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clock Created with Sketch. 14/09/18
21:48
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Originally posted by mechanic
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with liquidity you can make fortunes from points, as an example I traded some years ago using 2.5k and the banks 16k buffer for settlement within three days then over a 6 month period churning millions of shares I turned 2.5k into a peak of 33k held to long then sold for 17k a profit of 14.5k, that was the gfc prior I had lost almost all the equity in my home it was a hard lesson, sold my home used the remaining equity bought into a fear driven collapsed reit borrowed using a personal loan and in the next 12 months doubled my money which allowed me to buy another lesser property with 25% equity not the 75% equity I held before trading, the carry over losses provided extensive tax rebates for 4 years---so yes points of a cent matter the advantage algos have is points of a cent across markets and they never stop, retail requires significant capital in the abscence of enormous liquidity and then we have Hedge Funds or short sellers with computer based algorithmic systemic information based attacks on any perceived weakness,{which is exactly where FMG are currently placed} in instances like this where the company appears to be well managed which ultimately was the reason for purchasing I sit it out even if that means a year or more.
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got lost in the strategy PLS which I also own the advantage for instos is .1c traders need need.3c and enormous liquidity otherwise transaction costs are way to high the reason for buying is its current advantage belief in an ongoing future the management team etc and am prepared to hold
(20min delay)