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You dabbled on BEN, I cant even guess where that is going, not much of a clue from the BB, its still almost x4 IPO, a SB?
That drop from 60p to 40p where JS lost out, cant any see obvious reason...
Time element is part of a CFD play -options.
SB - i was told by my acc manager i can hold as long as i like (i have not tested this beyond a weekend)
Ps. I dabbled on BEN today. :) and added on HE1.
@DBD, So he may have taken his eye of the ball, got caught like the rest and the focus directed to his deal, especially since his holding would have an impact.. who knows..
When I play without money I do better, when money is involved there is hope for a bounce or a little more profit..
I tend to buy and hold, but not so sure about that plan anymore after following a few shares, most are down..
BENs of interest because they are moving into production, have off-takers, expanding resources, are producing & selling, hopefully where we will be..but then the fall..fundamentals or market plays??
I was always led to believe there was a time limit attached to borrowed shares, if there was'nt Game Stops share price would'nt have gone so high..
If thats the case and especially if JS kept extending time on his bet that may have created challenges for the broker if they borrowed BEN shares with a time to return..
But some reading suggests the broker can hedge other ways, futures, even do no hedging..
Anyway, probably driving nuts...much appreciated
D2B
He doesnt need to do anything on SB, those borrowed are underlying instruments, only the brokers see it.. When he sets his position on SB to enter, if its like IG app, all he needs to do is set his size (£x/point), and have sufficient margin to cover his planned size. He needs to set limit if its an order, else, he can just enter the deal at the price in situ. Stop values are not required to be inputted at all to deal, you can close manually or auto (then Stop needs to be set)
@DBD, just read your post on lowering the stop...
I suppose the only fact we have is "notified on 4 July 2022 by John Story that, following a sale of 12,175,963 ordinary shares in the Company on 29 June 2022 at an average price of 40.778 pence per share"
I wonder if he gets the chance to buy back cheaper, will he take another shot..
Still wonder about having to return any loaned shares, maybe caught out by the underlying mechanics of his own bet..?
D2B
Stab in the dark and assumption - if you open up BEN's chart, use 1 and 5 mins candle for charting (instead of day chart), open the volume indicator, you can see the amount of volumes being dumped / bought and trigger price on the min, for the day. It was the big dump of the day so i assume its his. The rest were small dumps, a couple of 2MM dumps and smaller ones.
indeed, for interday, some traders do change their stop but honestly all we do is speculate - only he knows why he did what he did.
Now you have a view on what you might do vs what he did on SB - one way to learn if this is how you will actually react in reality is to try it for yourself - open a dummy account and see how you react on the bets, and then use real money and see if you react the same (even small amounts like £1000 worth or whatever you are ok to lose in the name of R&D!) . I started with £1000 :)
ps: Hope is a traders worst enemy, quick way to bank zero.
Muscles, batteries are in Shanghai...;)
Lots of work to do for the audit, He1 might be in a hurry, but for the others He1 are probably just another customer in the queue..Then parts may need ordering depending on the stock the service companies carry, even then they may spread their inventories far and wide..
The fact they say so many companies are involved means there is money being spent on that rig, a lot by the sounds of it.. Sounds like Epiroc have been and gone, and now the ancillary equipment work is in hand..
@DBD,, wish we had the full story..
If they had to be borrowed, then they had to be given back. As there is such a small float buying them back may have been the cause of that share doing x10 IPO, or at least a big help. Games stop situation, I would not be surprise if some in the city would have known the situation there..
Once they are returned that buying pressure is over, so it has to come back down...
If that was the case why would JS have his stops still at 40p, when in spread betting it appears you can adjust your stops as the price moves up, and extend the time your bet runs for, 3 months at a time or something like that
How did you come about the 8mm, reliable source or speculative
@DD, your always posting things you think are of interest, just returning the favour
The tip on the debt a company has, large volumes (institutes) and the dead mans cross was interesting...
D2B
Its hard to get into the logic / head of another trader - he was going proper long i assume (i do intraday, different mindset). Wyn has been writing about this for a year or so. I didnt appreciate it until i went into cfd and sb.
Maybe, he was expecting a turnaround on the sp as it drifts down, "hope" is not your best friend when trading. he could have adjusted it lower and lower hoping for a turn in sp, and when the drop arrived at "cost", he let it go. Maybe. Only he knows. I have a 5% max stop loss against my margin then its a new game all over. He might think different for his long game.
