Short term trading Weekend lounge 8 - 10 July, page-7

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forrestfield

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08/07/16

16:55

Post #: 18227782
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Originally posted by forrestfield ↑

5grander - as the capital has seen 500% growth therefore I have been thinking what should I do to:

1. Consolidate the gains this year.
2. and try generate further growth.

To answer this question, I am thinking to use 5k from the 5grander to start a mini portfolio in it. However, this will strictly be based on listed options (not call or put).

So I will start it as soon as I sell one of the existing holdings.
Rules will be same..
1. 4-6 options at a time with 1 to 2k starting capital.
2. Invest the returns (if any) in more options.
3. 25% return as minimum with runners being left alone until I saw weakness. However, these can be sold any time if I find a better opportunity somewhere else, or if something has changed for that particular option.
4. Try to find options which are cheap. Normally newly listed options are cheap as they are quite often free.
5. It will be even flexible as options have a weird trading pattern... so I will hang on to these even if they make losses until and unless the whole story of the parent stock changes.
6. 5 grander will have two portfolios. First one will be called heads 5grander and second one will be called options 5grander.
6. Other rules as we go along.

Notes:
a. Please note that options are extremely risky and should only be bought once we have observed them for a while.
b. Once again I have to mention that every stock I post I have vested interest. So please buy hold and sell based on your risk appetite.
c. I will try to update on the progress weekly basis or when there is change in heads 5 grander and options 5 grander.
d. I will be buying or selling these based on my strategy which can change pretty hard and fast. So please do your DD always before touching any options being part of options 5 grander.

Please wish me luck guys! Hopefully we can do well.

Cheers

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These options are going to be very illiquid so may be only available small parcels occasionally... so chasing them could mean paying high... which means don't chase them please lol
By saying this, I will try to add only those options which are liquid...

Cheers
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