The Ultimate Leverage Investment Thread

[john kane]

couldnt believe my eyes when i checked the price and saw $840, i couldnt check it yesterday so was very nice to see

although i need to quit stock investing, i'm down almost £1500 mainly on northern rock and couple of punts ive taken.

total deposits have been £16k and now up to £23k so been a really good start.

profit entirely due to gold. the currency positions and other commodities are all in the plus, offsetting the losses from hong kong from my individual stocks. indian index is still even despite hong kong being down around 9%.

as for any pending changes, ive got a limit sell on oil at $100, i want to jump out of the northern rock position but at 150p i can see it falling to 130p with similar likelyhood to it going to 190p or so.

fingers crossed [img]/images/graemlins/smile.gif[/img]

[john kane]

ouchh! pretty painful day, but ive been expecting it for quite a while now. been lucky with the timing i entered gold in but unlucky when i entered hong kong index, down a [censored] load on that. pretty painful day, down around $11k, but i'm not particularly bothered, ive never added the gains to my thoughts of net worth so to speak as it really is an experiment and very much a long term investments.

right now increasingly position on gold looks tempting but think i may sit back this week and see what happens.

The 2 currencies trades have been super, CHF/GBP and JPY/USD have both stormed recently for an upswing of about $4.5k between them.

gl all, lets hope things can settle down a bit [img]/images/graemlins/smile.gif[/img]

[CrushinFelt]

[ QUOTE ]
ouchh! pretty painful day, but ive been expecting it for quite a while now. been lucky with the timing i entered gold in but unlucky when i entered hong kong index, down a [censored] load on that. pretty painful day, down around $11k, but i'm not particularly bothered, ive never added the gains to my thoughts of net worth so to speak as it really is an experiment and very much a long term investments.

right now increasingly position on gold looks tempting but think i may sit back this week and see what happens.

The 2 currencies trades have been super, CHF/GBP and JPY/USD have both stormed recently for an upswing of about $4.5k between them.

gl all, lets hope things can settle down a bit [img]/images/graemlins/smile.gif[/img]

[/ QUOTE ]

Sort of strange behavior for the market overall today with the late equity swing and all.

I've been long retail as of last week and was definitely encouraged when I went shopping with the g/f this week end and saw the malls packed with people. I think that gold and silver may not bounce back big because I think people might start to say "ok i've goten the bounce time to get out." It will be an interesting week I think.

[john kane]

last 10 days have been pretty crazy as for most investors i imagine.

i ended the long hong kong position at a loss of around $5k. may end the india position as well. the equities market over the next 12 months or so doesn't look strong at all and I want to see if both these markets can shake off problems elsewhere, as from what it looks like they can't. interestingly i read an article the other day about how strongly emerging markets have performed during the credit crisis so maybe that is an option.

on another low, crude oil is really annoying. i had a stop loss at $89.90 or so, the lowest the position hit was $90.05 according the igindex but they ended the position and it's now up at $97 or so, irratating. ive been busy the past week so didnt realise they had ended it....nice one john...

as for the positives, so far averaged in gains of 5% gained on CHF/GBP and 4.4% gained on JPY/USD which has been super.

overall at a little over £6k up so still in the plus. ill try and get some tables going of opening/ended/current positions as random ££ amounts means nothing really.

gl.

[kimchi]

[ QUOTE ]
on another low, crude oil is really annoying. i had a stop loss at $89.90 or so, the lowest the position hit was $90.05 according the igindex but they ended the position and it's now up at $97 or so, irratating. ive been busy the past week so didnt realise they had ended it....nice one john...

[/ QUOTE ]

This is a classic problem with spread trading. Since you are trading a derivative of a derivative, the market you are trading often has spikes not seen in the underlying. The market moves overnight also and you can get stopped out if the broker's algorithms calculate your stop was hit, even if the underlying market never traded at that level on that particular day.

It's possible with some SB brokers to buy the SB quote but place stops that are triggered by the underlying market. This might be an option for you to investigate.

[john kane]

thanks for explaining the problem kimchi, something ill definitely be far more wary of in the future.

general update, i am considering now putting half of all my income (salary, poker, other bits and bobs) into leveraging gold. busto would be at around $700. so say i make £5k income in a month. £2.5k into savings account, £2.5k into gold. so i'd add approx £20 per $1 swing in the spot price of gold.

fwiw i'd always keep £100k in non-spreadbetting stuff (savings/bankroll) but anything above i'd split 50:50.

good or bad or it depends?


currently i have increased my position to £150 per $1 swing. in a dream scenario i'd have £500 or so, meaning everytime it goes up $100 i'd make £50k, but i just dont have the balls to risk losing £50k right now.

[john kane]

uuurggghhhh, from at peak $18k up to now about $2k down. sick!

as soon as i started trading/altering %s/altering stop losses it's all gone wrong.

im going to re-do it and come back stronger. im leaving everything in there, im just coming up with a new funding approach (keep $30k in there, then 1/2 of salary+poker income) as i need to keep these as investing - long term buy and hold and top up when suitable.