A wild ride in market

Today was quite the ride in the market. Let me start with a major mistake I made. Based on the charts and signals, there was a higher probability of a Doji candle formation in NIFTY 50, particularly around its resistance level. As anticipated, a Doji did form. It’s crucial to remember that our job as traders isn’t to predict the future because no one can do that. The Doji formation was just one of many possibilities.

The real challenge came when I took a short position in the NIFTY 24,950 PUT, and this is where the trouble began. I intended to sell at 56, but I mistakenly started observing the NIFTY 24,900 PUT chart instead. Everything seemed to be going smoothly until I decided to square off my position at 37, and the order didn’t go through. I was confused about what had gone wrong, and then I realized I had mistakenly entered the NIFTY 24,950 PUT instead of the 24,900 PUT. Panic set in as I scrambled to assess the situation.

I began frantically looking for signals to guide my next move but eventually managed to calm myself down. I rode the position out until it reached 37. Even though I was tracking the 24,900 PUT chart, which showed a temporary pullback, I almost closed my position when it touched 39 and climbed to 45, only to drop back to 37. It wasn’t until later that I realized I had been looking at the wrong chart the whole time. The breakout became difficult to handle, but I forced myself to stay composed and rode the wave on the 24,950 PUT until 37.

This experience taught me an important lesson: always double-check your orders before execution. This error could have cost me dearly. When I entered at 55.4, the 24,950 PUT rose to 64, and I was completely unaware of it. Despite the initial panic, I managed to stay calm enough not to exit the position prematurely, which was the hardest part of all.

Conclusion

Today's session was a stark reminder of the importance of accuracy and focus in trading. One small mistake can lead to significant consequences, but maintaining composure and sticking to the plan can help mitigate potential losses. The key takeaway is to always verify your actions and stay grounded, even when the market throws you off balance. Trading is not just about technical analysis; it’s about staying calm under pressure and learning from every experience.

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