Top Traders discuss their trading

Trading notes from Andrew Collins

by
Andrew2018

I completed another small trade in Vodafone yesterday which continues to trade around the £1.40 mark. The company is due to report on the 14th May and with the numbers being so close it is unlikely I will trade this one again until after the numbers. I am keeping a close eye on AstraZeneca which has been hit by a recent share placing and having reported good numbers last week, the shares look reasonable value and I think are likely to find support around the £56 to £58 mark. I will also be taking a close look at Reckitt Benckiser’s numbers on the 2nd May. The shares seem to be finding support around the £57 level and I think are an interesting stock for trading.

The market in general seems to be struggling to make headway at the moment although the earnings season so far has seen some respectable numbers being reported. I would not be at all surprised to see the market tread water over the summer months and we might well see another pull back, albeit more minor compared to the one experienced at the end of 2018. I hope to take advantage of a range bound market over the coming weeks and months.

 

TRADING BIO:

I have been a professional money manager in London for over 25 years and trading my own funds simultaneously. Unlike many popular traders, I have a very different approach to my trading and focus almost solely on risk management and fund longevity. Another difference is that I don’t trade indices, forex, commodities or glamour stocks. My focus is on cyclical UK FTSE 100 blue chips where the leverage of CFDs and spreadbets allows you to take advantage of the more predictable and staid price action. Trade volumes are low so as to minimise costs paid away to the market, often a significant drain on performance for a trading portfolio.

At any one time I may be studying around a dozen such equities but unlikely to be holding more than one position I don’t profess to get it right every time as markets and information changes which can cause movements that you simply cannot predict. What I try to do is manage my risk with small enough position sizes which also provides the potential to diversify when conditions are right to do so. I keep strict stop losses to avoid damaging my account when positions go wrong. It is much better to get stopped out and revisit the position than continue holding and hoping!

I like the concept of true copy trading as it allows Followers to see the true activity of a trader’s account and make honest and accurate decisions. By taking a lower risk approach and trading in modest sizes my intent is for any Follower to be able to use their ‘multiplier’ to gear up my trade sizes if they personally wish to scale up the trades in search of higher returns.

 

Risk Warning
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Trading Futures, Equity CFDs, Options, Forex Exchange and Spread Betting may not be suitable for everyone. All speculative trading involves substantial risk as well as a potential for profit. In order to trade successfully you must be financially and psychologically prepared to accept losses. Only risk capital, that is, money you can afford to lose, should be used. The risks associated with trading Futures, Equity CFDs, Options, Forex Exchange and Spread Betting are substantial. A stop loss may not limit your losses to the amount intended. In fact, you may sustain a total loss of the initial margin funds and any additional funds that you deposit with your broker to establish or maintain a position in the stock index futures market. If the market moves against your position, you may be called upon by your broker to deposit a substantial amount of additional margin funds, on short notice, in order to maintain your position. If you do not provide the required funds within the prescribed time, your position may be liquidated at a loss, and you will be liable for any resulting deficit in your account. This brief statement cannot, of course, disclose all the risks and other significant aspects of the stock index futures markets. You should therefore carefully study Trading Futures, Equity CFDs, Options, Forex Exchange and Spread Betting before you trade.