Moved my stop on IVC to $6.79. Now I'll only lose $430 (roughly) if the trade goes pear shaped.
Can't short AQP because my heat will become greater than 8% as per my trading plan.
You shouldn't be trading if you haven't got a trading plan. It protects your capital. The first goal of trading MUST be to protect your capital.
Want to read my long term trading plan? Then subscribe here and download it from the download page.
Sunday, July 27, 2008
Friday, July 25, 2008
Scans week ending July 25 2008
Two possible trades this week.
AQP short
CGF long
CGF eliminated because it's in the Financial sector which is currently trading below the 30 week WMA and the signal was to go long.
AQP meets my criteria for entry because the materials sector is trading below it's 30 week WMA and the signal is to go short.
________________________________________________
IVC is trading at a new low so my GSLO will be moved to $6.79. My favourite thing to do is to move my stops.
_________________________________________________
Please know that I do not recommend that you trade the way I do. You need to develop your own trading plan that you can stick. to.
AQP short
CGF long
CGF eliminated because it's in the Financial sector which is currently trading below the 30 week WMA and the signal was to go long.
AQP meets my criteria for entry because the materials sector is trading below it's 30 week WMA and the signal is to go short.
________________________________________________
IVC is trading at a new low so my GSLO will be moved to $6.79. My favourite thing to do is to move my stops.
_________________________________________________
Please know that I do not recommend that you trade the way I do. You need to develop your own trading plan that you can stick. to.
Tuesday, July 22, 2008
Should you copy my trades?
The answer is NO!
For starters I am not a trading guru. My knowledge of technical indicators only extends to moving averages, average true range and candlestick patterns.
Your psychological make up is most likely totally different to mine. Can you handle seeing huge variations in your open profit each day? Could you resist exiting a position if it is showing a substantial profit? Are you likely to think that losing trades will eventually turn to winners? Being successful at trading requires that you do not become emotionally involved with your open positions. The most common emotions when trading is fear and greed. Both are fatal to traders.
The only time trades should be exited is when your predetermined price points are hit. No ifs, no buts. If you blindly follow all my entries and exits we will never have identical results even if we do have the same psychological approach.
Why? Because my predetermined exits are based on the price I pay for my entry. It is highly unlikely that we would pay the same price for an instrument (cfds in my case) so obviously our exit points would therefore be different. This can make a huge difference because your stop may get hit forcing an exit, while my trade may be allowed to continue ultimately returning me a substantial profit, while the exact same instrument may return you a small loss.
The trading plan I use is available to members of The Sandpit. If you are interested in trading a similar system to me, or if you want to modify my system to better suit your own psychology and goals you are more than welcome to do that.
The only reason I am putting my trading diary online is to prove that if I can generate an income stream doing trading then any one can do it!
For starters I am not a trading guru. My knowledge of technical indicators only extends to moving averages, average true range and candlestick patterns.
Your psychological make up is most likely totally different to mine. Can you handle seeing huge variations in your open profit each day? Could you resist exiting a position if it is showing a substantial profit? Are you likely to think that losing trades will eventually turn to winners? Being successful at trading requires that you do not become emotionally involved with your open positions. The most common emotions when trading is fear and greed. Both are fatal to traders.
The only time trades should be exited is when your predetermined price points are hit. No ifs, no buts. If you blindly follow all my entries and exits we will never have identical results even if we do have the same psychological approach.
Why? Because my predetermined exits are based on the price I pay for my entry. It is highly unlikely that we would pay the same price for an instrument (cfds in my case) so obviously our exit points would therefore be different. This can make a huge difference because your stop may get hit forcing an exit, while my trade may be allowed to continue ultimately returning me a substantial profit, while the exact same instrument may return you a small loss.
The trading plan I use is available to members of The Sandpit. If you are interested in trading a similar system to me, or if you want to modify my system to better suit your own psychology and goals you are more than welcome to do that.
The only reason I am putting my trading diary online is to prove that if I can generate an income stream doing trading then any one can do it!
Welcome to my online trading diary
I currently trade a long-term weekly system, buying Australian CFDs on stocks listed in the ASX200. On the last day of each trading week I update my data, check for buy/sell signals and manage my stops.
On the first day of the next trading week I change my stops and exit any open positions for which I have been given a signal as soon as possible after the market opens.
At least half an hour after the market opens (and before it closes) I enter any new positions for which I have received a signal.
Anyway, my current portfolio contains the following CFDs and whether I am long or short. If you are not clear on what being long and being short are, you need to sign up for my newsletter called The Sandpit and you'll automatically receive my trading plan (as soon as I get it published on the internet) and it will explain all.
By the way, this blog and The Sandpit newsletter are aimed for beginners, hence the name, The Sandpit. There are also other benefits of becoming a member such as product discounts.
APN News & Media Ltd - Short
Aristocrat Leisure Ltd - Short
Australian Worldwide Exploration - Long
Consumer Discretionary (A$2 Contract)- Short
Crane Group Ltd - Short
CSR Ltd - Short
DUET Group - Short
Flight Centre Ltd - Short
GUD Holdings Ltd - Short
Iluka Resources Ltd - Long
Invocare Ltd - Short
Just Group Ltd - Short
Macquarie Infrastructure Group - Short
Pacific Brands Ltd - Short
Paladin Energy Ltd - Long
Qantas Airways Ltd - Short
Resmed Inc - Short
Seek Limited - Short
Tatts Group Ltd - Short
Transpacific Industries - Short
United Group Ltd - Short
Wesfarmers Ltd - Short
Woolworths Ltd - Long
I wish you success with your journey towards wealth creation.
On the first day of the next trading week I change my stops and exit any open positions for which I have been given a signal as soon as possible after the market opens.
At least half an hour after the market opens (and before it closes) I enter any new positions for which I have received a signal.
Anyway, my current portfolio contains the following CFDs and whether I am long or short. If you are not clear on what being long and being short are, you need to sign up for my newsletter called The Sandpit and you'll automatically receive my trading plan (as soon as I get it published on the internet) and it will explain all.
By the way, this blog and The Sandpit newsletter are aimed for beginners, hence the name, The Sandpit. There are also other benefits of becoming a member such as product discounts.
APN News & Media Ltd - Short
Aristocrat Leisure Ltd - Short
Australian Worldwide Exploration - Long
Consumer Discretionary (A$2 Contract)- Short
Crane Group Ltd - Short
CSR Ltd - Short
DUET Group - Short
Flight Centre Ltd - Short
GUD Holdings Ltd - Short
Iluka Resources Ltd - Long
Invocare Ltd - Short
Just Group Ltd - Short
Macquarie Infrastructure Group - Short
Pacific Brands Ltd - Short
Paladin Energy Ltd - Long
Qantas Airways Ltd - Short
Resmed Inc - Short
Seek Limited - Short
Tatts Group Ltd - Short
Transpacific Industries - Short
United Group Ltd - Short
Wesfarmers Ltd - Short
Woolworths Ltd - Long
I wish you success with your journey towards wealth creation.
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