’t believe in backtesting. You cannot back test human behaviour.

Which indicators do you use? Thanks

Don’t use any.

How to build the initial capital base?

Build confidence by achieving consistency on a small portfolio first. The rest you
will be able to figure out then.

The best way to manage pressure while in different positions in the market?
Don’t look at your screen.
Usually, which one is the leading indicator of a trend reversal, price or
volume of a stock?
Extended move.

Do you journal and analyse every trade? If yes, some important matrices to
track and best way to actually journal trades (excel, notes or any other
specialised software maybe?)
Study every trade. Note down entry exit. All this will help you in keeping track
of your batting average & your bad trades too so that you can avoid them in the
future.

HOw to Trade BOx on Box, at what point should we enter, high of the box
or reverse from base?
No black/white answer. Try anticipating the breakout for a better R:R

In this tweet, you have mentioned that you have at max 6 open positions at
most given times. What if you find more opportunities after you have 6 open
positions (I have seen your tweet on Idea stating that 'setup is good, your
plate is full').
I won’t take without closing one.

Do you prefer professional stock advises or trading after learning?

You can’t create wealth on someone else’s back.

I agree. Once in 2-3 years, market gives strong trends in some sector or
stocks. Index is misleading. I prefer to catch such trends
There is a trend in some sector almost every year.
After how many stage trade should be avoided..
Breakouts after 3 bases are choppy.

The upmove or trend flatens, how can one be sure that the flatenning of trend
is not the start of downward movement?? In the pic shared the volume tapers
as well, how is it now weakening of upward trend.
Focus on volume & do stage analysis.

And one more biggest benefit is, your holding period also increases with this.
Instead of cutting your positions at 10% / 15%, now I am seeing it go easily
past 30% or 40%.
The better way to put this point is less daily involvement & more peace.

that is actually the problem. will you recommend traders with less than 1
year experience jump ahead with vcp in nifty500 stocks or stay in the game
much more, gain experience and jump ahead?
Learn to invest in low float names from the start with good risk management. You
will do well for the rest of your time.

Manas then do you mean any decent system will work with strict positiin
sizing and risk management?
Yes

Toughest part is finding a system with positive edge

Buy 30 days breakout with strict risk management. I just gave you a system.
Toughest part is not finding a system. Toughest is sticking to it through to the T.
Don't u think that u should have waited for green candle before taking entry.
I could have but there is a price for every confirmation. You either wait for
confirmations & pay a higher price or take your low risk chances.

Are those books helpfull for trading journey ... Have you feel any change
after reading the Minervini's book ? ?
Because I’m not Mark. I owe my risk management to him.

I Think That Every Trader Goes Through This Phase But The Ones That
Keep Their Risk Management Proper Get To The Next Phase Where The
Money Actually Is.
Yes

Manas ji.. How to measure market breadth.. If you have given some method
in your earlier tweet..pls share Regards..
Keep a tab on how many stocks are above 50 dma versus below 50 dma every
week.

Any how do you maintain 1% loss in overnight positions without hedge?

My 1% risk positions have stops 8% away on an average. Even if the stock gaps
down 40% the next day, I’d lose 5%. It won’t kill the portfolio. And, guess what?
It has never happened to me. Even if it does, I know the worst case scenario.

What is the general Risk Reward Ratio u go ahead with sir?

I don't look at the upside. I only look at low-risk situations. Then the upside is
usually good.
is high free-float good or low free-float..I don't understand this, you always
talk about free float..
Low float means very small supply/size available in the market. Now, apply the
demand supply concept to it. Low float always good for explosive moves than
high float.

I know you keep 5000Cr as free float limit. But shouldn't it be certain % of
market cap? If a certain stock has a market cap of just 7000 cr and free float
of 4500 crores, is it still good to trade according to your system?
If you keep the demand/supply concept, the supply would matter more or what %
supply is there?

Got that. I mean to ask, say you see 2-3 opportunities and your total cap is
10L. You risk 1% and based on SL of 10% your investment becomes 1L. So
now for the second trade you have 9L cap and so on. So do you predecide
total cap for each position or use 1% of total remaining cap
The distance between my price & stop loss decides the capital to be invested in
one stock. I don't pre-decide my investment size.

Sir what's the impact of low or high free float... Curious to learn
Low free float names explode vs. high free float names who only manage to crawl

Nick Darvas used to recieve EOD price via telegram while he used to do
world tours.
And managed to make a fortune.
Your entry in weekly inside bar pattern is generally on Monday.. Is it u wait
for formation of weekely candle till Friday then take entry.. or it can be taken
in any week day..
Without the week getting over, how would I know how the bar would look like?
Once the formation is over, I place bids. It is just a coincidence that they are
getting triggered on Monday.

