IIMK x PropaTrade Workshop Quiz

A trader enters a trade, then credible new information changes the probabilities. What should they do?

• Stick to the original trade
• Double the position to prove the original idea
• Re-evaluate the odds and be willing to exit or reverse if the odds have clearly shifted
• Ignore the new information to avoid confusion

SEBI data shows that ~93% of F&O traders lose money. What is the most practical way to use this fact before you start trading derivatives?

• Assume markets are rigged and nothing matters
• Decide you will be in the 7% because you are a better trader
• Design a clear, testable process (strategy + risk rules) that consciously separates you from the typical retail behaviour
• Trade as often as possible to 'outrun' the stats

If markets were truly 50–50 on every trade and everyone risked the same fraction of capital, over time approximately half of traders would be consistently profitable.

• True
• False

A trader risks 10% of their account per trade because “my win rate is high.” What makes this a dangerous thought process?

• The geometric increase in % profit required to recover from large losses
• Fibonacci retracements
• The mental and emotional factor is detrimental
• Fundamental analysis is missing

You lose 40% of your capital in a bad trading phase. Roughly how much percentage gain do you now need to get back to breakeven?

• 0.3333
• 0.667
• 0.8
• 1

You have a ₹10,00,000 account and decide to risk 1% per trade with a 100-point stop on BankNifty futures, lot size 35. Calculate your lot size to stay within the 1% rule.

• 2 lots
• 3 lots
• 4 lots
• 5 lots

You are trading a prop firm account with max daily loss = 5%. You plan to risk 1.5% per trade. Assuming you hit full stop on each, what is the maximum number of such losing trades you can take in a day without breaching the daily limit?

• 2 trades
• 3 trades
• 4 trades
• 5 trades

You risk ₹5,000 on a trade and target ₹15,000 profit. What is your reward:risk ratio?

• 01:01:00
• 1.5:1
• 02:01:00
• 03:01:00

(Scenario: Intraday) You are long Nifty with 1% risk. Price moves 70% of the way to your target, then stalls near a known resistance and shows clear rejection candles. Which response best reflects a process-driven trader?

• Close the trade in panic
• Ignore all new info and hope for target
• Move stop further away to give room
• Follow pre-defined rules: maybe trail stop/partial book/exit based on price action and risk–reward already achieved

(Scenario) You take four consecutive losing trades, each within your 1% risk rule. What is the best response according to the 3Ms thinking?

• Double position size to recover quickly
• Stop trading for the day/session, review your method and execution, then resume with your risk rules intact
• Delete your trading plan and start over with a new indicator
• Assume markets are out to get you personally
• Look for a new strategy or a new indicator for a better analysis