Mitesh Patel was brought up in a village in Mahisagar District in Gujarat, some 120 km from Vadodara, which is where he completed his schooling. After completing degree Chemical Engineering, he joined GSFC, Vadodara, and later Saurashtra Chemicals in Surat.
It was in Surat, in 2005, that he was first introduced to the stock markets. One of his colleagues were dabbling in the markets and being around them, he started developing an interest in it.
Worst Experience: In 2009 he shorted Reliance at Rs 1,200 and covering it at Rs 1,600. Jindal Steel was the other stock where he incurred huge losses by trading on the opposite side of the move.He also searched the internet and came across an e-book titled New Day-Trading Tips.
The broker through whom he traded told him that his boss always said that money is made by selling options, that got him looking for opportunities in options selling. Since then started exploring selling options, he started looking at the Nifty option chain. In one particular month in 2013-14, he noticed that the Nifty moved in a range of 100 points and that the options around the strike price all lost value slowly and came to zero.
What advice would you like to give to a new trader?
- A trader needs to learn technical analysis and understand market behaviour. Rather than copying others style, a trader needs to have his strategy and style.
- He should follow 1-2 patterns or indicators rather than jumping around from one to another.
- Apart from knowledge, what is needed is capital. It would be a long journey to financial freedom if you enter the market with limited capital.
Watch the Video: Specially watch the lines said at 21 min