Portfolio (Realtime trading exercise)
January 15, 2000. The investment approach we take here may sound very risky to you; but I think this is the most conservative approach to investments. Most of the investors take far more risk than they are aware of whenever they invest into any stock. I am here just starting a real time trading simulation exercise just to show you guys a possible business like appraoch to investments.
Objective: Short to medium term aggresive trading with a target to double the money being risked within a year.
Risk capital 10,000$. Target trades 10. Risk 1000 dollars per trade.
|Date||Symbol||Position||Rate||Stoploss||Target||Amount Invested||Amount Risked||Positon Closed||Profit/Loss|
|1/15/00||PLC||Buy 2000||2.12||1.62||3.90||4250||1000||Opened 4.5 on
|1/15/00||ORCL||Buy 2 Puts @100||5||0||20||1000||1000||0||-1000|
|3/20/00||NTAP||Keep a limit order to Buy One Put 200||10$(should
be executed when stock is 210plus
40$ Stock price 155 split adjusted
|4/03/00||AMZN||Buy 5 puts at 60$||2||0||10||1000||1000||10(48$
|4/15/00||IOM||50 Call Options @5- 05/00||0.18$||0||1$||1000||1000||0||-1000|
|4/15/00||MO||9 calls @22.5,05/00||1.12$||0||5||1000||1000||4.75$
KMart: Purely technical. 9.25 is a very strong support level. Economy and Christmas both great. Some good news expected or the quarterly result should take the stock to its target.
PLC: Purely technical. 2 dollars a strong support level. Volume dried up. A little higher bottom seems in the formation and the uptrend is likely very soon. New CEO. Revenues increasing. (03/08/00. Great. Opened at 4.5$ beyond our target of 3.9$. As per strategy, just get out at the target)
ORCL: NASDAQ and this stock both have shown too much volatility (big movement days) during last 2 weeks or so. This should be interpreted as a top-formation and widespread profit-taking by bulls, traders and other knowledgeable sources. ORCL has just bounced back from recent low and it does have broken the upward trend line.
NTAP: Trend line is broken. (great. Book the profit on 03/30/00.)
AMZN: see the stock tips page. (04/13/00. stock price is 48 today!!!!. At the closing, put option should be worth 13 dollars at least)
IOM: Risk 1000$ by buying 50 call options currently quoted 1/8, 1/4. Better than expected results; heavy volume; stronger when tech sector is down 25% last week. Play with quaters like in Las Vegas.
MO: Very strong on the charts. Buy 9 call contracts at 1 1/8. Broken the downward trendline. Great value.
Dell: Very strong breakout from the downward channel on 5/12/00. Should go up fast. Stoploss:44
EEEE: 4$ is a good support level. It is a fast growing 1 b$ sales company...Good value..
ZIPL: A good upward breakout...
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