How I Make Money with Swing trading | Swing Trading Strategy |Ft.‪@iManasArora| MastersInOne-EP-51

[Music] [Preview of the video] Hello friends, I am Vijay Thakkar and welcome you all to our new podcast of 'Masters in One' and today our guest is Manas Arora ji. He is a full time swing trader and he had read Mark Minervini's book in 2011 and in it sir has given his strategy which is volatility contraction pattern, Sir used to practice that but after a few years, Sir made some changes in this strategy and what are those changes, today Sir has discussed in our video. Sir has told how he does stock selection for his strategy, how does he plan entry and exit and how does he do the most important thing that is position sizing and what is the most interesting thing you know? Sir does not trade in futures and options and he only trades in equity. Why he does that he has shared in today's video, and you will also be very happy to hear this. Generally, we feel that only the one who trades in futures and options can earn good returns and the one who trades in equity cannot earn, so today in this video you will hear that you can earn good money by just trading in equity, by doing swing trading, so without wasting time, let's go to our today's podcast and I will make only one request to you guys that if you guys like today's podcast of ours, then do like and share it because your likes and your sharing motivate me to bring similar podcasts to you guys and if you guys have any comments, whatever your doubts are, you can ask in our comments. So, without wasting time, let's go to our podcast and let's understand the strategy in our podcast and see how sir work on it? Welcome Manas ji, how are you sir? I am absolutely fine, Vijay ji, thank you for having me on this podcast. It was going on from a long time, I mean, your message came a long time ago but it took time but it is good, we are doing it today. No problem sir, it was my personal interest for this podcast and it happens many a times, on the pretext of podcast, I meet people and I learn whatever I want to learn, so thank you sir for coming. It took some time but it doesn't matter, today we will learn your method from you very well. Absolutely. I'll try to share everything I know. Yes sir, I mean since when have you been in the market, If you could share your journey, that would be great because, to be honest, I don’t know much about your background. A video of yours came recently in Josh talks which I had heard, but I want to hear from you on our platform here sir. See I came in the market in 2006 as a sub broker And I was a sub broker for about 2-4 years, but the age in which I became a sub broker was very like early 20s that is 21-22 I did this for 3-4 years and for me it was a very monotonous job. And back then, online broking wasn’t a thing, meaning online account opening wasn’t available. Instead, we had to fill out physical forms—those thick 20-page forms with around 200 signatures. It was very monotonous for a 20 or 22-year-old to do this every day, and I wasn’t enjoying it. The fascinating part for me was that I was more interested in seeing how the stocks were moving. Why they go up and all that. Also, when I had been doing broking for three-four years, then I felt that I cannot do this life long and if I find it interesting, then I would learn how the stocks are going up, then I would also get an upper hand in it. Now you know how the stocks move, there is no upgrade in that job, you just open an account, the dealer punches your order, so that means there was no creativity for me, this was the reason for me to learn, let's learn, let's see how, and in those times youtube was a new thing. It wasn’t that popular back then, not as much as it is now when data is so cheap and freely available. But still, whatever I learned from YouTube videos randomly. In the first few years, there was a lot of randomness in learning as well. Bought anything, sold anything, did shorting, did a buy, did futures, and there was no clear path but yes at least I understood that I am enjoying it, meaning it is fun and it is better than the broking line. So my first few years I was in broking only but maybe from around 2011, maybe I started taking trades for myself. I have seen the crash of 2008 myself but I was not involved in that crash. As an I had no loss because I didn’t used to take much trades. But I saw the lower circuit, I saw the upper circuit. I have seen the market falling continuously for one and a half year of 2008 and then the biggest smooth rally that came from 2009 which lasted till 2010 end, which is considered to be the smoothest rally, nowadays, one of the smoothest rally, I have seen that so I have seen the upper circuit, which has happened after the election results in 2009, which happened only once till date. The market hardly ever hits an upper circuit. I’ve seen it happen only once. So, I have all these experiences and I have experience in broking line, how an accounts are opened and what are the technical terms, I saw all those things but yes, then I started my trading from 2011 but that was very randomness. Then I came to Mark Minervini's book, someone gave it to me and from there I got a direction because whatever I was doing, I was doing trend trading only, I had seen many videos and read a lot about trend trading in other books too but it was random as I said. So, when I read Mark Minervini's book, 'How to Trade like a Stock Market Wizard', I have recommended it many times because from this book, I was already doing 80% of thing whatever is in that book, but that 20% missing part that is risk management and as I said I used to trade random stocks, let's take Reliance, Maruti etc. but in