Happy New Year Everyone!

Refreshed and excited about 2013. 

Can’t wait for the holidays.

Been a busy couple of months and looking forward to a nice break. Have started the paperwork to self manage my super and will hopefully have that finalised by xmas. I nearly cry when i see the fees i get charged by MLC for them to generate a couple of percent return. I literally would have been better off if they stuck it in a long term deposit. With my wife and my super combined we will probably go into property and possibly give the live trading a shot. This might take some convincing, I think my wife is concerned about me being at home all day trading like i might go stir crazy. 

Nothing much to report

Been a busy month for my family. Sitting on about 14% profit this month. Have a few open though which are close to giving profit alerts so the real figure is a bit higher.

I get it now!

In my last post i spoke about 1Wealth’s method of getting in and out very quickly and looking for individual stocks with the potential to make a small, quick profit. My big question was since it works so well and seems so basic, why the heck isn’t everyone doing it. I was chatting with Andy about switching my super to self managed and couldn’t resist asking. He pointed out some obvious stuff which made sense. Here is the jist of it - as an individual trader i buy 8 or 9 thousand dollars worth of shares...an easy amount to get in and out of the market with. A bank though is dealing in huge volumes, millions of dollars worth of shares. For a start, that limits the style of stocks they can invest in and also if they do make a quick profit they can’t simply offload millions of dollars worth of stock to realise that profit. That sort of sale would create an over-supply and the profit would very quickly deteriorate as the share price contracts. It seems for once being the small guy is beneficial. You have so much more flexibility. I didn’t ask but I guess it applies to the downside as well. When the 1wealth program picks a stock that goes backwards they cut out at a small pre-determined loss and then invest into something about to move up, i’m assuming banks would have to ride out a bad stock for the same reason as before, they can’t dump millions of shares or the price will dip even further. So good or bad they are in for the long haul. I am starting to understand why this system works so well. Up to now it always seemed a bit surreal that a humble high school teacher could do better than the top dogs at Macquarie Bank. But it’s obviously two very different ways of trading, they want 20% per year on a billion dollars whereas i’m looking for an income of 80k. Our strategies are nearly the complete opposite. Off on a tangent, i’ve heard there are shieks with so much money that they are constantly looking for fund managers to take hundreds of millions to invest for them, they literally have millions of dollars every week they need to find a home for and their biggest challenge is finding places to invest it....what a great problem to have. Anyway, back to reality, this month has been a pretty good one, should be over 20% for the month which is a tidy profit now my portfolio is bigger.

Another solid month.

There is so much uncertainty in the news everyday about the eurozone and possible double dip recessions but the program seems to carry on unfazed. It’s such a simple concept, take tiny gains, reinvest them, create a compounding effect, it’s been working so well I can’t understand why more people aren’t doing it. Why aren’t the banks doing it? 

How does the 1Wealth software actually work?

Things are going strong. Another good month. Sometimes I need to pinch myself. I have recorded a lot about my results each month but friends often ask for more info about what the software actually does. I’ll try to give a basic rundown, but forgive me if it sounds a bit vague because to be honest, even after running it for a year and a half, i still don’t know the exact ins and outs. As a user you literally just turn on your computer at the close of trade, click a few buttons and the program tells you what shares you need to sell and if so, what to replace them with. It is really simple so you don’t get too involved with the workings of it. My older brother is a complete computer dummy and he has been using it for 6 months without any hassles. In terms of how it works out what to buy it uses technical analysis. From what i can gather it is the most common way to analyse stocks when trading short term. Every stock has its own unique stock cycle, almost like a fingerprint, if you do enough analysis you can identify it. Once you have detected its cycle, everyday new information comes in on that stocks performance which updates that unique cycle....once you look at enough history you start to see the pattern over and over again. What the 1Wealth program does is it looks at thousands of stocks, watches where they are in their own unique cycle and when they detect a striking similarity in the pattern to say the stock will rise, they tell you to buy that stock...again, that is my understanding, i’m sure it could be explained better but like i tell me friends, i don’t know exactly how it works but it works and that’s the most important thing. I’m making about $1500 each week from running it so i couldn’t be more pleased with it.

1Wealth, forex or live trading??

Andy from 1Wealth had one of his colleagues call me about trading forex. They don’t currently offer the service but suggested a few sites to look at, chatted a bit about live trading instead of forex, sounds tempting and would be more comfortable using 1wealth again given how well it’s gone so far. Big step to start trading full time but the returns definitely are tempting. I am maxed out with my current end of day portfolio. Whatever profit i make from the 1wealth software now has to be taken out each month...great problem to have. Currently paying off the last of the mortgage but in 6 months that should be done and will have a couple of grand each week to invest somewhere. If anyone has experience with the day trading program from 1Wealth please contact me via this blog or on my email tonymarcusrobinson54@gmail.com.

Bye Bye Commsec

Decided to switch brokers. Have signed up with CMC markets. Will keep you posted. Thinking about having a play with forex as well. My wife thinks i’m crazy, says i should stick to running the 1wealth program, loves 1wealth...from memory she wasn’t too keen on it when i started but now she tries to take credit for it like it was her idea. Short memory, short temper, still the best woman in the world.

Frustrated!

This month was a good month as far as the performance of the 1Wealth program went but in terms of commsec i have been very disappointed. They have had some technical difficulties with their site so i went into the branch but no-one seemed willing to help. Instead they gave me a phone number to call. Can’t you go into banks anymore....why have branches if they just tell you phone a number...if people in banks don’t want to lose their jobs to overseas call centres than maybe they should be nicer to people when they come in to see them. Anyway, contemplating making a change, have seen some good deals with other companies.

Okay May

Okay May. Percentage wise it was average and I dipped into the trading account to buy a car for my daughter so was hoping for a big month to replenish those funds but it wasn’t forthcoming.

My first year with 1wealth has been very profitable.

Nearly a year of being a 1wealth client. What a year, have paid off the initial investment and made about 40k in profits. If last month is any indication this year should be even better. My biggest dollar value return for a single month, $8140.54.

Investing more.

Call me crazy but after my first losing month I have decided to put more money into my account. Andy from 1Wealth says all the signs are very good and the next few months should make up for a slow Feb. Running with a pretty decent portfolio now, just over 55k.

1 out of 10 is not bad

Feb turned out to be a losing month. Final figure was -1.8%. Not the end of the world given the overall return over the last ten months but i still prefer to be going up. 

An unwanted first.

Gasp!! Unless I have a good rise in the next day or so it looks like my winning streak has come to an end. Feb is shaping up to be the first month where the 1wealth program has failed to make a profit for me. As it stands I am down 2% for the month.

Addicted to trading...pfft!

Feeling very refreshed. Ended up taking my laptop with me on holidays. My wife thinks i might be addicted to trading, but since the holiday was paid for from trading profits she wasn’t complaining. The xmas period was pretty slow in terms of trades. Only did four trades in 3 weeks. Profits have been pretty good though.