MrsMac's Toe in the Water Journal

MrsMac

Newbie
6 0
My style is very definitely swing trading on stocks. I did spread betting over a year a long while ago. I started with £1000 and I left with £1004 a year later after putting in a lot of screen time.

I like to do the fundamentals on companies I trade but (so long as the fundamentals are good) the final decision about when to push the button is done on technicals.

My goal is 5%, no particular time limit, trading US stocks. I'm using paper trading while my funded account is being set up and I get to know the way their trading platform works. Also, it's getting me used to trading again.

I usually do my research on the weekends and set up the trades before market open on Mondays.

Here's the plan for my first trade on AAC:

[email protected]$9.37 = $937 + $10 fee = $947 x 1.05 = $994 + $10 fee = exit of $1004

Buy order placed 01/07/18 and filled at $9.34 on 02/07/18

Sell at limit order placed at $10.14 and executed 11/07/18, except that being unfamiliar with the trading platform I placed the order to sell only 1. I noticed when I checked in to my trading account and immediately recalculated my exit price taking into account the extra $10 I was going to have to pay to exit the trade with the remaining 99 - $10.14 was still going to cover it.

Remaining 99 stock limit order was executed 12/07/18

Reasons for trading this stock (on technicals):

Price point was in my target range
RSI indicating undervalued stock
MACD Histogram converging up to 0
Fast stochastics crossed and heading up
EMA 20/50 still at divergence - but sometimes you can't wait for ALL the planets to line up.

On 02/07/18 I also placed a buy order for SBUX ([email protected]$48.85) which was filled at $48.65 - same goal, same calculations with limit placed at $52.21.

I've been watching SBUX on and off for years but never traded it before. I saw the price tumble around end of June on earnings call plans to consolidate on the number of it's stores in the US, whilst increasing the number of stores in the Far East. I decided to take a punt - and that's exactly what it was, a punt.

The RSI showed the stock very undervalued, fast stochastics had crossed on the up, but the MACD histogram was only just beginning to converge back to 0 and the EMA 20/50 was still divergent.

The stock has been sitting in a nice trading range between $52 and $58 for most of 3 years and whilst there's no guarantee it's going to make it back there, what I see is a bid for recovery in the chart - we'll see if I'm correct in the fullness of time.

On 02/07/18 I also placed a buy order for SEKEY ([email protected]$8.61) which was filled at $8.64 - same goal, same calculations with limit placed at $9.22.

Don't ask me what I was thinking when I got myself into this trade because I have no clue.
 

MrsMac

Newbie
6 0
27/07/18 Sold SEKEY at $9.07. Not at plan but above break even which I'm happy with.

12/02/19 Checked on SEKEY. It hit $6.66 at Christmas and is currently trading at $7.24
 
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MrsMac

Newbie
6 0
27/08/18 I decided to try a short and shorted BHB at $29.86, set a limit at $27.72 which got me covered on 10/09/18. Happy Bunny!

I also got into AEM on 12/08/18 which caused me a whole heap of pain. The paper trading platform I chose doesn't give you opportunity to review your order before you send. I ended buying instead of selling - more than once. You'd think I could learn the value of checking before I pressed the button after the first time! Anyhoo, I finally got rid at a loss, but overall made a 9% profit on my total portfolio in around12 weeks. Just checked on AEM today 12/02/18 and it was at $43.75 a couple of weeks ago, so if I had had faith just a little longer ..........
 
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