that book, I understood the concept that if you have these small sizes according to the float, If you buy stocks, they have more velocity and more movement, so when I understood that logic, it also seemed logical to me that if there is less supply in the market, then the movement in them becomes rapid. And after going through that book and when I applied those principles fortunately my 1st trade after reading that book doubled in 4 weeks which didn't happened to me till today. Meaning till date I could have taken Reliance, Maruti that could have maximum rallied for 5-10% But that stock doubled. It is said right if the right thing happens at the right time, in the direction, then since then I have not looked towards the futures and today 99.99% I trade cash Could have taken 1 or 0.5 futures as it is a certain trade then I could have taken but I usually trade in cash, smallcap, midcap stocks. So in this case this is my journey from starting as a broker and finally coming to a cash market, smallcap stocks. So sir meaning you do not trade in futures at all? You trade only on midcap and small cap stock equity? Absolutely. I don't do futures. Wow, amazing that's very interesting. In options I just know what is Call and Put I don't know the heavy terminologies in it like Delta, etc. Sir, even I have not understood it till date and I feel that Sir, it is not necessary that you should know every strategy of options, you should know how to leverage futures, I also believe in this very much that if you know something then you should pay attention to it because it is possible that the option trader who is continuously selling according to the market, buying also, he is also doing a lot of things, he can also generate the same percentage of returns if you focus and work on your method, then maybe you too can get the same percentage of returns as him or maybe you can even do better than him. This is what I think. You follow any system, cash, futures, you need a framework, you need a discipline, this is the business of the discipline, discipline is an inherent part of trading system. If you don't have discipline then none of your systems will work and that discipline will be visible in the rest of your life too. If you are a good trader, you wake up on time, sleep on time in life and your diet will also be good in most of the cases, I mean all these things, discipline is also seen in your other aspects too. Sir, perhaps that is why more than 95% of traders are not successful, not profitable in the market. You just said, a trader, means this business is a business of discipline, then mostly human nature does not follow the discipline easily, very few people follow it, then this thing would probably be the main biggest reason behind it. Sir, then like you said that you read that book of Mark Minervini, after that you applied it in your trading, then it means obviously you, have you ever learned this thing from Mark Minervini at personal level? No, I did not take any personal training, I have learned from books itself So, obviously learning from a book is also a different way, to apply all these things properly because I can also understand that if we learn one thing, there are many sub layers within it that it will work in such a market only. This method won't work in such a market. How many years did it take you to understand all these things sir? It took many years and this is a good question. In this I would say that if you get a mentor early in your life then your learning curve becomes very small. A good mentor not any fraud type. A good mentor who is genuine. So in this market it takes time. Even with the mentor, it will still take you two to three years, without a mentor it may take you 10 years but maybe you don't even reach till 10 because you exhausted your capital in the first two years itself, then you will not even reach 10 but your learning curve becomes smaller with a mentor like if you are also doing body building then if you will hire a good trainer than your learning experience if he is a good trainer. Then your learning curve ends. So if you are in your 20s or it means if you are in the early part of your career and you want to make a career in this. If you don't want to spend much time on your own then a good mentor can do it for you. I have reached by hit and trial which took a lot of time. Today, if I ask for any wish, I wish I would have had a mentor at an early age it would not have taken so much time. Correct. Sir, I asked you this question because you said that you have been doing this trading since 2011. If you started doing in the right direction, then my career too as a sub-broker started 2011 Earlier, I used to work in Motilal Oswal, so what happened was that I first learned something, applied it, it used to work for six months, then again whenever it was a bad market or there was a change in the condition, then that method did not work, then I used to shift to another one, so I wasted three to four years in doing trial and error, after that, while doing trial and error, I came to know all these things doesn't work. And the thing that works will not work every time, so we have to hold on to that thing and when it's our time, then we have to trade, so I came to know all these things and I asked you this question because I also felt that maybe this must have happened with you too because when you are a self-learner, even if you study inspired by the book, but the person inside the book does not guide you with you, then you understand the market condition yourself. When cycles change, all these things happen, so sir, I am very interested in your hard work of so many years. If possible, you can explain to us in a short time, then any