I have paid dearly for not following my risk control rules and wipe off 60% of last year realized profit.
Tuesday 29 January 2008
New Portfolio - starting new life after wipe off
I have paid dearly for not following my risk control rules and wipe off 60% of last year realized profit.
Saturday 19 January 2008
Bear trap - Queue to sell off all contra trades. Bite the bullet
Total estimated contra loss and cut losses = $61K !!!
Huge contra losses wipe off 46% of my last year profit of $134K in days!
I will need to re-strategise in view of very difficult market ahead before hitting the buy button again.
Huge contra losses wipe off 46% of my last year profit of $134K in days!
I will need to re-strategise in view of very difficult market ahead before hitting the buy button again.
Monday 14 January 2008
Friday 11 January 2008
DOW vs STI
DOW has recovered +2% from its latest low at 12,589 on 8 Jan 08 while STI was at its latest new low 3,323 yesterday, 10 Jan 08.
I believe STI should recover aggressively today.
As of yesterday, DOW is -9.3% from its last high, and STI is -14.3%, so it means that STI has more room to catch up with DOW.
Thursday 10 January 2008
Wednesday 9 January 2008
Tuesday 8 January 2008
Monday 7 January 2008
Sunday 6 January 2008
STI DOW index trend
Last DOW lowest on 26 Nov 07 at 12,743, down - 10% from its last highest 14,165 on 9 Oct 07. Last Friday, 4 Jan 08, DOW closed at 12,800, down -9.6% from its last highest 14,165 on 9 Oct 07.
Last STI lowest on 22 Nov 07 at 3,313, down -14.5% from its last highest 3,876 on 11 Oct 07
Last Friday, 4 Jan 08, STI closed at 3,438, down -11.3% from its last highest 3,876 on 11 Oct 07
Saturday 5 January 2008
Friday 4 January 2008
Tuesday 1 January 2008
2007 Review and Strategy for 2008
After reviewing those trades made in 2007, I have made the following observations:
- several contra losses due to lack of fund arising from over-trading.
- averaging down at narrow gap without significant lower average cost.
Change of strategy:
- Enforce discipline of 2% risk limit per counter and 6% risk limit per 6% drop in STI index. This will help to prevent overtrading.
- Harder to do contra trade for counters that are more than $3 due to change in bids. Will focus more on counters that are less than $3
- several contra losses due to lack of fund arising from over-trading.
- averaging down at narrow gap without significant lower average cost.
Change of strategy:
- Enforce discipline of 2% risk limit per counter and 6% risk limit per 6% drop in STI index. This will help to prevent overtrading.
- Harder to do contra trade for counters that are more than $3 due to change in bids. Will focus more on counters that are less than $3