Short Term Trading Week Starting: 5th Sept, page-211

Hi @forrestfield thanks for your time responding also. Definitely seems like the STT has alot more useful information and users who are more friendlier in helping out other less adept investors/traders than some of the junk I go through on individual forums. Not to mention self-interest posts.
Responding to your points in order... 1. Agreed with capital protection. But as mentioned in my response to gladiator above, I find it difficult and feel like i'm floundering in absence of a set trading plan as to how to implement what seems like common knowledge such as this. Some use TA for breach of support lines, others fundamental valuations. My issue is knowing when to hard and fast follow some rules. Particularly when stocks seem to be shaken down past support for stop losses and soon rocket back up, or where sometimes fundamentals may still see a stock further halve in value even if your fundamental case for investing hasn't changed (at least to you). This is where I find it hard between where one draws a line between a hard and fast rule i.e. sell at 10% of capital loss, and soft rules and interchanging between methods in determining when enough is enough and getting out of a stock at a loss. The same goes for the upside and the sometimes premature exit of winning positions.

2. So the five grander mentioned in a previous poster's response is in reference to traders taking $5,000 and splitting it amongst various trades to 'practice'? Is there any tips on keeping motiviation or tracking 'paper trading' as I find without a hard and fast sum of money in the stock it is alot harder to keep up to date with its gyrations and movements. do most just write down an entry point and track their exit and profit or loss made, and once happy move on from paper trading? Or do most start off with $5k in real cash so that something is 'on the line' somewhat?

Good job to those who've successfully traded their way up. Envious and wish you all the best for what I'm sure you've earnt. It would be great to hear what tips and tricks these new traders used to overcome that floundering/lost feeling which I'm sure some may have also felt, when trying to devise or know if a set strategy, rule, or trading plan is appropriate?

5i) thanks for the practical examples. My floundering example comes into play here - when do you draw the line to cash out of something like MNE as a failure of a pick? Given you're waiting for a double bag that might not come along, I just dont see where you quantifiably decide when to cash out? Do you set the cash backing of 1.2m equivalent in share price as your bottom 'get out'? Or do you plug away and wait for the double bagger which might still come?

ii) fair enough - great profit! Again, how did you judge 50m market cap as too much/reasonable? Do you have a firm understanding of fundamental valuation and project NPAT by a PER average to compare the market cap to? Is there some hard example rules you could outline on how one makes these calls?

iii) This again falls into my floundering on when does one just 'hold on'? Again I'm lost as it seems like this is some sort of gut feel/instinct as to when something is worth holding onto and a punt? Whereas when I usually do the downtrend continues and i'm kicking myself for not getting out. Likewise it usualyl goes well after I've finally decided not to hold onto some stocks after some significantly adverse market reaction.

7. Can you explain the rationale behind the FNT @ 3c looking cheap? Doe sthis come down to your valuation of the 4 drill rigs and know-how of the industry that the equivalent of $800,000 ($1.2m market cap less the 400k cash) was more than worth the project potentials and drill rigs? Again are these decisions made on just monetary value/potential alone, or do you have a good grasp of past initial drilling results to gauge that the gold-silver-copper-zinc projects would come good? Or does one typically see a re-rate of these sort of projects in the lead up to drilling results regardless of eventual outcome - which I assume is what people trade (as they buy rock bottom so the rise up makes for decent profits regardless of eventual drilling results, as they'll be out by then?)

8. Good points. But again my floundering issue between when your out there alone with no mentor and think it still has more to run, you buy in more sid eparcels, have a slight fall in share price and then you're left with the hard and fast rules of 'protect capital' and sell out, only to see it continue? Or where you hold on it continues falling. Maybe I have just experienced these becuase I have been in stocks where the value proposition in the rise up was not as good and no brainer as those you have picked.. so that even if the stock had natural retracements to below what I topped up side parcels at, you would be alright in the long run?

9. Good points.
10. good point again. Which makes me beg the question as I"ve read a few posts here alluding to tips/stocks to watch based on this 'repeat cycle' or Reverse take overs about to or already occurred. Is there a general market effect where RTOs tend to rise out of the ashes again for a classic pump and dump after being reborn? Or is there some other reason why RTS/shell listings seem to be a play here on these forums?

11. great post.

Thanks for your sharings and apologies for my lengthy responses and endless questions. So many questions and curious ideas playing through my mind that I almost feel like I'm asking for everyone's life stories and trading plans on paper... haha (well actually that would be good). I will definitely have a look through the STT knowledge library. I do note that Gladiator has shares some key factors/areas in his most recent post that I responded that were to form part of ones investment/trading plan, so this will be a close start to an actual practical example of what to include.

I assume there is no hard and fast post or knowledge bank here of people's trading plans or investment plans per se? Assuming too closely guarded/personal for most to share to others willing to learn?

Thanks again for the responses and apologies in advance to those whose eyes have to cast over my lengthy, amateurish sounding posts. Hope to do some digging myself for some ideas hopefully! Although short of seeing the odd posts here about ideas to look into, how do most go about scouring for unheard of, small cap stocks like most of the tips? Just by chance, sector, or experience having trawled through ticket codes constantly?