person or if someone is starting fresh, at least they'll know the right direction to move in. So sir, if you can tell your method, Then see as I said, I find for Trending Socks which is going up There is a concept in Mark Minervini's book that is Volatility Contraction, if you see their depth is gradually decreasing and finally here, above it's breakout above the high of this price they buy and this trade performed well. Then basically his concept is that Volatility is contracting. Here Volatility is of 20% the stock came down 20%, here it is little less 17.7 and here it has become 9%, it is very major drop, so this concept is the fundamental concept, so I have not changed anything but my way of looking at volatility is something else too that it is like it is a 7% bar. You see 7.5% and the next bar is only this much 2.36% so these is also volatility contraction, one day the stock was 7% volatile, the next day it was only 2%, this is the massive difference, if we calculate between two and seven, there is a drop of around 70% in this in volatility so fundamental is the same, but I did not just keep the way of looking at it like this, I also saw that if such a small bar is being formed in a stock, volatility contract happened Like it is in the wide move, it is making huge bars and then after that it becomes small so this is how I look at it so if I have to buy a stock then it would be in an uptrend like this, clearly, this is a 20 moving average line, you can plot, it doesn't matter simple EMA etc, don't get into it, it doesn't matter you apply a simple moving average and my idea is to keep the whole method simple. So wherever simplicity can come, I try to follow the same, nothing else will be visible on my chart, a price and the volume below and this moving average, so it should be in an up trend. I will draw and show you that what I trade. This setup should look like this. First there should be an up trend and then a correction should come. Then take that correction. Let the stock correct and then it should resume the uptrend, follow the same direction and we get involved somewhere here and after buying our desired quantity then we hope that from here the stock will go like this. Again this will happen not every time but this is what we get we try to get involved somewhere here so if I see this same stock, this is up trend and then let the stock drop because no stock goes up without correction because everyone in this market not all are long term investor, there are some traders also, there are some short term traders also, so they book their profit, then because of this, the stock comes down, then it came down and then after that when it starts resuming the uptrend Now, some will say that where will you get involved? Then it's here, even here We don't know if I hide this area, then this is a pattern which I drew. So we get involved somewhere here. And this answers your question What type of stocks you buy. First question is which stocks to buy so this is it. Now the next question will come that how to scan? Now again in this also I see that people make it so complicated that which scan to run and which scan will be good, any scan for example, you run a three month report scan to see how much percent the stock is up in three months, try to get it 30 to 20%, like today's market is very bad in this, if you can see this force even at 20-25%, like if I show you for this then it is up by 105% from June to August, then in two and a half months, it is up by 105%, then such stocks are needed which have the force of at least 20-25% and then it corrects, let them come down below the 20 moving average and then as soon as they come again around 20, like this is very low of 20 now they come back around 20 then we get involved somewhere here. So this answers question to what type of stocks to buy then the next question is when do you actually buy them like what is the entry criteria or what is the exact time you buy it. So for that if I can show some of my trades like I usually posts my trades immediately on Twitter, then some trades or as many trades I will discuss this is already there in Twitter. This is my trade of Zentec which I had taken last year and it is also publicly posted so if you see this period, let me hide it from here this stock was in uptrend and correction came and one of the reasons for giving priority to Zentech was that this stock has seen such a rise before from Rs 80 to Rs 227 in only matter of 10-15 days. So this is the powerful beast I would. As I said I work in small stocks in which such moves can come. I knew that it works like this, so it was in my priority. Then when this day came in this, now I have just calculated it and shown it to you. It had a volatility of 6%, it became 2.7% here, so it is clear and this tight, you do not have to get lost in this numbers. It is even visible it has become a small day and is in an uptrend and as I said, the correction is over, then again it is resumed, it's above 20, above this when tide was formed then now it is my contender for tomorrow, that means I will not buy as soon as I wake up in the morning, but this like I shortlist four to five names for the next day and then I wait for the entry trigger, which I'll explain how it will happen, I have selected it in the list for the next day. Now the next day, the entry criteria I follow is SS Strong Start what we have read in books usually like even Mark Minervini book which I am telling you, if there is a break out, then it will definitely be above it i.e. buy above 240 or someone else will follow the box break out, then he will buy above it, I have already bought a lot inside the base before that, so now in the next day, I want strong