For better or worse

[ric371]

Ok I took the plunge and put my money where my March picks are,

I plan to trade these during the month and will post any changes when they occur. and some reasons why I might sell and or buy, I have allocated a bank of $12,049 real money.

I am already down $286 but what a day on the market it has been, I hope to more than make that up over the next few weeks

I am in no way suggesting that I am expert in this but I am prepared to put my wins and Losses on view to help me and anyone else learn something

 

[2020hindsight]

ric, can I ask pls, when did you buy?

 

[ric371]

They were all purchased during today

 

[hitmanlam]

ric, you are a brave man........

Personally, I wouldn't touch the market for the next few weeks. I don't think the market has quite bottomed out yet. Very risky business your taking there. Hope you turn out with some profit. Good luck!

 

[CanOz]

Ok I took the plunge and put my money where my March picks are,

I plan to trade these during the month and will post any changes when they occur. and some reasons why I might sell and or buy, I have allocated a bank of $12,049 real money.

I am already down $286 but what a day on the market it has been, I hope to more than make that up over the next few weeks

I am in no way suggesting that I am expert in this but I am prepared to put my wins and Losses on view to help me and anyone else learn something

The market has got to have an up day soon, maybe it will be today. Don't think for a minute that its found a bottom though. Are you using stop losses?

Cheers,

 

[2020hindsight]

ric, until you came up with the title of this thread, I never twigged how much similarity there was between the stock market

..and getting married

should one propose, for instance, after an upside down cup and saucer, or a couple of pints of champagne?

 

[Halba]

Why are you buying EVE when it has gone ex entitlement? its only going to go down from here...

By the looks of things i don't think you can make a big profit by putting 2k in each stock, some will go up, some will go down, your account balance would do zip

In other words you are paying just brokerage for no reason. Also are you going to make back your brokerage??? $29.95 on the in and $29.95 on the out. You need at least TTS to move 30c in the positive to make money, and that looks highly unlikely!

Best off to take a punt and put that $12k in one oversold stock.

 

[tech/a]

Personally dont think the portfolio will do a lot either way.
Most stocks (In the Portfolio) are not as reactive as others to both up and down moves.
Id say in a month + or - 15% either way.Will do what most else will.
Up and down with volatility.

Of interest how are you planning to profit.

You must (if you have bought them ) have a plan to extract profit?
Whats that or is it a case of suck it and see.
If it reached $1000 profit would you sell?
$2000?--Never??
If thats the case how much loss will you accept OR will you simply hold indefinately if in loss?

 

[nizar]

Why are you buying EVE when it has gone ex entitlement? its only going to go down from here...

By the looks of things i don't think you can make a big profit by putting 2k in each stock, some will go up, some will go down, your account balance would do zip

In other words you are paying just brokerage for no reason. Also are you going to make back your brokerage??? $29.95 on the in and $29.95 on the out. You need at least TTS to move 30c in the positive to make money, and that looks highly unlikely!

Best off to take a punt and put that $12k in one oversold stock.

Agree with Halba.
I used to take the same approach, spread money over several stocks but not anymore, now I rarely hold more than 3 stocks at the one time (I think less than 5k is a waste of time, coz its hard to make a decent profit).
When buying small parcels, brokerage becomes significant, and also, its much harder to pick 10 winners than it is to pick 2 or 3.

Wise words from tech/a as per usual.

 

[Halba]

Yep thats my method I go moderately hard at the stocks, and really hard at what I believe to be high percentage plays. I deal with tens of thousands so I guess its a different situation. My drawdown in corrections is quite larger than the overall index however.

 

[ric371]

Thanks for all the comments,
Stops are set at 10%
Profits I will take when I think a stock will reverse.

I agree with the comment that low volumes are subject to high % brokerage but the plan was simply to look at what happened if I traded the stocks I felt were most likely to finish in the top 10 for March, the $12,000 allocated is only a small portion of my total portfolio around 2% and for he most part I follow only around 10 stocks, in the main medium to long term.

RE EVE, yes that was a mistake and I have exited EVE this morning taking a small loss.

I could have done this exercise on paper but I figured I would make better decisions if some cash was at stake.

As of noon today the total holding was up 2% with WMT leading the way up 23%, lets see what the day brings.

