1. Some interesting question and answer here for someone would like to consider as full time trader. :)
Thomas SM // March 31, 2011 4:44:00 PM GMT+08:00
I am very impressed with your performance. If you don't mind, I would like to seek for your advice that if anyone were to be a full time trader, with estimated earning of RM2k -3.5k per month, how much capital do I need?
Any other advices that you can share in order to be a full time trader?
Thank you very much!
hng // March 31, 2011 6:09:00 PM GMT+08:00
Lets take 3.5k pmth as example, you need to have initial 50k as initial capital and open an margin account which give you additional margin line of 75k. Your target return pmth is 3% at least or average of 10% quarterly. You also have to 10k emergency capital to standby as fund to support your 3 mth living expense.
In short, you need 50k + margin line 75k + 10k standby living expense to start.
2. Scalp trades today :-
AMFIRST - sold RM1.16 - RM1.17
STAREIT - sold RM0.875 - RM0.88
3. Dav C, you bought in Sapcres-CB ? As i mentioned earlier look at mother share movement, when mother start to move you monitor the CW, if the conversion ratio for CW still low compare to mother share movement, say mother up 7sen and conversion ratio for CB is 3, then 7/3 = 2.3sen, if CB flat or up like between 0.5sen to 1sen then is safe to buy in. Look at today trade CB up 3sen, thus 3 * 3 = 9sen, up more than mother, not worth anymore unless mother open 3sen gap up tomorrow. If CW is liquid then even better, easy to trade. Everyone, has different style of playing CWs, i hardly stare at screen all time, so i prefer to earn half sen each time i trade, fast game and safe as well. For people more adventurous, they go along with mother, mother up hold and mother down sell. BUT it is easy say than done. I am risk cautious type, so prefer to close trade with half a sen with huge volume. :) Good luck.
4. Recently post a lot of CWs trading but don't mistaken me that i am a CWs trader. In fact, my preferred way is still intact and focus. I am a dividend player, have been staying on course for many years and the yielding through dividend is definitely good compare to ordinary FD.