start. What does strong start mean that this is today's closing price, there should be an opening above this and the next day's low should not come in this area like for example this is the area, there should be an opening inside it so this the next day opened gap up. this gap up opening happened and the low is that much, if you see this closing was 212.70 and the low is 212.50 now this is much is alright in fact even half percent is alright but the idea, the logic is the stock opened very strong, it sellers tried to bring it down but they could not even go and breach the previous day closing price and immediately buyers came in reverse the price and cross the previous day high. This is what is strong start. Now how will you define it? The market opens at 9:15 AM, so all you have to do for the first three-four minutes is see the gap up opening, then you will see it at 9:15 itself, because from the first price you will know where it will be, wait for 3-4 minutes. After the wait of 3-4 minutes, if that stock, there is RVol indicator, it is called relative volume. Here it is RVol, this will be freely available in indicators If in the first three minutes, then this gap up opening is seen, this is your first criterion. This should be there and low should not go inside the low of the previous day. Till 9:18, you will also see the low. Some low must have been formed in the stock in the first 3 minutes. You do not need to go into its intraday in that first three minutes of price action. Many people make the mistake of sitting by opening the intraday chart. You can also see in the daily that the low made is not going into the previous day's territory till 9:18. This is your second criterion, the third criterion is the most important. If along with these two, the relative volume has come to 7-8% till 9:18, that is, in the first three minutes there has been so much volume that even if you do a projection, till the closing time till 3:30, the volume will be much more than the average, that means it is a strong start. Back buy strong volume, then I buy the stock at the market price. At 9:18 whatever will be the price I will enter the trade at that by placing a market order and if you also want to place a limit order, then you can place a limit order above the high of this previous day. And this was the answer for when to buy the stock. So that's why as I told you, I selected four stocks for the next day. Out of those four, in which such price action will come, I will buy that. On 15th February Zentech had a gap up and there was a strong start and there was also Relative volume and on top of that I bought it around Rs 215 or so and then that's how I bought Zentech. So this answers your when to buy the stock. Now after this the most tricky thing is that where to sell the stock? Now as I said this is tricky, for buying I gave you simple rules that there will be a gap up. It should not be low and there should be R volume, there are three criteria, if it is there then buy the stock but in selling, I can give you rules but as you said in the beginning, every condition is different, in some market conditions they will work and in some they will not, then you will think that what is this it worked in this trade, it will not work in the next trade, then in selling you have to follow some guidelines and on the basis of those guidelines, you try to get maximum money out of the move, you are going to get company anytime, you will get rarely but don't even try that. If you try to sell as much as you can, then first of all you have to understand that in swing trading, there is a limit to the stock to move. Limit means that before, like this movement came, this is the base, from here it is the high of the base, from here the stock the stock goes on an average from 40 to 60%. Even 60%, I am telling you in a strong bull market and on an average it goes up to 40%, then your first sell rule is that if you have bought this stock and it has already reached the upper range then you need to start taking profit, like I'll show you this, if you calculate this, Then finally the correction has come and see this is 53%, so this is a limit of swing trading, after 53%, your stock most likely 90% of the time it will start correcting and will spend, make a base and again it will start a new journey, so see after 50% it corrected around 18-19% and then it started then first guideline is you need to know up side is around 50% so if you bought a stock and it is already up at 40% then now you should try to book it as much as possible you will not always get 50%, it is possible that at 40% you may exit and in some days it will be 45% also, that's alright but it is also possible that you booked 40% and next time it gets corrected back to 20% and you will feel that I have taken the right exit, so this is your first guideline. Second you can also see how smoothly it goes up. Normal if it is going in such an angle basically angle of ascent, if the stock is going slowly like this then you just trail and how do you trail it? Again do not make it complicated. You can also trail with 10 moving average. You can also trail with 20. Both have their own advantages and disadvantages. If you do it with 20 moving average, you are giving more room to the stock and the disadvantage is that you are taking more risk. In 10, the benefit is you are taking less risk but then you are also giving less room to the stock. You can hit stop loss your stock sooner than you can get out early in a good stock. Then everything has its pros and cons. You have to settle down with what you are really happy with. So this is it. Let me show you in one trade. I took the e-pack. It's already marked and this was also the same concept. A