John Walsh’s Monthly Trading Record
“Aside from the fundamental backdrop of each company, I then take a look at their chart pictures, but over many time frames — long and short — to try and see if there is an established trend that I can jump on and, if so, which way.” Once I have done this I then take a look at the most recent statements that the company has released to get a better picture of its trading and immediate prospects. I find that a combination of both technical and fundamental analysis works well for me and that relying on one in isolation is not advisable. Better to be overly informed and armed than under, when going into battle, eh?! As I’m now thinking more long term with my trades, I have opened only four new positions this last month and which, intriguingly, given the difficulties the stock market has faced during April, are all long positions. My first position being in Speedy Hire (SDY) as I think it’s a solid business whose share price has been in a clear uptrend since the end of July 2012 and which has still more to come in my opinion. Certainly nothing in the chart leads me to believe that a reversal is imminent. Another of my new positions is Moneysupermarket. com (MONY) — another stock whose share price has slowly but surely been moving up these last few years after a big drop in the GFC of 2008 and I don’t see why this cannot continue and reach new highs. One of my other new trades is St Ives (SIV) who look to be in the process of changing some of the ways in which they do business, and for the better. The market is beginning to take this on board and this has been reflected in the share price since September 2012. I personally cannot see it changing anytime soon.
My fourth and final trade for now is in a company that I have previously had an open position in and where I did make a small profit. One of the things I was taught during the Trading Academy is that if a stock price rises from your exit level, but the rising trend looks to remain intact, then don’t be afraid to get back in — the old traders adage that “no stock price is too low for selling nor too high for buying” is to be adhered to. The company in question is William Hill (WMH) and I hope for new highs this year. All my positions have sensible stop losses and my plan is to give them time to “breathe” and not continuously check each day on their progress as I have done so in the past. If they look as if they are going to hit their stop loss, then so be it; I have never had a problem with getting it wrong and having a losing trade, that’s just the way it goes sometimes. The only time I want to have to think about any of the positions is if they rise nicely, then I will need to decide if the reason behind opening the trade is still valid and if so, leave them be, if not, then take the profit (my biggest problem with trading that I have personally found is knowing when to take profit, not cut a loss). I will, of course, be on the lookout for new trades be they Long or Short and I will, of course, update you on twitter where you can find me @ _JohnWalsh_. Thanks again for taking the time to read this as I enjoy writing them. Remember, you control the trade; the trade does not control you. John
May 2013
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