Monday, 27 June 2016


Here we are going to select Crude Oil as a trading scrips.
Crude Oil and its lot size.

Crude oil has a lot size of 100. That means every single change in rate will give Profit/Loss of Rs.100 .
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1. 
How many lots we can trade in Rs.50,000 ? 
As 1 lot of crude is available in 15000, we can take 3 lots.
Rs.15000 x 3 Lots = Rs. 45000 (investment)

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Now we have 20 trading days in a month. That means we need to make Rs.3000 a day to make Rs.60000 at the end of the month.
20 Days x Rs.3000 = Rs.60000 (At the end of Month)

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How to make Rs.3000 a day?

We have 3 lots, that means we need 30 points to make Rs. 3000.
As we have 3 lots to work on, we need only 10 points to make Rs. 3000.
If it seems difficult to get 10 points in a single trade. Then take 5+5points in 2 trades.
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Now say, is it easy or difficult to get 5 points movement in Crude Oil in a trade.
Scroll down and see the crude oil chart given above and judge how many points the software is generating in a single trade.
Seen! ! ! Yes, sometimes a single trade is giving even more than 40 points.

Conclusion:
  1. Everyday 2 trades = 5 + 5 points= 10 points.
  2. 10 points with 3 lots trading= 30 points.
  3. 30 points x 100 lot size= Rs.3000/Day
  4. Rs.3000 x 20 trading days = Rs.60000/ Month
However we have calculated on the basis of only 10 points a day. You can even get more than 40 points in Crude Oil/day.

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