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JimG
The longer I trade, the more I learn.
With your methodology for selecting stocks and setting stops, even in a down
market, you have demonstrated the ability to make a silk purse out of a
sow's ear. :)
This is why it's such a great business. We can both be right!
Guy
-----Original Message-----
From: owner-metastock@xxxxxxxxxxxxx [mailto:owner-metastock@xxxxxxxxxxxxx]On
Behalf Of Jim Greening
Sent: Tuesday, March 07, 2000 5:03 PM
To: metastock@xxxxxxxxxxxxx
Subject: Re: latest family e-mail
Guy,
It sure looks like you made a great call this time. As you said, it's
easy to understand how you're making money on this go around, but I'm amazed
that I'm still doing great on the long side with ARBA, CMRC, and QLGC and
not bad with BBH, JDSU, and SDL. However, I am running scared and
tightening my stops every night <G>.
JimG
----- Original Message -----
From: "Guy Tann" <grt@xxxxxxxxxxxx>
To: "Metastock" <metastock@xxxxxxxxxxxxx>
Sent: Monday, March 06, 2000 8:09 PM
Subject: latest family e-mail
> List,
>
> Here's our latest market e-mail to the family with a spreadsheet showing
all
> trades since we started sending this message out (October 11, 1999) to
> family and a few associates of my brother (involved in his startup or
other
> business deals). What's interesting is that we can short the S&P futures,
> the DIA, SPY and the QQQ and make money on all of these positions, while
> traders working with particular stocks can still make money while trading
> opposite our position. Right, JimG?
>
> Even though our initial margin is $4,688 per contract (for one S&P mini
> contract), we maintain a balance of $14,064 per contract. We do this to
> limit our Risk of Ruin to 0% as opposed to the 100% we used to run (and
> proved right too many times). In order to calculate our "real" return,
you
> would have to assume an investment of $14,064 instead of $4,688. This
would
> give you a net return of 119% since October 11, 1999 (approximately 5
> months). Again, this calculates out to be a 285.6% annual return on
> investment, which isn't too shabby considering you have 2/3 of your money
> tied up in TBills. You should also add in any interest income on the
> approximately $10,000 in excess margin in your account. I have decided to
> drop this from our calculations and consider it just gravy.
>
> Depending upon your own personal aversion to risk, you could substantially
> increase your annual return by reducing the balance you maintain per
> contract. We have chosen to err on the side of caution and to maintain a
0%
> Risk of Ruin for our personal trading.
>
> Guy
>
>
>
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