greek-stock-index-28072010

A month ago I posted my long term stock trading analysis on the Greek Stock Market and explained why it seemed like a good investment to buy Greek stocks. Today the Greek stock market's index is 17% up since that day and if you had followed my investment advice to buy stocks, there have been Greek stocks which almost doubled their price! However, if you haven't invested in the stock market in Greece yet, I suggest you wait for a retracement.

major-european-indices-27072010

According to Yahoo Finance, all major European indices are rising indicated by their green color. Significant stock prices that is worth mentioning are BARC stock at London Stock Exchange top performing the FTSE100 (+6.35% now) followed by LLOY stock which stands for the LLOYDS Banking stock (+4.59% now). FME stock is top performing DAX and we have already posted a story about the FME stock moments ago.

fme-stock-daily-chart-27072010

FME stock's performance leads all other DAX stocks in German stock market. The Fresenius Med Care's stock is up 5% at the time of writing, verifying the long term uptrend of the stock in the best way. After the FME stock retraced the last month from €45 to €41 per share, today the stock opened at €42.34 and is now trading at €43.00. The 1-year FME stock chart is the best proof that the German company is well performing, having increased their shares' value by almost 50% in the last 12 months. Expect to watch the stock prices climb to €44 in the next days.

2011_Ford_ExplorerFord is introducing the new 2011 Ford Explorer and the marketing campaign started on Monday. The F stock reached $13 per share yesterday, trying to touch the previous high of $14.50. The new Ford Explorer, built on a car platform, hitting the market in winter and priced at $28,190, could be the helping hand for the F stock price to continue trending upwards, but it will require a lot more to climb up to $35, the all-time high of the stock in the last 35 years!

I've recently bought a couple of stocks in the Greek stock market and one of them fell suddenly far below my stop loss point. Although I should trade out, I did what seems like suicide for most traders following a trading system; I bought more shares! In fact, I doubled my position on that PPC stock, the national power company. Why did I do that? Not because I chased my losses but because I wanted to save money and minimize my loss. In the end I actually showed a profit! However, that was the exception of the rule: Always close your position when the stop loss is hit.

ppc08072010

The PPC's stock chart above indicates that the stock's price had entered a sideways channel and my entry point is shown by the green arrow. I had set my stop loss point right below the latest low, but I was quite surprised to witness an almost 10% fall in a day a week ago. The gap that was formed in the stock graph didn't help my confidence either and I was meant to trade out according to my trading system. Looking though to the rest of the stock graph, I saw that the stock had fallen right at the bottom of the channel the stock is trading all year long! The support level had shown tremendous strength and I decided that it was a very good opportunity to buy more shares. But what about my already bought shares?

Scalping the US stock market and FOREX was what I did yesterday afternoon before the World Cup semi final. Scalping as a trading system requires a lot of concentration and speed. I scalped 7 stocks of the SP500 and made just one losing trade, but that was expected since a scalper should experience a high success rate, in order to withstand the cost of commission. I also traded EUR/USD in the FOREX market 4 times quite successfully. Totally, I did 11 trades, 8 of which showed a profit.

pl07072010

While busy at forex trading, the biggest win for me was when EUR/USD climbed from 1.25875 up to 1.26375. Although I did lose 2 trades prior and after that big move, the profit that was made during that price rise made it all back and some more.

Aegean Airlines' AEGN stock chart shows a couple of buy stock signals according to technical analysis in the beginning of this week. Although the stock is in downtrend, there is a Fail Bottom, MACD divergence and a nice candlestick formation completed yesterday. The stochastic shows that the stock is oversold at this moment, making it a good trading opportunity. If you were looking for a stock to trade in the Greek stock market, I believe AEGN stock is a fine candidate for online stock trading.

aegn05072010

Going long and buying Greek shares looks like a good long term investment at the moment. According to technical analysis there are strong indications that the downtrend has most probably come to an end and a reversal is imminent. If I were a long term investor, I would look to buy some well known stocks and predict a long uptrend that is just beginning. Besides the risk/reward is huge at this point, as the stock prices might double or even triple up!

