ASX Momentum Trade Book - Part 2

[curiousguy]

Trading update: New trade

APX: Bought today's BO-NH at 4.82, iSL 4.40.

Lots to choose from today. Missed A2M and had to choose between ALU and APX.
I'm going to be using more price targets to increase the frequency of trades.

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I know that this is an old post but have you noticed that A2M and ALU have exactly the same graphs?

 

[curiousguy]

FBU: After the initial aggressive reversal trade ended successfully, I was going to outline what I'd need to see for the next trade in FBU. There were two scenarios, a shallow pull-back or a deeper pull-back and I marked a chart showing both possibilities. I didn't post the chart as the thread was ending. The weekly chart shows a very bullish bar. One of many I've noticed this week.

MND: This trade was closed for small loss when price came back to 18.00. The PB turned into a very deep abc corrective pattern. The PB was too deep for me to consider a re-entry. Price has boomed off support over the past three days making a bullish outside reversal bar on the weekly chart.

I'm pleased that you've found a few good bits. My trading beliefs and therefore trading plans are created with ideas that I accumulated from a variety of sources. It took time and a lot of ongoing modification to end up with something simple and robust that works for me.

If your passion is genuine then you'll keep going until you have something that you can use consistently.

I've only just come across this forum thread. It is very interesting. I'm going to go over it as an example of how decision making takes place. I don't understand half the terms used, but am eager to learn. Morgan Stanley recently released a report identifying momentum trading as being more successful than the value, growth, dividend et al approaches. But this seemed to primarily apply to Australia, with Japan being exactly the opposite. I made a lot of money last year adopting the momemtum philosophy, but concentrating on those shares that have a good record of consistency over long periods ALU, A2M, APX, CSL et al. However, the first half of this year has produced only a neutral result. The mentioned shares went up, but i also diverged into more speculative ones that seem to have eroded my profits. This thread seems to concentrate on small clues as to when to buy or sell. I'm interested but not too sure if guesswork on a micro is really successful. However, I'm always willing to investigate new ways. Looking forward to reading any replies to this reply. I really appreciate the efforts Peter made to keep this thread going for such a long time. I am also impressed with the technical talk that went on (rather than the speculative guessing that goes on in some of the other threads). This thread is solid gold. I'm looking forward to trying to understand it.

 

[IFocus]

I've only just come across this forum thread. It is very interesting. I'm going to go over it as an example of how decision making takes place. I don't understand half the terms used, but am eager to learn. Morgan Stanley recently released a report identifying momentum trading as being more successful than the value, growth, dividend et al approaches. But this seemed to primarily apply to Australia, with Japan being exactly the opposite. I made a lot of money last year adopting the momemtum philosophy, but concentrating on those shares that have a good record of consistency over long periods ALU, A2M, APX, CSL et al. However, the first half of this year has produced only a neutral result. The mentioned shares went up, but i also diverged into more speculative ones that seem to have eroded my profits. This thread seems to concentrate on small clues as to when to buy or sell. I'm interested but not too sure if guesswork on a micro is really successful. However, I'm always willing to investigate new ways. Looking forward to reading any replies to this reply. I really appreciate the efforts Peter made to keep this thread going for such a long time. I am also impressed with the technical talk that went on (rather than the speculative guessing that goes on in some of the other threads). This thread is solid gold. I'm looking forward to trying to understand it.

I haven't traded for about 8 years but hope to re-enter the market later this year time permitting. I started taking positions in 86 remember TechA on trading forums before dinosaurs were born (what was that forum call John?). I took a long time to profits but my methods were really similar to Peters.

Peter is pretty much in a league of his own as far as posting his progress / integrity and success over time.

Take time to read through there are a couple of themes that are gold one is trading to the market conditions.

 

[debtfree]

@curiousguy yes the thread is a beauty. There was one thread before it, if you follow the link it should take you to it.

https://www.aussiestockforums.com/threads/pavilion103s-live-asx-momentum-setup-trading-thread.29536/

There is another one that followed this one called 'P2 Momentum Trade Book - Part 3' in the Private ASF Members Forum

I'm sure all of it will keep you busy for a while and yes I agree with you, it is solid gold.

All the best ... Debtfree

 

[thydzik]

EOW 132 update: ASX Momentum Portfolio +71% (85% invested in 6 trades)
Benchmark index: SPAX2F15 (Incl. divs and f credits) +9.5% (past 132 wks)

This weeks sells: nil
This weeks buys: nil

The index finished the week a little lower, but our porfolio finished higher and a new equity high. This time it was our trade in ALQ that pushed the value up. The TS's on EPD and ALQ have been raised and this reduction in downside exposure allows us to start another trade next week.

We'll be looking for another small/mid cap as the XSO and XEC are going up.

Outlook: WD DD. Remains bearish as the index stays within this range (copied this from last weeks post).
I hope you can see the benefits of a portfolio (or trade book). Last week it was CLQ that gave us a gain. This week it was ALQ. Next week, who knows, but we've got six trades open and it'll only take one of them to move higher to boost our performance.

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What is your source for SPAX2F15? Are you able to share the 20 year history or change.

 

[peter2]

SPAX2F15 was an index published by Financial Times

Looking at my old link it seems that this index is no longer updated or requires a subscription.

I use the XNT index on the ASX as a benchmark now.