A crash course in Day Trading!

A young farmer went to city to learn futures trading in wheat.

But there, he saw everyone day trading.

"Who knows what will happen overnight? Day trading is better." he heard.

"One bird in hand (intraday profits) is worth two, even 10 in the bush (swing trading or investing)" someone said.

"Only day trading can ensure sound sleep at the night irrespective of what is happening in Europe or US in the meantime!" he overheard.

"If all of them are doing day trading it must be the better thing!" he thought.

So he decided to learn day trading instead of futures swing trading his father had asked him to.

"I will surprise my father when I go back. He will be pleased." he thought!

For the next 5 days he learnt the "smart tactics" from the pit traders in the fish market terminal room.

On Saturday he went home with his neck held high!

"My entire village should be proud of me" he was sure!

When he reached home he found that his father had gone to his relatives in adjacent village for 2 days!

"I have 2 days to show results!" he thought.

Next morning he went to his fields.

Small wheat shoots had come out of the seeds planted a few weeks back.

The sun was shining and the sky was clear!

A good crop was on the cards.

He then went to his friend's house and had a nice time for the rest of the day.

Next morning when he woke up, he saw the sky overcast....

Dark thick clouds everywhere.

He checked weather forecast on TV.

"Severe Thunderstorms!!!" they announced.

He went to his fields.

It started to drizzle.

Clouds roared in the sky above.

Lightening flashed.

It was all too scary!

"Bearish signal!" his trained trader mind whispered!

"This is going to destroy the crop"

"I must prematurely book whatsoever crop profit I am getting. Greed of any more profit may leave our family with nothing."

He went to the garage, took out his combine harvester and razed the half baked crop in just half an hour.

He was happy at his trading skills!

"Now I am assured of good night's sleep despite whatever happens in US or Europe overnight!" he proudly said to himself.

"...a bird in hand is worth 10 in the bush!" he was reminded!

He went home and found that his dad had returned home as well.

He proudly narrated his "achievement"!

"I am proud of you my son!" his dad said.

"With your day trading skills, you have surely harvested enough food for our cattle for the rest of the season! Now take me to the city tomorrow morning to learn day trading. For I have no other way left to feed my family after your achievement!"

The son was shocked!!!

He remained silent for what seemed like ages!

He realised his foolhardiness!

He went out and saw the clouds receding!

The lightening had stopped flashing.

The drizzling had stopped.

"My son! Never worry about Clouds whether in market or fields. Never worry about lightening. There will be many every other day! Never worry about thuderstorms. Never worry about what they predict in the forecast on TV. If you have faith in the crop, wait patiently! The sky is not falling and neither is the world going to end tonight whether here in India or Europe or US! This is what I learn from my father - your grandfather, and this is what he had learnt from his father!"