greekstockindex04072010

DFS stock graph provided excellent conditions to carry on swing trading last night. The US stock's price hit the moving average of Bollinger Bands in both the daily and half hour graphs, accompanied by a great candlestick formation in the daily chart, which strengthens the signal for a short term downtrend. Besides the stock is in a long term downtrend for almost a year although not a major one; the slope is rather small. Additionally there was MACD divergence in late June shown at the 30-min graph which make things even better. My stop loss was set at 15.00 but I'm moving it to 14.18 which was the price I shortened the stock. In other words this is another risk-free trade for me from now on.

dfsdaily01072010

I went short at BTU's stock when trading the US last night. The stock is currently in a downtrend according to the daily bar graph. I waited for a good entry point, which was a retracement in the 30-min stock chart. The stock bounced off indicating a support level, that was previously a resistance level of an uptrend. There are also quite a few more signals that indicate the trend and I'm quite confident with this trade. I also moved my stop loss from 42,50 to 40,27 making it a risk free trade, since that was the price I initially sold the stock.

btudaily01072010

I just bought 5 stocks in the Greek stock exchange today. 4 out of the 5 trading orders have been executed, while the one remaining is still in OASIS system waiting for someone to match it at the time of writing. I know that Greece is not doing well during the last months, since I do live in Greece but I believe the so called financial crisis does create opportunities. I always have in mind that whenever someone loses money, someone else must be winning it! Now, which Greek stocks attracted my interest?

First of all I should note that I'm not that happy trading the Greek stock market. The commissions are through the roof (about 0.5% per trading order without cap) and the stocks behave rather peculiar. However, instead of keeping the money sitting in a bank account, I prefer investing them in any way, and stock market is an investment, although it can lead to losses I wouldn't experience if I didn't bother. Ok, maybe the Greek stock exchange isn't my best option, but I don't want to invest all of my money on the same investment, I am a fan of diversification. For that reason, I have divided my whole capital into small parts and invest each part in a different investment tool. Therefore, a part of my trading capital is going to be invested in the Greek Stock Exchange, like it or not! The other parts are invested in US stocks, Forex and other financial products, mainly through Interactive Brokers.

stocktrading3may10My stock trading system performed well yesterday for a second day in a row after a great start on Friday. 11 out of 16 completed trades were profitable increasing my available for US stocks trading capital by 9.75%. This time I still hold 5 stocks since there weren't signals to trade out. My biggest win was Halliburton Co., although the first trade, Ford Motor Co.,  was also quite profitable during the first hour of online trading, followed by Verizon Communications.

Winners: F, GE, BAC, XOM, VZ, EMC, TXN, HAL, YHOO, PFE, VMC

Losers: CSCO, SYMC, X, SLB, SLM

The stocks that I held shares of overnight are FITB, GNW, MRK, VNO (short) and AMD (short).

US Stock trading system excel spreadsheetThis week I began trading the US markets and specifically the stocks of SP500. I created an Excel spreadsheet where I keep track of the stocks I buy or sell according to my online trading system.  I must confess that the adventure has started quite well and above my expectations, given that it is the first time I am trading online the US stock exchange.

At the time of writing, I am not holding any stock. The Excel spreadsheet consists of 15 or so columns, including stock name, buy or sell price, stop loss limit price, number of shares, capital at risk, risk per trade and P/L. I am also using the spreadsheet to calculate other significant statistical data about the online stock trading system like average win/loss ratio and winning percentage that will help me in the future to evaluate the trading system.

There is no stock trading system in online stock trading that can guarantee every trade to be profitable. If you are looking for a 100% strike rate you will be disappointed to know that there isn't such a system. We just have to cut our losses and let our winners run in stock trading. For the time being I just have a nice day in the Greek stock market this morning, where every stock I own is rising. It is not usual to see so many green figures in my portfolio picture, but of course a welcome sign of doing something correctly. I bought most of those stocks 10 days ago and I believe there is money to be made.

120310greekstock

In case you missed my news, I am now a customer of Interactive Brokers. Stock trading was something I always wanted to deal with and I think the time has come. Up to now I had been trading the Greek stock market but the commission and the rules of the Greek stock exchange have been a stepping stone for me. Interactive Brokers offer me the opportunity to trade all stock markets around the world from my office; and for a much smaller fee!

Here's a German stock bar graph using the interface of Interactive Brokers.

100310bargraph

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