Sunday 1 October 2023

12% solution 'superhero' portfolio and 'moomoo' trading account - end SEP 2023 update

The "12% solution"" recommendation email from David Alan Carter for the end of September was for

60% SHY (or cash) + 40% JNK (or SHY or cash)

So I will liquidate the 12% solution portfolio holdings when the US market opens and move to cash for this month.

David Alan Carter's monthly "12% solution" update email reported the YTD performance for 2023 so far as being +16.1%.

Overall my 'superhero' trading account was down during September - from $2,162.41 to $2,056.81

My other 'moomoo' trading app account (where I try to read the entrails of technical charts to make profitable 'long' positions on the index trading VAS ETF) managed to be slightly up during September despite VAS and the markets being down - from $5,179.63 to $5,200.38. This month the movement was entirely due to my trading performance. My overall trading result is now a 43% win:loss ratio, with four stop-loss trades losing an average of $61.53 per trade, and three take-profit trades gaining an average of $84.87 each. The win:loss ratio is still quite good (but still way too early to draw any conclusions), and the average realized losses moved closer to the planned (-$50) target, and the winning trades getting closer to the planned ($100) target. 

Compared to the 'benchmark' of the S&P500 index my 'trading' was quite successful during September. My overall yield is +2.03% while the S&P 500 during the same period is -6.41%. The 'plan' is to open a long position when the market seems to be in the early stages of an upward trend, and take a profit (or roll-over the position and reset stop-loss and take-profit alert settings if the trend is holding) when the price target is reached, or close out when the stop-loss is reached. Setting the take-profit to be a 1% gain while the stop-loss is set at a -0.5% loss, should result in profitable trading *if* I have winning trades close to 50% of the time. Of course, the take-profit trigger being twice the stop-loss trigger as a percentage change means that the stop-loss would be triggered more often than the take=profit trigger, if my reading of the trading entrails doesn't avoid opening positions when the market is about to start dropping. We'll see how things play out over coming months.

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