Australian (ASX) Stock Market Forum

Dump it Here

Understanding TradingView Charts
In trading, our primary concern is knowing "what to buy" and "when to sell". Determining the number of shares to purchase can be done through a straightforward formula - simply divide your investment amount by the share price. For instance, if you have $100 to invest and the share price is $10, the calculation would be as simple as $100/10, resulting in 10 shares.

Important Metrics
I’ve included the trading results for a full year (365-day metric) attached to the right-hand top corner of each chart. Be sure to check them out for a comprehensive understanding of the performance of each company.

# 1. ANZ

1. ANZ.jpg


# 2. BHP

2. BHP.jpg


# 3. CBA

3. CBA.jpg


# 4. FMG

4. FMG.jpg


# 5. WDS

5. WDS.jpg

As a casual reminder
Did I mention that all of this comes at no cost whatsoever? Yes, it’s all “free”!

Skate.
 
Unveiling the Power of Patience
In the financial arena, two investment strategies often go head-to-head to decide the best option.

Options
(a) “Buy-and-Hold” Strategy
(b) “Active Trading Signals”

To put these strategies to the test
I conducted a comparative analysis using an initial investment of $100,000 in each of six different companies for this financial year. The goal was to assess the potential capital gains each strategy could yield.

The Investment Duel
The contenders in this showdown were the “Buy-and-Hold Strategy” and the “Trading Strategy”, each applied to the same set of companies. The trading decisions were guided by chart signals. The yearly "Buy-and-Hold" investment as well as the "Trading Strategy" started with the first signal.

Here’s what the data revealed
One strategy consistently outshines the other

ANZ
Buy and Hold yielded a return of $13,846.
Trading returned $11,943.

BHP

Buy and Hold resulted in a capital gain of $3,259.
Trading returned $137.

CBA
Buy and Hold brought in $10,055,
Trading was slightly behind at $9,787.

FMG
Buy and Hold was the clear winner with $18,958, versus $17,647 from Trading.
Trading was slightly behind at $17,647.

RIO
Buy and Hold provided $15,858
Trading returned $12,135.

WDS
Both strategies resulted in losses, with Buy and Hold at -$18,604
Trading also resulted in a loss of -$4,957
Conclusion
Setting WDS aside, the evidence clearly shows that the "Buy-and-Hold" strategy consistently outshines "Active Trading" when it comes to chart signals. This implies that adopting a long-term investment approach could yield more fruitful results for these companies, rather than trying to time the market. The "Buy-and-Hold" strategy has an added advantage - it allows you to accrue dividends and franking credits, amplifying your overall returns.

Interesting.jpg

Skate.
 
Unveiling the Power of Patience
In the financial arena, two investment strategies often go head-to-head to decide the best option.

Options
(a) “Buy-and-Hold” Strategy
(b) “Active Trading Signals”

To put these strategies to the test
I conducted a comparative analysis using an initial investment of $100,000 in each of six different companies for this financial year. The goal was to assess the potential capital gains each strategy could yield.

The Investment Duel
The contenders in this showdown were the “Buy-and-Hold Strategy” and the “Trading Strategy”, each applied to the same set of companies. The trading decisions were guided by chart signals. The yearly "Buy-and-Hold" investment as well as the "Trading Strategy" started with the first signal.

Here’s what the data revealed
One strategy consistently outshines the other

ANZ
Buy and Hold yielded a return of $13,846.
Trading returned $11,943.

BHP
Buy and Hold resulted in a capital gain of $3,259.
Trading returned $137.

CBA
Buy and Hold brought in $10,055,
Trading was slightly behind at $9,787.

FMG
Buy and Hold was the clear winner with $18,958, versus $17,647 from Trading.
Trading was slightly behind at $17,647.

RIO
Buy and Hold provided $15,858
Trading returned $12,135.

WDS
Both strategies resulted in losses, with Buy and Hold at -$18,604
Trading also resulted in a loss of -$4,957
Conclusion
Setting WDS aside, the evidence clearly shows that the "Buy-and-Hold" strategy consistently outshines "Active Trading" when it comes to chart signals. This implies that adopting a long-term investment approach could yield more fruitful results for these companies, rather than trying to time the market. The "Buy-and-Hold" strategy has an added advantage - it allows you to accrue dividends and franking credits, amplifying your overall returns.