same setup, the stock up and goes down and resumes the uptrend, comes back above 20 and see this inside bar is very small, the same volatility contraction inside bar, this completely inside and looks smaller than this also, so I put this stock in the watch list for the next day and for example, let's say I put five stocks, then if I see a strong start in any of them and there is R volume, I will take the trigger in it, then the next day I Such an opening happened next day. There was a clear gap up and the low did not even touch it and crossed it on this day and the volume was also good on this day, you see, already it is better than the rest. Now after taking it but it did not move slowly like Zentech, in 5 day itself it gave back back fast move. So I am showing this example because this is the case in which the angle was so steep, it is a parabolic move, of course, in this you have to keep in mind that this angle is vertical almost. So in this case it does not make any sense for you to trail. If it is at Rs 380 and I will trail from Rs 295, then see how big is your open trade risk and you do not get much up side. So in such cases, basically this is an example where you do not need to trail it, you book your profit and if you see the stock which is 58% and it only performed for 10- 12 days and this is what I told you that there is a limit to swing trading that you cannot get more than this at a time, after that the stock corrects itself. In this you would have hit your stop loss, if you are trailing from 20, then you have not only saved money, you have also saved 8- 10 days in which you could have invested this money somewhere else, so this is my trading style. Sir, I have some questions in this, let me ask you, we have the screen, so first of all, sir. So, as you have explained a very simple method of stock selection, we have to select such stocks which have moved 30-40% in the last 1-2 weeks, right? Not two weeks but even in three months, if it is 30-40% in the last three months. Okay, then by putting this condition in the screener, this will be our stock selection. After that, I have to keep scanning all the stocks and I have to wait for my setup to be made. Now sir, I have a little confusion about the entry because first of all, why are we using 20 simple moving average, if you can tell me that? 20 moving average, it is for trend identification. In fact I have had so much practice and experience I don't need this line. I can tell by looking, like if I even hide it I know this trend is now in uptrend and it has been corrected and now it has become tight, I would have taken it here but a new person may not get used to this in the beginning then for them they can get help from a line. They can see it visually by looking from a distance. Even if I am that far away, I can tell by looking from the line that it is in up trend and now the stock is around 20 and see how tight it has become. It helps in the initial days. Later, when you become experienced, plain price chart and plain volume is enough. So sir, basically our entry should be above 20 moving average, the candle consolidation we have for that we look generally and for a trend identification. If you are completely new and are starting then you just try to take above this you can take around it with some experience but it is best if you are starting then price correction, let the price correct and then let it come up, after that if around 20 you see such small days then it is the best setup. And sir, what are those purple dots on your charts that you have told now a little while ago? This is basically that any stock in a day up or down by 5% on a 5 lakh volume then it shows the purple dot. Now why this? Like I told you that I have to work in small cap stocks which have fast moves, that is why I had stopped doing futures. Now what used to happen earlier, I had to go and check the market cap of each one, whether it is small or big what does this tell us that this stock is fast moving, see how many purple dots is there, it repeatedly gives a move of 5% and it is also liquid, it repeatedly gives the move of 5 lakh on shares, so now I do not need to see whether it is slow moving or fast moving, I can tell by looking at it, from the purple dots the more dots, it means that it is very fast moving. For example, if I go in Reliance then in that, you have one and these two, it is only somewhere in this it is nowhere, when this is the last stock. Yes, then this doesn't give such movement. 5% doesn't apply in it. Only one is there. And in Zentec I showed you It has so many. So basically if you don't want to spend too much time checking market cap then add this dot you will get to know whether this is a moving stock or not. Correct and Sir, just like you told me that you do not trade in futures, you trade in equity, so now the biggest question that comes is that suppose, I applied these conditions a day before and filtered out some stocks, after that 20-25 stocks came, out of which two or three trades were such which are very close and now maybe they can be active in a day or two and when trades come to me and suppose my capital is Rs 10 lakh, then on what basis should I take position sizing in it? See, I will start by giving you the guideline, you start first, invest 7-10% of your money in it and after that, so what I try to go up to 25% in one stock, but I do not take 25% in a day. Took 7-10% and then after 2-3 days, several entries are received again and again as e-pack, it ran up, I bought it and from the very first time it went up 58% this is the entry shown. In this cases I will not be able to get allocation 25% because I am not taking 25% at one go. The advantage of taking 25% at one go is