ASX Stock Pairs Trade Journal

[nkny]

HI Pairs, curious if you have any plans to ad other real time services or even the ability to partner with a broker like IB for quotes.

Thanks

NK

 

[samgribbles]

PT: can you pls provide brief critical comment on AIX/MAP as a trade (using your software)

Thanks

 

[Charlie Whiskey]

Hi PT, I registered on the forum just to follow this thread. This strategy sounds very promising and I'll be doing my research over the next few weeks. Looking forward to try out Pairtrade Finder but in the mean time I've the following questions if you don't mind:

As a vanilla investor I've had no exposure to shorting. My question is, are your short positions held as simple short positions with a broker or are you using any derivative instruments?

Another newbie question - in your experience, how quickly do you have to respond to the close position signal to make this strategy work? I can check the market 3 times a day but really can't be on standby all day long so if that's what required then I guess this profit is not for my pocket.

Suggestion here though - any chance that you can adapt the software to run on a server at home which sends a signal to an app on an iPhone over the internet which then sounds the alarm? Further suggestion - a "heart beat" mechanism to make sure the link is up.

 

[Pairs Trader]

Closed trade for nice profits

Sold PPT @ 27.85 (10.12% profit)
Covered AMP @ 4.79 (3.01% loss)

 

[Pairs Trader]

closed trade for nice profits

Sold WOR @ 23.78 (10.14% profit)
Covered WES @ 23.69 (2.82% loss)

 

[bochman]

Good one, PT.

Have been following, but not necessary getting in.
Keep up the good work

 

[Pairs Trader]

closed trade for small loss

Sold EQN @ 2.65 (1.88% loss)
Covered OMH @ 1.39 (0.72% loss)

 

[Pairs Trader]

NK, yes we are always looking at other data providers besides yahoo and IQfeed, there is the possibility for IB in the near future and a few others, will keep you all informed.

Sam, there isn't any recent data on AIX (unusual for yahoo i know) available, so no analysis to do.

Charlie, yes just plain normal short positions, no derivatives, and yes you don't have to watch the software all day, we have audio alerts, email and twitter alerts, you can receive your signals straight to your mobile phone, so you can trade anywhere, anytime.

 

[Pairs Trader]

New trade

Long ABB @ 9.04
Short CSR @ 1.76

 

[Charlie Whiskey]

PT, thanks for your reply.

closed trade for small loss

Sold EQN @ 2.65 (1.88% loss)
Covered OMH @ 1.39 (0.72% loss)

Sometimes things that go wrong provide more intuition than otherwise. I noticed you just quitted a trade at a small loss, can you elaborate on what triggered you to close this trade?

 

[cooper1308]

PT, thanks for your reply.



Sometimes things that go wrong provide more intuition than otherwise. I noticed you just quitted a trade at a small loss, can you elaborate on what triggered you to close this trade?

Read the thread it's all in here

 

[Pairs Trader]

Yes charlie exited because it was close to the mean plus I held the pair for 2 weeks, I always exit within 2-3weeks.

Closed trade for more profits

Sold ANN @ 8.97 (9.65% profit)
Covered AMC @ 5.17 (2.98% loss)

Closed trades 38
Wins 32
Losses 5
Scratch 1

Account is up 59.8% since starting journal.

 

[samgribbles]

re AIX/MAP. Your software downloads current prices on mine?

 

[Pairs Trader]

do you have historical data for AIX? in yahoo there is a chunk missing.

 

[Sugar Dunkaton]

Pairs,

I have been trading this system for probably close to a month maybe two... and although trading positively, I am positive so far at around 60% of the time, and only really returning on average between .5-1% per trade after commissions.

I have been trading similar pairs to you, but are missing some of your trades due to our brokers not providing stock of all ASX stocks.

I have also taken a few bigger hits - ie 7-10% losses on occasion, and we really wish to negate this as much as possible.

I have noticed that your system is definitely hitting a far more productive winning percentage than I am. Did you find that it took a while to pick up the cues to trade, or could this be a difference in the pairs/signals we are trading or a combination of both.

So far I have not used a time stop on our system, but i have noted that the longer trades are returning less.

 

[samgribbles]

Sugar: I've just started trying to give this system and software a proper go. In the interests of us both picking it up (and others) maybe we should post and critique each others trades as well as seeking advice from PT?

- are you sticking to large cap stocks?
- do you look at individial stock charts for confirmation signals? ie, PT may identify two stocks away from their mean but you should have a signal that that divergence is slowing on each stock. Do you check each chart for slowing momentum etc?

Can you post your trades as you take them as well?

 

[samgribbles]

PT: OK, I see that now. But the missing data is very difficult to pick up on in the software. It is not evident when clicking "analyse pair", you can only pick it up when opening up a price chart but even then it is hard as the timescale on the x-axis doesnt work.

Is there an easier way to quickly verify that you have a full data set?

Thanks

 

[Pairs Trader]

New trade

Long APN @ 1.48
Short FXJ @ 1.29

 

[retroaugogo]

Come on Pairs read your pm's.

I'm still unable to work with the latest version as it rejects my email.

 

[Pairs Trader]

Pairs,

I have been trading this system for probably close to a month maybe two... and although trading positively, I am positive so far at around 60% of the time, and only really returning on average between .5-1% per trade after commissions.

I have noticed that your system is definitely hitting a far more productive winning percentage than I am. Did you find that it took a while to pick up the cues to trade, or could this be a difference in the pairs/signals we are trading or a combination of both.

Yes Ive got the benefit of experience to aide my trading, plus I trade very conservatively, you will develop the ''eye'' for picking the best trades as times goes on, its just like any other skill, your not going to be at your peak straight away, it takes several years of discipline to fine tune your art, doesn't mean you can't be profitable from the start, but don't expect fireworks to begin with, just stick at it.