 

[mrWoodo]

Thanks for all the comments,
Stops are set at 10%

Hi Ric, just a quick one - Placing stops at the 10% may fall within the trendlines of the given stock. ie, you run the chance of getting stopped out purely from 'normal' movement. The market neither knows or worries about the arbitrary 10%. Personally I place stops a bit below trendlines.

 

[ric371]

Hi Ric, just a quick one - Placing stops at the 10% may fall within the trendlines of the given stock. ie, you run the chance of getting stopped out purely from 'normal' movement. The market neither knows or worries about the arbitrary 10%. Personally I place stops a bit below trendlines.

Good point thanks

 

[ric371]

Day 2
I panicked and sold EVE , should have waited as it recovered again this afternoon but my analysis still says its going down. So I took a loss here.
A good day for WMT up 38.46% for the day. I am going to float my stop up behind it although my chart says it has more to run.
BLG also had a good day up 12.18%. I will also bring up my stop up but a bit tighter as my chart suggests it is running out of steam.
TTS could be a problem child tomorrow and needs watching.
PNA had a quite day but looks goog for tomorrow.
PMM was off a little but my chart is positive for tomorrow.
Included in my watch list are 4 other march picks that finished in my top 10
and I am keeping an eye on these,
AXO not looking good
JRV worth watching
EME buy is indicated and I probably will.
BLR worth watching.

Even with the loss on EVE my balance has risen by $642 or 5.35% for the day.

 

[Tradewinds]

Day 2
I panicked and sold EVE , should have waited as it recovered again this afternoon but my analysis still says its going down. so I took a loss here.

Great that your giving us a glimpse into your trading habits.....

Can you give us an example on how you analyse your stocks? ie why is EVE going down?

 

[nizar]

EVE is still within the trading channel since november.

 

[UMike]

By the looks of things i don't think you can make a big profit by putting 2k in each stock, some will go up, some will go down, your account balance would do zip

In other words you are paying just brokerage for no reason. Also are you going to make back your brokerage??? $29.95 on the in and $29.95 on the out. You need at least TTS to move 30c in the positive to make money, and that looks highly unlikely!

Best off to take a punt and put that $12k in one oversold stock.

True Or 2 stocks of $6k

BTW I bought and sold WMT a few times with around a $4k investment and did extremely well so I 'spose it can be done.

 

[ric371]

Great that your giving us a glimpse into your trading habits.....

Can you give us an example on how you analyse your stocks? ie why is EVE going down?

I am using The inside trader , "Smart Money Analyser" Some members here are hung up on the word smart money but its only a name. I am also applying some personal logic to the result that I cant quantify.
You can see in the following 2 charts for EVE and WMT that the black line on EVE is heading down showing the size of trades is falling and the blue line is falling with a little kick showing that the ratio of buyers to sellers is starting to show a seller bias.
For the WMT chart the opposite is aparent.
like any system of analysis there are flaws but I am seeing enough correlation to play with these stocks and when I have back tested the results are impressive, as long as the stock is well traded and showing some volitility.

The program is available on 2 weeks free trial from www.theinsidetrader.com.au have a play and judge for your self

 

[Kipp]

Unlike the old hands in this thread, I think it's alright to sinking $2K per stock (though I've now graduated to 2.5-3K)... when you are just starting out a $500 loss (i.e. 10% of 5K) is prob more than you want to deal with.

More importanntly, why are you paying $29.95 a trade!!!! There are plenty of brokers out there offering $19.95- Comsec and Avcol for example.... you could of saved $100 already (assuming that at some point in time you will SELL your stocks)

 

[ric371]

Unlike the old hands in this thread, I think it's alright to sinking $2K per stock (though I've now graduated to 2.5-3K)... when you are just starting out a $500 loss (i.e. 10% of 5K) is prob more than you want to deal with.

More importanntly, why are you paying $29.95 a trade!!!! There are plenty of brokers out there offering $19.95- Comsec and Avcol for example.... you could of saved $100 already (assuming that at some point in time you will SELL your stocks)

I do my banking through NAB and also stock trading, my stock trading is linked directly to my bank account which is convienent and makes for quick transactions without having to transfer cash around between accounts.
As it is usually much bigger numbers than $2000 per trade $29.95 is not an issue