View attachment 175035

Skate.
and including WDS:
buy and hold for the lot:$43372
trade investment: $46692
to be confirmed if anyone is willing as I am not typo free
SO even in a rising tide Buy and Hold is a loser...Says it all, and imagine in a falling market...
oops Just your numbers Mr Skate :)
 
Unveiling the Power of Patience
In the financial arena, two investment strategies often go head-to-head to decide the best option.

Options
(a) “Buy-and-Hold” Strategy
(b) “Active Trading Signals”

To put these strategies to the test
I conducted a comparative analysis using an initial investment of $100,000 in each of six different companies for this financial year. The goal was to assess the potential capital gains each strategy could yield.

The Investment Duel
The contenders in this showdown were the “Buy-and-Hold Strategy” and the “Trading Strategy”, each applied to the same set of companies. The trading decisions were guided by chart signals. The yearly "Buy-and-Hold" investment as well as the "Trading Strategy" started with the first signal.

Here’s what the data revealed
One strategy consistently outshines the other

ANZ
Buy and Hold yielded a return of $13,846.
Trading returned $11,943.

BHP
Buy and Hold resulted in a capital gain of $3,259.
Trading returned $137.

CBA
Buy and Hold brought in $10,055,
Trading was slightly behind at $9,787.

FMG
Buy and Hold was the clear winner with $18,958, versus $17,647 from Trading.
Trading was slightly behind at $17,647.

RIO
Buy and Hold provided $15,858
Trading returned $12,135.

WDS
Both strategies resulted in losses, with Buy and Hold at -$18,604
Trading also resulted in a loss of -$4,957
Conclusion
Setting WDS aside, the evidence clearly shows that the "Buy-and-Hold" strategy consistently outshines "Active Trading" when it comes to chart signals. This implies that adopting a long-term investment approach could yield more fruitful results for these companies, rather than trying to time the market. The "Buy-and-Hold" strategy has an added advantage - it allows you to accrue dividends and franking credits, amplifying your overall returns.

View attachment 175035

Skate.
Buy n Hold have always been thought to new beginner's in Stock Market. While the half bucket full with loads of Greed mentality in mid 30s including me once upon a time, will Trade like no tomorrow.
Buy n Hold is back in fashion with Retirees, only my opinion.
Currently I am in this situation.
On the sidelines waiting to pick up some reasonable stocks to last me till my number is up.
 
and including WDS:
buy and hold for the lot:$43372
trade investment: $46692
to be confirmed if anyone is willing as I am not typo free
SO even in a rising tide Buy and Hold is a loser...Says it all, and imagine in a falling market...
oops Just your numbers Mr Skate :)
No one system fits all. Other factors taken into considerations, age, time, amt of money to spend etc etc
 
for example ' buy and hold' works nicely while you go on an ocean cruise ( not that i plan any of that )

and franking credits help keep your tax bill lower ( useful if you have retired and not awash with income outside the share-market )
 
Buy n Hold have always been thought to new beginner's in Stock Market. While the half bucket full with loads of Greed mentality in mid 30s including me once upon a time, will Trade like no tomorrow.
Buy n Hold is back in fashion with Retirees, only my opinion.
Currently I am in this situation.
On the sidelines waiting to pick up some reasonable stocks to last me till my number is up.
Bank earning interest will likely be low for the next few years, and if you're holding long even some of the worst paying dividends are still a better rate than what banks are paying plus you get franking credits. The markets go up and down with SP's but mainly climb in the long run.
We all know on average that the ASX and ASX 200 go up every decade, so you're only problem is if you pick a dud stock that bankrupts itself or gets taken over. Stay with govt supported and backed industries and most will have a good run.
Only a certain amount of people survive day and swing trading, and it's the easiest way of losing all your money overnight. The large Insto's target this money all the time, have more inside knowledge than most retail traders, and also the money for better analysis.


NOTE* This is not financial advice, (DYOR) and please seek professional advice.
 
The Paperwork of Today
The mailman has just delivered today’s mail. I am increasingly convinced that the “Buy-and-Hold” strategy holds an advantage, particularly when it comes to reducing paperwork. When one chooses to actively trade, they should be prepared for an influx of paperwork.

Paperwork keeps coming.jpg

Skate.
 
