Performance Of Trading Stock Futures : July 2010

Till 14th July 2010, there were 14 stock futures trade which were concluded as per my recommendations at http://www.stockezy.com/ . The details of the trades were published on 15th July in a post titled "Trading Stock Futures : Performance Update Mid July 2010". Till then we had maintained 100% success rate, meaning that all these14 trades yielded profit. Total profit generated from these 14 trades was Rs 1,50,250/-Here is the link to the post giving out details of individual trades : http://archana-archdeb.blogspot.com/2010/07/trading-stock-futures-performance.html

Now is the time to carry out performance check of stock futures trade that were carried out in the second half of July 2010. There were nine long trades executed in Stock Futures during this period. As is the established tradition in my exclusive club of stock futures trading at Stockezy, 100% success was again achieved in all these nine trades. Total profit generated from these nine trades was Rs 52,100/- at an average of  Rs 5789/- per trade. Details of these trades are given below :-

Ultracemco July Futures(Long) :
Bought at 833 and covered at 848. Lot size = 250. Investment = Rs 41,000/-.
Profit = 15x250= Rs 3750/-. Return on Investment = 9.1%

Renuka Sugar July Futures(Long) :
Bought at 69.7 and covered at 71. Lot size = 2000. Investment = Rs 28000/-.
Profit = 1.3x2000= Rs 2600/-. Return on Investment = 9.2%

Bajaj Hind July Futures(Long) :
Bought at 117 and covered at 119. Lot size = 2000. Investment = Rs 46,000/-.
Profit = 2x2000= Rs 4000/-. Return on Investment = 8.7%

ACC July Futures(Long) :
Bought at 802 and covered at 820. Lot size = 250. Investment = Rs 40,000/-.
Profit = 18x250= Rs 4500/-. Return on Investment = 11.25%

ABB August Futures(Long) :
Bought at 775 and covered at 795. Lot size = 250. Investment = Rs 38,000/-.
Profit = 20x250= Rs 5000/-. Return on Investment = 13.15%

Ultracemco July Futures(Long) :
Bought at 826 and covered at 845. Lot size = 250. Investment = Rs 41,000/-.
Profit = 19x250= Rs 4750/-. Return on Investment = 11.5%

HCL Tech August Futures(Long) :
Bought at 378 and covered at 382. Lot size = 1000. Investment = Rs 75,000/-.
Profit = 4x1000= Rs 4000/-. Return on Investment = 5.3%

HCL Tech August Futures(Long) :
Bought at 375 and covered at 395. Lot size = 1000. Investment = Rs 75,000/-.
Profit = 20x1000= Rs 20,000/-. Return on Investment = 26.7%

Patni August Futures(Long) :
Bought at 473 and covered at 480. Lot size = 500. Investment = Rs 47,000/-.
Profit = 7x500= Rs 3500/-. Return on Investment = 7.5%

In all 23 stock futures trade were carried out in the entire month of July 2010, with 100% success in all trades. Total profit accrued in July 2010 from these 23 trades was Rs 2,02,350/-(Rupees two lakhs  two thousand three hundred and fifty only), at an average profit of Rs 8798/- per trade.

Stock Futures Trading Made Ezy - Ultra Tech Cement

Stock futures trading is rather a simple way of making money by retail investors. For continued success while tradng stock futures there are few things to be kept in mind;-

1. Do not enter into more than one position at a time, whatever be the lure.
2. Look for established clear momentum or strong swing.
3. Do not think of trading intra-day. If your target is achieved intra-day it is bonus, but do not have that as a compulsion.
4. Do not trade any news, good or bad.
5. Have an amount of Rs 1 lakh in your trading account to successfully trade stock futures.

I have been giving stock futures recommendations in http://www.stockezy.com/ as a Guru. On 19th July one of my subscribers first bought Ultra Tech July Futures at 825.25 as per my recommendation. On 21 July he exited at 846 with a profit of Rs 5250/-.

Again on 27th July my subscribers entered this scrip at 826 as per my recommendations and booked intra-day profit ranging from Rs 2500/- to Rs 6000/-.

On both the occasions we had entered trade in Ultra Tech purely on technical reasons. Ultra Tech was falling at rapid pace and even the general market was weak. But the termination point of second down wave as per Elliot Wave principle was calculated with help of Fibonacci retracement. This gave us our buy price from where technical bounce was sure to take place. And so it did!

We could have opted for higher target but fundamentally cement sector is weak in monsoons and general market also had a negative bias. So we took precautions and exited at a guaranteed  level, thereby eliminating all risk factors attached with holding for higher target. Yesterday the scrip reached high of 878, thereby achieving its resistance level of 30 day moving average. But by exiting early we still could manage to extract average of about Rs 8000/- from two trades in one scrip. That works out to 19.5% return on investment of Rs 41,000/-.

Links to actual trades are given below :-
http://www.stockezy.com/opinions/6656/buy-ultracemco-july-futures/
http://www.stockezy.com/opinions/6810/buy-ultracemco-july-futures/