Confessions of a Day Trader: If your friend jumped into a Lake, would you?
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Each Monday, Stockhead’s resident day trader gives us a peek at the highs and lows of his trading diary and hints at what might be coming this week.
Platform used: Marketech
Round Trip: A round trip is $10 up to $25,000 and then above $25,000, commission is at 0.02% in and at 0.02% out.
Rules of engagement: Never hold any positions overnight (unless forced) and try to avoid any suspensions (if possible). No shorting.
RIO, BHP and FMG are all marked down on a weaker iron ore price and even though there is still a bit of doom and gloom around, the banks are the opposite.
WBC shows up to be the weakest of all four of them and finishes the day unchanged, whereas CBA is up 0.33%.
RIO had a wild day, giving a range of $4.38 on a volume of 1.5m. CBA had a range of $1.95 on 3.5m and managed to have a go in both.
My timing on RIO was a bit out but CBA was almost spot on. I don’t question why they have these short movements up or down though, it all seems too manic to me. It is what it is.
Finish up $1180 and doubled up in size on CBA as had to wait some time for the moons to line up, which they eventually did around 2.30pm.
Bought 1,000 RIO @ 101.52
Sold 1,000 RIO @ 101.96 ($440.00 profit)
Bought 2,000 CBA @ 87.59
Sold 2,000 CBA @ 87.86 ($740.00 profit)
Come in and BHP are marked down overnight. Most stocks come out of the traps up, including RIO.
So decided that may get a quickie out of BHP whilst below $41.00, which worked out OK. Left them on a limit just below $41.00, which worked.
Went out to lunch as everything was showing up on my watch list, except ZIP, hovering around the 50c level.
Checked phone whilst waiting for dessert and LKE came up as biggest major faller.
Went once at $1.09 and again at $1.08 and left them on a sell limit of $1.13 and then changed it to $1.11 as happy with that profit.
Here is the screenshot after the trade.
Up $710, as is Bitcoin, so I see! Hump day tomorrow and Wall Street should be open to add to the mix of volatility.
Bought 2,000 BHP @ 40.73
Sold 2,000 BHP @ 40.96 ($460.00 profit)
Bought 5,000 LKE @ 1.090
Bought 5,000 LKE @ 1.080
Sold 10,000 LKE @ 1.110 ($250.00 profit)
In a moment of weakness, I decide to buy some ANZ for a quick trade. Have to wait around all day to double down before they come good.
Had the first lot on a limit to sell at $22.05 which I missed by a few cents.
Inbetween, snaffled up 2000 BHP at $40.82, as thought they may head back up to the $41 level, which they do.
Still watching and waiting on ANZ before doubling down and waiting another 30 mins or so with a higher limit, which I adjusted down.
Up $520 but expecting a loss tomorrow at some point. May go back into LKE who are down to the 85ish level.
Bought 2,000 ANZ @ 21.95
Bought 2,000 BHP @ 40.82
Sold 2,000 BHP @ 40.98 ($330.00 profit)
Bought 2,000 ANZ @ 21.84
Sold 4,000 ANZ @ 21.94 ($190.00 profit)
A bit of a strange day. Read about LKE and how there was a big short on them. Couldn’t find anything to have a go at so devised another strategy.
Decided to buy 5000 LKE today and some more tomorrow and on Monday as I think they could be a 30th June EOFY special.
Go long of 5000 only at 72c and finish a touch down on the day and ready to buy 10,000 tomorrow and maybe 20000 on Monday.
Bought 5,000 LKE @ 0.720
Today LKE take off, which is good and bad for me. Lock in a $250 profit and watch them go higher.
Happy with the profit and how breaking a golden rule worked out, but was hoping for a few more days to build on it.
Also had ZIP on my radar, if needing a double down partner but like LKE they had an earlier bounce than I expected.
All the banks were doing OK except ANZ, so thought about it and a little bit peeved on LKE going slightly against plan, so bt 4000 and watched them bounce around and then doubled down before they finally had a rally and matched CBA
Overall, a strange week, what with June 30 coming up. Up $3,140 gross and $2,833 net and now waiting for Monday!
Sold 5,000 LKE @ 0.770 ($250.00 profit)
Bought 4,000 ANZ @ 21.89
Bought 4,000 ANZ @ 21.77
Sold 8,000 ANZ @ 21.89 ($480.00 profit)