Trading Tips

[diy_fun_uk]

I don't really see what you are practicing.

The priority is to get your money working.

Let's agree to disagree. For those dipping their toe, I think being able to first play in a demo account for a few weeks or months makes complete sense for those who'd prefer that route.

 

[motorbiking]

Just popped my FY26/27 ISA Allowance on VWRP. I was dallying with the idea of a high interest ISA saving account. Let's see how this looks in a year. At least I don't have to worry about the ERI on this one.

 

[Justin Passing]

Without comment -

KOR = Korea; QQQ3 = Nasdaq 3x; VPNG = Digital infrastructure ( Data centres, and that) ;
SEMI = semiconductors; XLK = US tech sector, unleveraged, VWRP = FTSE All-World UCITS ETF (USD) Accumulating

 

[festive]

Without comment -
View attachment 413276

Jeepers please dont tell me this is your portfolio, my crypto wallet looks like this but upside down.

 

[motorbiking]

Without comment -
View attachment 413276

KOR = Korea; QQQ3 = Nasdaq 3x; VPNG = Digital infrastructure ( Data centres, and that) ;
SEMI = semiconductors; XLK = US tech sector, unleveraged, VWRP = FTSE All-World UCITS ETF (USD) Accumulating

I’ve already got a us tech heavy holding

QQQ IVV NVDA etc.

 

[Justin Passing]

Jeepers please dont tell me this is your portfolio, my crypto wallet looks like this but upside down.

I haven't held anything for a whole year
Long term is heavily tech focused at the moment, and I've had Korea , far east (includes Taiwan etc)
There's an odd one called Artemis Global Income which is managed, goes for high growth but avoids all the US Mag7 type names. It worked when those weren't doing very well.
I've had some BioTechs, too.
In day trading acccounts, I like to use the leveraged versions but they can be hairy - you don't want them even for a moment if they're falling.
I've pulled back on Far East because of the oil supply situation. Korea has Samsung and SK Hynix, which have been rocketing, but are probably "overbought" now.

The big embuggerance is the WAY they move. They mostly move overnight. And they take the stairs up and the lift down.
With many of them if you only hold during the day, you don't catch much of the rises, but it's safer.
Stop losses work on ETF's but you daren't put them close or you get "wicked out". They DO do that on purpose, it's well known. The Stock Market is pretty heavily manipulated.
Inspect this: the rises and falls are often on the blue lines = overnight. They can easily be 10-15%.

 

[noseall]

 

[Dereekoo]

This is today's FREE premarket prep.
I speed-read it. PLTR caught my eye.

Why did it catch your eye, it went down from 152 to 141 in a day??

 

[motorbiking]

inline with general market movements though. I don't hold PLTR as an individual stock, the drop is not particularly related to its performance.

 

[motorbiking]

Global stock markets are too high and set to fall, says Bank of England deputy

It is unusual for a senior figure at the Bank to be so forthright on market movements.

www.bbc.co.uk

The stock market will fall...
...I don't know when.

 

[fillyboy]

Global stock markets are too high and set to fall, says Bank of England deputy

It is unusual for a senior figure at the Bank to be so forthright on market movements.

www.bbc.co.uk

The stock market will fall...
...I don't know when.

"The thing that really keeps me awake at night is the likelihood of a number of risks crystallising at the same time – a major macroeconomic shock, confidence in private credit goes, AI and other risky valuations readjust - what happens in that environment and are we prepared for it?" she said.

I often lie awake at night worrying about macroeconomic shocks.

 

[Justin Passing]

Why did it catch your eye, it went down from 152 to 141 in a day??

One that was likely to be volatile. It started off falling, on reasonable volume, so I took a small short with a trailing stop, which went 3.8%. I didn't watch it. Could have done better if I had.

Even excellent results are frequently a prompt for a dip in a price. A long time ago I posted the quip "Participate, don't anticipate" which is ambiguous, but it means wait to see what happens then use the move. Often a spike up is followed by an equally rapid drop - you look at the Volume as an indicator of whether the rise is likely to be sustained. You never join the rise quickly. Everyone and his dog will be waiting to short it - so you join in when that happens, and the selling pushes the price lower.

News = volatility. E.G. The oil price is twitchy. What someone actually has to pay for the stuff is marginally related to the stock market price. Bloomberg reports local oil prices, which have been over 124, way above the SM price.
The SM is a list of prices, not values.

I did wake up early this morning, "worrying about macroeconomic shocks."
Fridays can be bad.
I was thinking "I don't need this"
R4 was on, I hear Bailey's quote
I looked at $ARM - I've been holding 1k shares for a few days. It stopped rising.
Enough.
By 8:10 I'd either sold everything, or put trailing stops under prices of the stuff that's still rising - just oil, chips and data centre names.
That will cause a market crash of course .

But I get some time off.

I need to replace all my socks. They're all black, but none seem to quite match.
I'll have to look for where's cheap for quantity.


---

The stock market will fall...
...I don't know when.

Be ready to short it then.
You can place a sell short stop below the current price.
So if the price is 100, you put that "trip" at 97, expecting that the price will fall further. If it goes back to 100 of course, you lose.

It's a tradition among Jews who are no fools when it comes to money, to use Stock Options at times like this.
You can for instance sell a covered call.
If the price is 100, you sell someone the option to buy your stock at 110, for which they pay you a premium.
If the stock price falls you keep the shares, and the premium, because they wouldn't buy.
If it goes up, you're obliged to sell your shares at 100.
Heads you win, Tails, you don't lose.
You can also buy a PUT option. That gives you the right to sell at a specific price, so that's a hedge against a fall:
If the price drops to 80 and your Strike price is 90, you make 10 bucks a share. Otherwise, the option expires worthless but you retain value.
There are collars and squeezes, iron condors and butterflies, and a bunch of greeks, including vega, which is arabic.

 

[motorbiking]

I consider shorting to be unethical.

 

[Highway Man]

This thread is really interesting but I think gets a bit deep in parts, I would love to understand it more, I have to be honest it is above my head at the moment. I am reading every single post though as there are some financially savvy people on here.

 

[motorbiking]

It goes back to the start.. There are different levels:

1 Saving
2 Investing
3 Trading

You are ok with the idea of your workplace pension. Someone else is making investment decisions, they are not immune to rises and falls. Investing is no different, it's just you making decisions about where to invest. Trading is something quite different. You invest in the hope that they gradually grow and faster than the next option but without too much risk, trading is about making money on the full movement of the market.