that you will get good profits in these cases but the disadvantage is that if you are putting 25 straight then you are taking a lot of risk. What am I doing, I am breaking it in two-three days, I am at a loss in this situation but where I will get multiple trades, like I had a trade here, suppose I put something around 10% and it moved suddenly but this move is not a move of 50% but it is just of 15%, so now I have not booked anything, after a few days I got an entry here too, so 10% here, 10% here, my allocation is 20%. And it has gone up at a normal angle, it has not gone up like an e-pack, so now I have got allocation of 20% and the stock is up at 50%, so I will make good money in this and the advantage of spreading it in two days is that the stock has fought the market for 10-15 days. Of course, this stock has also shown strength. And the second advantage is that when you enter this here, you will increase its stop loss, then in a way this is free for you so you did not put any extra risk on your portfolio and your allocation also got doubled so basically this is a free entry, I added the new 10% without putting any stress on the portfolio, so its the benefit. In that case I was investing 25% directly, in e-pack it would have made good money but in other cases I am taking a lot of risk, so like I said, everything has one advantage and disadvantage, I like this better, in this I am taking less risk. Now I have increased the stop loss to here, so now I have this free entry. Mentally, I am free that if there is a loss, then it should be only on this and in this case it didn't happen there was direct profit, then this is how I scale the position size. In the profit booking also, I scale out 10%, then 5%, then finally 5%, like that. Correct and sir, perhaps we have missed the stop loss part, so whenever we take an entry, where is the stop loss? What would be a good area where we should set it? See, what was the concept of strong start that the stock opened so strong that it did not even enter the territory of the previous day, that was the closing price, did not even enter it, so we are basically taking entry on bullish behavior, then where should be the stop? Where that bullish behavior gets negated, basically that day's low if I take it or the closing price of the previous day which I am assuming that I should not have made this entry, if I should put it there and if the stock comes back, actually it means that the strong start that came has fizzled out and I have no reason to enter in it, so if I take a stop, then I can also take in a day low and if I want to give a little wider, then I will take it a little below the closing area of ​​the previous day, remove a magnet, somewhere here, then basically it gets triggered, then it is strong start is no longer valid then there is no reason for me to remain in that stock so if I talk in percentage then stop has come in this case at 2.23% of the red line i.e. if I took at Rs 100 then there is a stop of some 97.5-97.6 and and if you get this move then you calculate your R multiple, 49% with a stop of under 3%. Correct this is a very good risk to reward system sir and I mean, it seems very interesting, now you are able to explain it so easily and the reason you are able to explain it so easily is because you have been following this system for many years and now you are using it in a way. You have got the grip but I will have to practice a little but I really liked the concept of this system that we are buying where the strength was already there, the stock may be cooling down little and as it is starting its second journey back, we are trying to enter there, right. So this concept is better. Let me add one small thing to it, initially everyone will feel that the stop at 2% is very close, it will be triggered and it is absolutely correct, it happens. That's why I would advise if you are new then do not start with just 2% stop because I am taking it at 2%. Seeing me, many people take it at 2%, later they say that I hit the stop loss. I was at that level, I started at 8%. If anyone checks my old one, I used to take it at 8% first. Then I cut it down and got confidence. I brought it at 6%, then brought it at 4%, then finally today I am at 2%. I also worked on the stock at half percent. But it took me time to reach there, so if you are a beginner then do not start with 2% but start with 5-6%, take 50 trades, out of 50 trades, you study whether it is working or not, then next month you do 4% at 50, slowly you will come to 2%and then you will come to know that there are stop loss in 2% but one NCC, one Zentech, one e-pack, we get it helps you recover everything and you are green for the entire month. Right and Sir, I too am a broker so, I am getting a question regarding this thing that as we do swing trade in equity, this must have happened to you many times that you took a trade today and maybe tomorrow you have to exit a little percentage. Suppose it heads at 20%, then at that time, when we sell, have you ever had that issue of delivery shortage? Sometimes it happens, it happens once in a 1000, absolutely it happens but the thing that is happening once in 1000 is that I think is worth taking the risk. I have been doing it for years and have been doing it publicly. If it had been happening again and again to me, I would have left this trading style. I will explain to you in that also, if you sold the share the next day and it is not delivered to you, then first the penalty is imposed on the person who did not give it to you and that penalty is passed on to you, then you get the penalty because you also sold it, then basically. Net net it's benefit comes to you and you get the benefit, if you face penalty