Visit our COVID-19 site for latest information regarding how we can support you. For up to date information about the pandemic visit www.sacoronavirus.co.za.

bs-regular
bs-extra-light
bs-light
bs-light
bs-cond-light-webfont
bs-medium
bs-bold
bs-black

Community


Share knowledge. Ask questions. Find answers.

Online Share Trading

Engage and learn about markets and trading online

On naomi's advice....

Reply
barry_1
Super Contributor
.....since yesterday i,ve bought an equal amount of TOPSKS to my TOPSKC ,IN HER OPINION ONLY ,even it the market does not fall back today,its likely to fall back by Monday and she feels the next run might not start before Wednesday or later.Don't consider this advice only her personal feeling ,which could be wrong as the upward movement is so strong and the market is only likely to move sideways before resuming the charge upwards.
0 Kudos
4 REPLIES 4
Galuc
Super Contributor
Is that not like betting on red and black at the same time, excuse my ignorance
0 Kudos
barry_1
Super Contributor
Its possible to sell both at a profit,or if a direction is established easier to get out of one thats going down and then scrambling then to get in on the winning side ,usually at a price much higher than u would like to pay.
0 Kudos
Not applicable
Hi Barry, I have often seen this type of strategy, and always called it into question. You might have an arbitrage opportunity by selling inbetween spreads in an upwards / downwards movement - hence a net gain either way, but you could equally end up on the wrong end of the spread with a net loss. And you have the double risk of a sideways trading market (statistically the by far the most likely situation) in which you exit your loser, only to find the situation reverse on you immediately. Very keen to see how it pans out for you, and if you have a plan for such situations.
0 Kudos
barry_1
Super Contributor
First a warning,something wrong with ALL shares when entered from watchlist. When put on live ,then ask for quote the answer is on DELAYED. SBK PLEASE FIX ASAP.----------------------------------------------yes there is always that chance ,first just let me mention that could be a problem.Not a good idea to try with ordinary warrants as then u ave time decay to contend with as well.In the past we've made some with this stratergy,always remember to keep a tight Alerts on the knock-outs and if no decision seems due get out of both.
0 Kudos