When you trade in this call(In any of my chart pattern calls), Trade with a hedge of an option.
For More Risk Lovers, go with the Future price and have a Target of 1% for Intraday and 3%-5% for Delivery.
For Minimum Risk lovers, go with the Future Price and Hedge an option with one Strike Price Less or Higher than the LTP. That is, if a chart tell us to Buy a stock @ 295, then hedge with a Put option. Here we will have 290, 280, 270...... etc as Put options. So, here go with 280 Put Option.
For Complete Risk lovers, can hedge 290 or 300 Put option.
Same applies for Shorting a script. Vice versa after shorting a script hedge a call option.
Targers are same. If you hedge, you can take a risk for 3% Target.
When a Target hit on future, just immediately exit from option even. Whatever, you will surely be in profit. Dont take risk on that.
When a Stoploss get trigger, just close the future trade and keep the option open. Wait for another 50% option price to get profit, then close the trade(Don't take risk more than 50%) "1.Suppose you have shorted a future @ 495 with a hedge of 510 put(Put may be around Rs.10) 2.Now, the price got reversed and hit the Stoploss which is around 503 where the future's loss would be Rs.8. But, Put would have moved to around Rs.13-14. 3.Here, just close the Futures(Since it had hit SL) and let the option be open. 4.Since the price got reversed, there will be another sharp movement on that specific direction which leads the option to gain some more profit. 5.Definitely the option would gain another 50% of the price from the future's StopLoss. Then, close the Trade
Like this, you can Hedge almost 75% of your amount in trading.
This is my trading style and this is how most of the FIIs and Mutual Fund Firms do. But, need to have some good margin. Some times, I had hedged almost 100% even and came with no loss(In above of all my calls). It depends on market. Just wanted to share with you all.
Trading, Risking and Money are all yours. Profit or loss. Its all yours. Dont follow Blindly. Have personal decisison.