Confessions of a Day Trader: Life’s a gamble. Yeah, yeah, yeah.
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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: $10 (previously $40 on alternative platform)
Rules of engagement: Never hold any positions overnight (unless forced) and try to avoid any suspensions (if possible). No shorting.
Monday here we come. No positions and ready to go. A couple of pre-11ams come in.
Buy 2000 CHN at $6.68 and 1000 APT at $122.61 plus pick up 2500 Z1P at $6.78.
Sell the CHN first at $6.78 ($200) and then the APT at $122.89 (+$280) and so up $480 before 11.30am, so not a bad start to the week.
Very low volumes around the place today. BHP are below $38, so pick up 2500 at 37.84.
Up the size because of the smaller ranges and volume.
Sell them at $37.90 (+$150) and then cut the Z1P at the same price as the buy in, so break even there.
So, overall a quiet day with Z1P very boring compared to APT. CBA keeps above $105, so nothing there and up $630 for the day, which is a nice start to the week and always good to book some profits, as sets the mood for Tuesday.
Everything pointing upwards today according to the AFR. Tesla hit an all-time high and nudged a trillion dollar valuation, so tech stocks should do OK today.
MIN start to get a hard time and having hit a high of $42.22, I decide to buy 1500 at $40.41 which I thought would be okay as before 11am.
Have to double down and buy another 1500 at $39.93. Then RIOs pop up as a fruit ready to pick.
Pick 1000 RIOs at $95.33 and then buy another 1500 MIN at $39.64.
So now long 4500 MIN and 1000 RIO.
MIN rally back above $40 and out the 4500 go at $40.12 (+$570) and then the RIOs on a limit at $95.50 +($170).
CBA have touched a high of $106.00 exactly but I managed to buy 1000 at $105.02. They do touch a low of $104.98 before they rally. Sell them at $105.10 (+$80), which was their last trading price.
All up plus $820 for the day and up $1450 for the week, so far.
Looks like it will be a steady Eddie day today, looking at all the overnight prices and their markets. Inflation figures are due out at 11.30am, so that will be interesting.
Well, I’m leaving everything alone until 11.30am and when the CPI figures come out they knock not only CBA but for some strange reason, also MIN.
CBA start to rally, so figure all CPI news now fully digested and buy 1000 @ 105.14.
Maybe MIN are just getting dragged down with sentiment? Who knows. Pick up 1500 at $39.15 and then another 1500 at $39.05.
Sell the 1000 CBA at $105.32 (+$180), so they are behaving okay, but MIN aren’t. Buy another 1500 at $38.89 and then buy another 1500 at $38.57.
They have fallen more than CBA on their CPI reaction and really think either I’m wrong or the market is wrong.
Now it’s a waiting game, as Perth seems slower to come in and support them. They finally wake up (see graph) and I go for a walk on the beach, as only watching the screen will knock my thoughts and I need a distraction.
A slow and steady rally starts and I hold my nerve as they nudge above my average in price and go back above $39.00.
Sell the 6000 at $39.20 average and book a $1740 profit. Phew!
Every 1c movement meant plus or minus $60 to me but I was prepared to go to 9000 shares if need be.
So, up $1,920 for the day and $3,370 for the week so far.
Things are bouncing around early on and I pick up some CHN, who were down 5% or so. Bt 2000 at $6.58 and sell them at $6.70 (+$240). Not a bad start.
Then PBH come at me in raging red, as they are down 80c or so and are the biggest ASX200 faller.
Decide to dip my toes in for 1000 at $9.22 and then get pulled under! Next 1000 are at $8.84 and then another 1000 at $8.70.
I am now well and truly underwater but they rally towards the close and then fall away, so I end up drowning in a loss of $870, when I have to cut the 3000 at the close at $8.63.
So, they fall over 18% today and if down again tomorrow, will try and claw something back from them.
Down $630 today and now up $2740 this week so far.
Backed the wrong horse today in PBH, but let’s see what tomorrow brings. All the iron ore ones on my watch list were down and closed near their lows. FMG are hovering around the $14.00 mark.
Inflation and interest rates keep dominating the headlines, so avoiding the banks and not sure about the iron ore stocks on a trading day ahead of the weekend.
CHN are marked down, having been above $6.90 on Monday, so buy 2000 at $6.64. PBH are down even more today, so down over 23% in two days. Can’t believe it but managed to buy 1000 at $7.76, which surely is oversold.
After a few false starts PBH finally put in a good gallop! Sell them into a short squeeze at $8.15 (+$390), so manage to claw something back.
CHN are looking woeful and looking like a lost cause today. Had them on a limit higher up and for some reason (see chart) they spike through my limit and then fall back. Book $180 on them, so up $570 for the day.
See the chart on CBA, as they have one of the biggest intraday swings that we have seen for a long time. Over $3.00 on just over 3m shares and they touched their low with 15 mins to go. Will be interesting to see them today at 11am.
TGIF and up $3260 gross and $2746 net having basically wiped out Monday’s gain on Thursday’s trading. So really only three days of trading but five days of effort. Beer o’clock time.