Bank earning interest will likely be low for the next few years, and if you're holding long even some of the worst paying dividends are still a better rate than what banks are paying plus you get franking credits.
divs. + franking vs term deposit interest - tax

the major difference is potential capital gain ( or loss )

my calculator says a stock with reasonable divs. is better ( for me )
 
and including WDS:
buy and hold for the lot:$43372
trade investment: $46692

to be confirmed if anyone is willing as I am not typo free
SO even in a rising tide Buy and Hold is a loser...Says it all, and imagine in a falling market...
oops Just your numbers Mr Skate :)

A good pickup
@qldfrog, in five out of the six investments, the “Buy-and-Hold” strategy emerged as the superior approach. However, as you astutely pointed out, this dominance was not reflected in the total returns. Well done for doing the maths.

Skate.
 
for example ' buy and hold' works nicely while you go on an ocean cruise ( not that i plan any of that )

and franking credits help keep your tax bill lower ( useful if you have retired and not awash with income outside the share-market )
Hi divs, I thought so too but was badly burnt on WBC after parking 2/3 of my pot n went on a back to back cruise of 2 mths.
The result was my pot was almost evaporated with all those 4 big banks bad news.
Now, I am more cautious of it. Should listen to the other half, to park it in term deposits, capital will still be preserved upon our return from cruising.
 
Hi divs, I thought so too but was badly burnt on WBC after parking 2/3 of my pot n went on a back to back cruise of 2 mths.
The result was my pot was almost evaporated with all those 4 big banks bad news.
Now, I am more cautious of it. Should listen to the other half, to park it in term deposits, capital will still be preserved upon our return from cruising.
the trick is to select a reliable stock ( if one actually exists )

reminder i fumbled an exit of WBC back in June 2021 ( @ $26.60 ) yes i managed a capital gain ( not counting divs/franking ) ( and still hold a few )
 
The Paperwork of Today
The mailman has just delivered today’s mail. I am increasingly convinced that the “Buy-and-Hold” strategy holds an advantage, particularly when it comes to reducing paperwork. When one chooses to actively trade, they should be prepared for an influx of paperwork.

View attachment 175044

Skate.
Yes experienced same when system trading, and at a cost to the company: we all need to buy some asx shares..a rent
 
divs. + franking vs term deposit interest - tax

the major difference is potential capital gain ( or loss )

my calculator says a stock with reasonable divs. is better ( for me )
We are not comparing shares vs term deposits but buy and hold vs active management...
And we all need to realise that buy and hold during a falling market is dreadful..dividends or not
 
Hi divs, I thought so too but was badly burnt on WBC after parking 2/3 of my pot n went on a back to back cruise of 2 mths.
The result was my pot was almost evaporated with all those 4 big banks bad news.
Now, I am more cautious of it. Should listen to the other half, to park it in term deposits, capital will still be preserved upon our return from cruising.
Have a look at short term bonds: ASX BILL..TD should be a no go, why pay the bank when you can go direct and get their cut...
But here we are discussing buy and hold vs more actively traded
 
We are not comparing shares vs term deposits but buy and hold vs active management...
And we all need to realise that buy and hold during a falling market is dreadful..dividends or not
as i discovered in 2011 , my solution , buy more shares , while they were cheaper , the hard bit was to patiently buy smaller parcels as the share price fell ( and leave 'the truck ' up on blocks in the garage )

the good part was i realized my old calculator was a very valuable asset , at this time
 
as i discovered in 2011 , my solution , buy more shares , while they were cheaper , the hard bit was to patiently buy smaller parcels as the share price fell ( and leave 'the truck ' up on blocks in the garage )

the good part was i realized my old calculator was a very valuable asset , at this time
That's why I'll always keep money in the bank, if I need to dilute a hold with a cheaper buy the money is always there.
 
Understanding TradingView Charts
In trading, our primary concern is knowing "what to buy" and "when to sell". Determining the number of shares to purchase can be done through a straightforward formula - simply divide your investment amount by the share price. For instance, if you have $100 to invest and the share price is $10, the calculation would be as simple as $100/10, resulting in 10 shares.

Important Metrics
I’ve included the trading results for a full year (365-day metric) attached to the right-hand top corner of each chart. Be sure to check them out for a comprehensive understanding of the performance of each company.

# 1. ANZ

View attachment 174983


# 2. BHP

View attachment 174984


# 3. CBA

View attachment 174985


# 4. FMG

View attachment 174986


# 5. WDS

View attachment 174987

As a casual reminder
Did I mention that all of this comes at no cost whatsoever? Yes, it’s all “free”!

Skate.
Is your profession a coder Skate? It's more a site for proficient coders, I couldn't code to save my life. I did have a play on it last night with a few of the shared scripts on there.
 
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