Ok, as promised, I set aside 6k for some trading play. After a huge burn on my portfolio last year (and still burning), I am going to focus more on trading and observe how monitoring volatility can help me recoup some of my losses.
As I think about my trades, to earn 3k all I need is:
- 1 trade of $3k net profit; or
- 10 trades of $300 profit; or
- 50 trades of $60 profit; or
- 100 trades of $30 profit
Based on my risk appetite and current market, don't think I am able to handle that 1 jackpot trade of $3k profit. Used to be able to do when I was still at the pioneering stage, but in the interest of time I think I need to play my funds more strategically to tap on profits across multiple counters, instead of dumping into 1 and expecting it to grow. Not every stock is like my UMS, or my Keppel DC REIT at the early stage. I must admit I no longer have early entry advantage, as more informed traders and investors enter the market to kill each other.
My second best bet? Probably a mix of the 10 trades and 50 trades. All using my $6k starting fund. First few hands were ok; I mean after watching AEM and some help / guidance from SGBBT, I am able to sense better the entry point. Just keep emotions in check and enter and exit where necessary. 2 winning trades from AEM. Then another from Capitaland; but I must say I was consumed by greed as I tot will go past 2.53, I had half the mind to exit from there but no. End up desperately existing at 2.49 (lucky bounced a bit) before price went further down.
It helps to see the behaviour of the stock. Every stock got its own "playing style" I realise. So far I am more used to AEM's stock movement behaviour; at least there's more trading interest and if I see traders have difficulty pushing down the price further (do I call that support?) then chances are I can enter at that range. To confirm perhaps wait the next day, nevermind letting go a few pips just to get assurance that my hypothesis is correct, and then I enter.
Just re-entered AEM today at 1.46 and by closed at 1.49. Buying pressure seems to be there. So we'll lie in wait and see. Should go past 1.5+ next week, and again I need to remind myself, just cash out once I hit my target selling price. No more than 1.6 or I may find myself in panic selling again.
Another stock I tried my hands on - manulife US reit. Ok not too confident on this, but seems to find "support" at around the 0.09X level. I entered abit too high as the moment after I entered, it went back down to 0.094. I'm pretty confident, though, that I will see a 0.1XX level. And I will cash out then. Again, hit or miss, no one knows, all about chances and probability.
Oh, and a more reassuring thing is with the Cash plus trading acc, my brokerage costs that used to eat into my profit is now down to a measly 0.08%. So for my both trades I only get discounted like, 2-3 dollars? That also gave me more confidence to play since I can cash out at a lower margin than having to feel the pressure to exit after 10pips kind of increase, which is almost impossible to expect from every trade.
This year I'm also reorganising my summary.. Won't show my top 5 since it's practically the same list every mth. Maybe I show my total portfolio, cut by trading and investment.
Update #38:
Has it already been... 3 years? Wow time flies...
Sadly I did not manage to hit my 80k target, cos of so many foolish trades I did this year. Could have hit if I did not let emotions get the better of me.
Anyway, I am probably going to try trading next year, starting with following SGBBT recommendation. set aside 5k or something, see how far it brings me.
Anyway, did not track much as I was busy with work; rate expectations corrected most stocks as Fed gave a modest 25 pip cut and a conservative interest rate outlook for 2025. Only towards the end of the year did some kind of rally pushed up the market a bit. But my REITs tanked even more.. I thought my FLCT was entered quite low already but did not expect it to go down even further.
And Mapletree Ind Trust play smelly... I knew I submitted the scrip dividend late but marketing trading price was at 2.21, they decided to take in my submission and issue me at 2.30.. wow... I mean its peanuts la, but to play like this...
I took a chance to sell off my AEM at 1.43, considering I missed so many boats out of greed, I shall just materialise that tiny bit of profit, 1 trade at a time. Think this is more a logical trade than an emotional trade, and seeing how AEM always fluctuate, it should perhaps come down sometime again for me to enter?
For 2025 I aim to pump in another 10k - def should hit 80k target liao la.
Update #37:
Warchest: 5751.16
Dividends received YTD: 2505.16