then only a small sum comes out, so that happening once in 1000 is also a very small risk, so I do it and I have not had any problem with such a major something. Anyway, you will partially book, the second day, you will not book completely If there is a stop loss, no, if there is a stop loss, then I'll have to exit completely the next day but still this is not such a risk that cannot be taken. People are taking bigger risks then that, they do not even close the trade with stop loss and the stocks remains. I think there is no bigger risk than that, what you are saying is the risk of gap down. I had also tweeted about this two-three days ago that we are afraid but we are afraid of the wrong thing, for which we should be afraid that is working without stop loss and holding it. This happens but it does not happen so much that you can't work in this, risk. Correct sir, I really enjoyed talking with you. And I sir, I mean, let me tell you the truth, I was following your Twitter since long And when you say that you tweet whenever you take a position, I used to try analyzing the stocks you picked many times that what would be the reason if Manas ji has taken entry here, I mean, many times it used to happen that sometimes I would meet you and sometimes I would ask you, yes Manas bhai, how did you do this, how did you do that, so today's session was very interesting for me personally and I enjoyed it very much and Sir, now there is a question which is not related to our trading system but is related to our psychology, so what do you say about it, Sir, what are the things that any trader should pay attention to when he trades or whether he is coming to the stock market for trading or investing, then psychologically, what do you think, as you say, Bro tip You do a lot in your Twitter. So what is any such tips which you would like to give it to a beginner trader or investor? First of all, change your objective in the first year you cannot earn money, this is a hard fact, then your objective in the first year should be to remain here till the end of the year with around the same capital. It does not matter if your capital is a little lower but if it is still around, then you are fine. So, your trading objective in the first year should be to learn and survive and not earn. So basically change your objecting from earning to learning. That one year will be your learning. You remember again and again that even if I will make a loss today it's okay it's a learning for me. Then after that you will learn so much in that learning. There are some such insights hidden in that learning, if you have a good mentor, in that learning, all your trades are written, after that there is so much in that learning in one year that you do not need to read any external book, the best book is your trading journal, in it you come to know that this trade is performing well this is my setup, it is perfect, I will improvise on this, then you make the base on that foundation, then you get better for one more year, then gradually you understand that I can do it, then anyone initially thinks that my capital is very small, how can I become a rich man and all that, first year you just learn, after 1-2 years, you will have such confidence that somehow you will attract money and then find out how to do this business, my journey was like this, this would be my advice. Awesome, Sir, thank you, thank you Manas ji, you told us this complete system of yours so well and I would also suggest everyone that look, we have 50-60 minutes within that, if any person tells you the system of his whole life that is impossible, but whatever Manas ji has shared in today's video, this is basically his experience of so many years, he has tried to explain it to you and our intention is not that look, this is the system of Manas ji, you trade it by copy pasting it, I generally do such videos. The intention of making it is that look, there is a man who is trading successfully and what is his story and what is his method you see it, now it may also happen that your method is different but at least you should understand that every successful trader has a process, he follows some discipline and after many years of hard work, today he is standing in front of you and saying all these things. So thank you Manas ji for visiting our channel. And I have made many such podcasts sir but this is my personal favorite and I wish that someday we meet in person and we make a video again. Thank you sir, you came for this and today is Sunday, let me tell you who is watching. So, we are making this video on Sunday, then yes, if you guys like this video then do like and share it and Sir can add your Twitter handle in Description? Absolutely and if you want to add the purple dot indicator then that is also available in the youtube You can add it's link also. It's not that it is hidden or something. Yes and sir's has a youtube channel too, Sir, doesn't speaks about it but I have watched Sir's channel, very few videos are posted on there, but I feel that if you go and listen to those videos, you will get more insights because Sir has told many things there. I have watched it, so thank you sir, and how did you like it, Sir, by sharing this with us today? I felt good experience, I mean I don't do this things a lot but when I do it, it is good fun in teaching. Right, it's awesome sir. As much as I could teach in this video, I have shared. There are many ways, but broadly, this is the main method. So, this is what I do, and Thank you for calling me and I really enjoyed it. Yes sir, Thank you very much and if you have not subscribed to our channel then do subscribe. Thank you Manas ji. Thank you very much sir. Thank you Vijay ji. [Music]