[KateMoloney]

Thank you for your help!

[KateMoloney]

Hi Michael,

How did you set up sub accounts with IB?

I’ve been trying to do so within my newly created account. Sent support a couple of help tickets 6-8 weeks ago and heard nothing back.

[KateMoloney]

Thank you Julian. Good advice.

The coding has been a huge learning curve. I see myself repeating the course a couple of times to maximise the learnings.

[KateMoloney]

July 2021 Results

ASX Momentum +5.57%
Growth Portfolio -0.5% (Started trading 6 weeks ago, only 30% invested)

US Momentum -3.46%
Trade Long Term +17.54%

Currently at the looping part of the program. Am struggling with the coding, but determined to stick to this long term and (eventually) master it.

[KateMoloney]

Great problem to have !

[KateMoloney]

Thanks Terry.

I think its wise to take the funds out on an annual basis (if you didn’t have other cashflow to pay the tax from). That way you get the benefit of compounding.

If you have good accounting systems, you should know what your tax bill is by July each year. You may not lodge your tax returns till say Oct-Dec. So that gives you a couple of months to plan (perhaps when rotating in & out of trades is the best time to take the tax out of the account).

Psychologically speaking, I don’t like the idea of reducing trading accounts, so for now we are setting aside a % of our incomes to pay future tax bills.

[KateMoloney]

Thank you for sharing Rob – smart move.

[KateMoloney]

Thanks Nick.

We have an external source of income that we save on a monthly basis.

I was thinking we could set aside a % of that into our tax savings account. Let the trading accounts grow.

[KateMoloney]

Haha … I think the key is to be balanced in your mindset. Rather than seeing losses as painful and profits as pleasure, just see trades as business transactions and numbers.

[KateMoloney]

I am still putting together my monthly system to track % growth in portfolios etc

BUT this morning something clicked.

I started trading the Trade Long Term strategy in Jan 2021. Within 6 weeks of starting the system drew down 27%. It was uncomfortable at the time, but I stuck it out and followed all the rules. The system recovered a little, but for a period of 3-4 months it swung between a 15% – 10% drawdown.

During the last 2 trading sessions the system has gone from losing money to being profitable 5.8% (for the year).

The valuable lesson is, you can make money very quickly (with one share, or within a couple of trading sessions), but you have to handle the drawdowns and stick around when trading is uncomfortable.

Finally, I constantly remind myself that everything always changes. So todays system that is 5.8% profitable for the year could be in a -10% drawdown tomorrow.

Now, back to learning about coding and looping (which is making me loopy!)

[KateMoloney]

Interesting share Nick. A friend recommended that person to me years ago. I did my research and figured I was better off in a market index fund.

[KateMoloney]

Looking forward to it Nick!

[KateMoloney]

Alternative Brokers (Have not researched these properly yet)
IG Brokers ($5 for Australian shares)
Superhero ($5 per trade)
CMC Markets

[KateMoloney]

Hi Nick,

Do we get emails notifying us of when the monthly group calls are?

[KateMoloney]

I’m glad I listened to your advice Nick and waited a few months before implementing more strategies.

Have got the swing of STT and the volatility that comes with trading. Have spent time educating myself. Its important to have realistic expectations and not see trading as a “get rich quick” scheme.

[Author]

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