Why not keep even 5% of your holding... Momentum and all is great.. But
there's something called long term investment and compounding
I'm compounding well into double digits (sometimes triple) doing momentum
investing. You can't be the best day trader, swing trader, momentum trader &
long term investor at the same time.

do you do this preparation every weekend, everyday? when you are 100%
invested, do you still look at the other stocks in the market and produce these
watchlists? the question is, is this process independent of your portfolio
composition? tnks in advance Manas
Every weekend, even when I'm 100% invested. Just so if I find a better name then
I'd move the non-performing position's money to this new name.

But Manas Ji, Orient Elec came down to 182 from ATH of approx 215. Is
this coz of supply or they r kicking out weak hands ?
10-20% drop from highs is very normal. Check the history of any stock.

break out happened and it went down again and closed. Ideally is it ok to
buy after breakout since most of the time it is false breakout
What if the price zooms past the breakout point without you? There is no best
way. Pick one way and follow that. I buy immediately and I let the market tell me
I'm right/wrong.
Question for you. For some, AXSM appeared to be trading in a bullish high
pennant/flag. Yet you, correctly, called for a huge drop, Was there a
technical pattern that prompted your call? BTW, very will done.
Anything that goes up 15-25 times that fast without any correction is never a long
trade for me. Then I look for signs that it is fizzling out like several failed
breakouts in the last 1-3 months.

I bought #KEI last week on inside weekly bar breakout, it was not extended
as well, what could be the reason here?
Buying non-extended stocks only improves your timing. It does not guarantee
anything. Besides, you did nothing wrong in KEI. Keep doing your bit. Your
results will improve.

Any courses related to technical analysis for young aspirants.

Youtube & books are enough. Analysis can be learnt in 2 days. Acting on &
sticking to your analysis takes years to hone. It's a skill that will take time to
develop.

Maximum position as a percentage of overall portfolio taken by you in a

single stock
50% and it was just one time. Was nervous af. Did not repeat again.

In IT sector... TCS, Infy, Niit Tech, Tata Elxi, Hexaware, Mindtree were
leaders... tata elxi, hexaware, mindtree corrected but not tcs, infy n niit tech...
what this means?
Leaders are not because they are big names. Leaders are leaders by their price
performance against peers & the market. There can only be 1 or 2 leading names,
rest are just followers.
How much loss is not too much loss according to you?
10-15% drawdown is easy to recover from.

Sir,I was watching some old videos, using add and moving averages. My
question is are those strategies obselete in today's context of technical
analysis?
Technique is just 20%. Use anything. 80% is your behaviour. Control that.

Can I wait for end of the day closing or stop loss hit to sell immediately.?
Today manappuram hit
Stop once hit is hit. However, keep tracking the stock even after that. Take again
if there is a good set up. This time chances will be higher that you will make
money.

Can this stage be also termed as exit of weak hands?

Weak hands exit at every consolidation stage. Strong hands load up there

Would like to hear from you, the causes behind two setups behaving
differently. If you can elaborate please..
The man behind buying/selling drives the stock up/down is never the same.
Different group. Different behaviour/reaction/decisions.

Everyone who started their training in the last one year should thank their
stars that you are seeing a bear market instead of a massive bull market rally
You now know the importance of risk mgt. You have seen stocks tanking 50-
90% in no time & what a no-stops policy can do.
Had your start been with a bull rally, most stocks would have bounced
sooner or later which would have not ingrained placing stops religiously in
your behaviour. And, then you would have given up all your hard earned
gains when the tide would have turned from a rally to crash.
Hi manas, can you please brief, what is over head supply???
Fewer sellers. So, fewer hurdles on its way up.

it was with a question mark...bases on series of regular UC and

LC.....Recently and in past
Blame SEBI for setting circuit filters that close. There is absolutely no way to tell
who is driving up the stock. So no point stressing over something that cannot be
ascertained. Focus on what is easily seen.

Easy to understand but hard to implement..

Hard is the man in the mirror.

It takes guts to sell when market is trending up

Only risk management. Nothing else.

Anything that goes 40-50% up in 2 days will correct sooner or later. Read
HEG chart. 40-50% in 2-3 weeks is much better than in just 2 days.
Instead of seeing the index and going deeper on the grounds which data
needs to be looked i.e. within 25% of 52W HIGH or 100% UP from 52W
LOW or both. How to gauge this parameter which might help for scenarios
when to sit tight, deploy positions conservatively etc
Both. Just look for strong stocks with a good set up. If there is none, there is no
trade. If there is one, take that trade. Don’t look at index. You can’t always time
things.

Since u have seen many cycles in the market what is your experience for
VCP, Breakout trading etc for ranging markets. I understand one needs to
sit tight on cash in bear markets and observe strong names which are
forming a base during downfall (Understood through O'Niel Books)
If my stock is doing well, for me it is a good market. If my stops are getting hit
frequently, I am in a bad market. In short, my stocks and my performance decides
it for me.
How do you check if it has reached the point slowly ? Is it based on how close
it is to a moving average ? If so then which moving average and how close ?
If buy point is 100 and current price is 90, it requires more than 10% move to
cross your buy point. If that point is crossed in just one day, I won’t take it as I
am already getting into the middle of the move. I prefer a big move after I enter.
Not before I Get in.

