Saturday, December 15, 2007

Portfolio Update 14/12/2007








Some action needs to be taken next week!

BKN, LRF, and BLY are out.

What happened to BKN was tragic!!

LRF at last a normal exit which can get us out, hopefully at close to breakeven.

Volatile market this week, open profit was +$4,409 after Wednesdays close. What a difference two days can make.

2 comments:

Anonymous said...

Sorry about BKN's demise. I notice at
one stage the profit was quite good and I was wondering why you did not take profit then. Do you mind sharing your profit target for each share you invested?
Also why do you choose to exit LRF next week?

Nizar said...

Hi Lplater,

I have tested all sorts of profit targets and none of them seemed to improve the profit or drawdown stats for the system.

In fact, they would harm expectancy considerably.

My exit strategy is a trailing stop of 2*ATR(10).

On LRF, while the initial stop was 1.64 and initial stop 1.39, the stockprice was rising for a while and the trailing stop (red line) followed it upwards, and then flatlined as the price went down.

The trailing stop aims to lock in increasing levels of profit or at least minimise the loss and its doing this here.

The second chart in this post is LRF. The weekly price closed below the trailing stop so an exit will be taken next week. Note in the top left that Chandalier Long = 1.67 and the price closed at 1.66.

Thanks for dropping by.

Nizar.