YML is a trade I exited this week. This one is outside the All Ords stocks, something that I do from time to time if there is enough turnover.
This one could easily move 10% in a week, and sometimes more than this in a day. For those that think they could trade it short term best of luck! I was in it for 9 weeks.
stevo
4 comments:
Hi Stevo,
Nice trade. 9 weeks, can't complain there.
Just wanted to ask you, say this weekend, if you have no money in the bank (trading account), but you have some open trades that have triggered exits. In this case would you still do a market scan to see the candidates that you would buy with the money banked from the exited trades?
Or would you say just exit those trades the next week. Then on the next weekend do a market scan and buy on the following week?
If that makes any sense at all.
Thanks.
Nizar.
Nizar
I would usually scan the market for buys, but would always ensure I sell the stock before I buy another. I don't think that this is the way TradeSim simulates the market - it would wait for the following week to buy.
The system I used for YML turned itself off this week so I am not scanning (I use "Explore" in AmiBroker) for buys this week.
stevo
Hi Stevo, Enjoying reading your blog. I notice on this trade your trailing stops are pretty close to the price action, do you tighten your stops when the markets are more volatile like they have been in last few months?
Regards, Ray
Ray
The stop adjusts due to the nature of the stock, both volatility and price strength.
This system doesn't take into account the volatility of the general market when determining the exits, although the system did turn off this week.
A fast moving volatile stock will have a different stop to a fast moving steady stock. Something slower moving, like IVC, will have more latitude on the exits than something like YML. After all YML is up over 600% in one year!
I am glad to be out of YML since I will be doing a bit of travelling in December.
stevo
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