Sir, whats the maximum time frame of carrying an open position when stock
moves sideways ?
If my stock has done absolutely nothing for 10-15 days, I will look to exit it and
re-enter again may be later.

Hi, does the VCP analysis work on futures too? I have applied the techniques
on only stocks so far. Thanks
VCP is no magic alone. VCP works beautifully on low float stocks. Apply it to a
high float stock and you will rarely see any fast move after the buy point gets
triggered.

Today I analysed ~150 stock charts based on Minervini trend template and
your suggested free flot. Shortlisted ~12-15. The qus is how to further narrow
down the list under 5 names which can be put for buy list? Any more
criteria? Bro, need ur insight.
rank lowest floats first and which are closest to their pivot point.

Suppose we found good setup in any stock then do we need to look it's sector
or nifty 50 index how they are behaving
No. Strong stocks have their own bull market.
Longest period of no trades? Bear market phase do u adjust the strategy /
follow a diff strategy, or wait patiently? At times for months?
When 3-4 stops get hit back to back, I take a break of 1-2 weeks. I come back
with half money. If this happens again, I take a break again and come back with
even less money. I keep repeating this till I start winning.
Should we attempt this type of trade or should we ignore?
This stock is far below from its 52w high. It has huge overhead supply pending.
Investing in stocks is like fighting the wind flowing against you. Why do that?
Why not flow with the force behind you and less obstructions on its way up?
Makes sense?

Looking at charts, when do u decide to exit completely from the position

taken after a decent run up ?
If it runs up way to fast, like 30-50% in 3-5 days, I sell at least 50%. I also sell
some or majority if it fails to cross (after 2-3 attempts) some important old
resistance level. Booking profit is trickier than creating a position. You get better
at it with experience.

Most of your tweets are based on bullish trend. Be it intraday or positional.

How do you trade down rallies?
Be a master of something over Jack of everything. You need to be amazing with
just one trick. Then nobody can stop you from making money from markets. Bear
markets are sharper but shorter compared to bull runs.

What is the typical risk to reward ratio you use ?

I used to follow this risk reward approach and it never worked for me. Then I
started looking only at my downside. How much could I lose? This approach took
care of my rewards. I don’t keep targets. I only know where I will take a loss.

My question is how much average approximate return can we expect from

stocks. Becuz making an systematic investment in mutual funds for 5 to 10
years can giv returns of 20 percent. So is it really worth taking risk investing
in stocks
If you are trading familiar names then you’d get very mediocre mutual fund sort
of returns at best. Real money is in finding the next Reliance/Infy/Maruti. Hint:
Micro/Small cap names.
Your strategy to go long/short in future? Your webinar covers simple
strategy for cash market but for future what are your 3-5 rules to go
long/short
The ‘concept’ is 100% the same. The key is to first ‘learn’ to trade successfully.
Take 50 trades in cash. If you end up not damaging your capital much, you’d have
more clarity of these concepts + confidence. Then you can trade any instrument.

How much money can be made in stock market.. If someone was to repeat
your trades
If you repeat/copy, you will lose everything sooner or later. Learn to trade
yourself. Carve out a method that’s suits your personality. Achieve consistency
and then go big.

Hi Manas how do you survive the bear market? do you adjust parameters
or just keep them as is, continue with the same hard rules whether bull or
bear? I remember you said stocks drive indices and I agree
When you hit rough patch, you lower your available capital to play with and keep
lowering it till you get over this patch. That’s how you survive to live for another
day.

What is the biggest difference/hurdle between studying and

implementing/executing the TRADE?
Fear of losing money. Once you get over it, making money looks lot easier. Trade
small till you get over this fear.

On an average what is your win/loss ratio currently and in your initial days
of trading?
Win size is way more important than the win loss ratio. Even with a 9:1 win loss
ratio, if your winners are small then just one losing position would wipe you out.
Focus on size. Let your winners run. Don’t limit their run by keeping targets.
Hi Sir, 1)According to you minimum how much free float is required for a
company to make it as a small cap? 2)Do you check earnings before taking
a position if yes what fundamentals you check like EPS,sales,growth?
Best moves comes where the free float is around 1k crore or less. Most stage 2
stocks had already been delivering good numbers when you are considering a
position. Stocks reach stage 2 for a reason. Good earnings is usually that reason.

Most of the stocks in up momentum do not meet just 1 criteria which is

"current price atleast 100% of 52wk low". Is it still worth taking some risk
with tight SL in such stocks?
One should get stricter during bear markets. If you are not finding quality names,
then don’t play. Not earning is better than losing.

Recently I have been getting stopped out regularly, as soon as I enter it starts
moving up but it doesn't hold it's gains.
Says a lot about the market we are in. If the stocks are not holding their ground,
we are not in a strong trend. Do not blame your stocks.