Like every teenager on Robinhood, I too started experimenting a little aggressively in the Stock Market.
However, I’ve been doing it slightly differently. In April I decided to put up INR 2Lakh or ~ $2700 in my demat account on Zerodha to trade short terms. I wanted to learn, I didn’t care if I lost the entire 2L. I know this is me being in extremely privileged position. My spendings had drastically gone down due to the lockdown and our company indicated that this looks like a long term thing. I took the opportunity to learn something new 😀
Please note that I spent hundreds of hours watching educational videos on technical analysis and spent some time with a local trading group. It took me almost three months to come up with a system that works for me and I lost a lot during those initial weeks. It took me ages to figure out that I didn’t really need to enter a trade if it didn’t fit my system. And another what seemed like decade to figure out when to exit a trade.
By June of 2020 I was down to 1.6L
But once I developed a system, I have been able to get the balance back up to 2L and also make small amount of profit here and there.
I don’t want to get suckered into the stock trading world to be honest. I still think that I’ll earn more from my day job and there’s scope for career progression. This is something like a hobby and I would like to keep at it. It’s one of the reason I don’t want to keep increasing my base amount for trading.
I’ve been putting the small profits into Nasdaq 100 Mutual fund on Coin by Zerodha. Surprise surprise I’m already up INR 9K. I will keep updating this blog with my progress of the fund. I wish to take it to at least INR 1L by next two months.
Once I reach 1L in the Nasdaq 100 fund, I’ll try to up my base amount for trading. I think another 1L in the base amount would be a good target to have. Whaddya think?
Have you too gotten into stock trading since the lockdown?