@DD some applied charting stuff for you,,,
https://www.youtube.com/watch?v=KOVEzCIGAyA
a little here too, going short, this I found more interesting
https://www.youtube.com/watch?v=zo_SWsIP0zY
Deano, accidentally left it off, thats a lot of tax to find when everything goes electric..
Woolly socks stocks next big thing
I should have sold my bank back then, read the wrong articles, not bright enough...
Something is amiss, probably my understanding, position taken at about 40p jan, price hits 106p april, then starts a slow decline over the following two months, then the fall.. surely his stop losses would be adjusted higher with the price increase, maybe taking some profit on the way if you can do that...
Morning
D2B, cashed out mostly in Dec 21 / Q1 23.
SB is a derivative, so shares are borrowed. I suspect the effect is the same as a TR1 dumping 3.5% of total shares (55% of his position got liquidated).
8MM of his position got triggered likely around 40p on 29th June around 1130am, sounds like a Stop was triggered. As this is AIM, that is a large amount with challenges to close if triggered automatically. MM could only run the market, and sp drops to address the market demand to close those positions. His Stop i suspect, did not trigger at the intended value for all his positions at that volume, but lower (therefore trigger some losses or breakeven below 40p mark). Brokers have already made profit when he opened his positions, seems like the 3-4p spread.
I am still surprised someone is able to run a SB on AIM
Interesting Video, Unlimited ISA, kind of..Unleveraged Spread Bet, all tax free.
https://www.youtube.com/watch?v=LTFa9tmHPIU
DBD, have you gone to cash on many shares?
Have a think about the JS bet, it could happen here, they just chose another..
Its over my head at the moment..
Thing is, the sp when the position was originally announced is just about the same as it was now..
Maybe JS closed his position while ahead(long), and Inter trader paid out, so maybe its the hedge being sold taking the price down...If the hedge is the same stock ?
Could JS have gone short and been able to keep the position open with the sp more than doubling his bets sp?
Thanks D2B.
Looks like its limited to IG maybe. Surprised but good to know (maybe open an acc with Inter trader).
I will look into the links tonight, ta.
I exited KIST between 4.05 to 4.25, 90% dump, left 10% as runners.
Market is down down down for sometime, i am assuming only unique big news will be the anomaly (HE1 success is a good example, so i am back in).
I use to DD, but Day trading was too tough for me full time. (You learn a lot about your character though.) After 3 years I quit.
Now I just use TA to time entry and exit on stocks, with no facility to short, keep it very simple and am having pretty good success thus far.
The "danger" I found for me was trying to be too quick. Trying to make too many trades to make money as fast as possible. More patience and taking smaller profits is both easier and less stressful. (Stress is just over emotional reaction to events which is most traders downfall.)
So I learnt a lot through it, and now being more relaxed and not "needing" to succeed has increased my success rate.
But its a very personal thing that each individual has to be pretty brutal with their assessment of their own characteristics to see if they can adapt to the discipline need to be in with at least a chance of making ago of it.
@DBD, this news story should interest you, if you still hold KIST
Norway strikes threaten to cut off gas supplies to UK within days
https://www.ft.com/content/bd5a3c33-03bc-4434-8465-9d306b8885da
@DBD 24th Jan
The interest of John Story comprises 22,066,631 voting rights held through financial instruments in connection with spreadbets with the majority being held via a financial instrument issued by InterTrader Ltd..
Approximately 6.25% of the total voting rights in the Company
4 July 2022 by John Story that, following a sale of 12,175,963 ordinary shares in the Company on 29 June 2022 at an average price of 40.778 pence per share..
Glad there is no such position here...I hope
I dont think you can run spreadbet on AIM co, too small and not enough liquidity, not through IG anyway.
I never did SB. I got to use Margin when I was day-trading bond futures . But I religiously closed all my positions by close of play. (The spread was miniscule so it worked for me ok as away of trading.)
I understand the tax advantage but with CGT being £12500 tax free and the Isa's ,with running 2 trading accounts and 2 isa's is plenty of annual income without having to worry about Tax.
(If HE1 struck it really, really big (500p say), then I might cash in and actually pay some tax on the trading accounts... ha ha!)
Anyway, each to his own.
@DBD, Ta..
Been following BEN(AIM), massive fall.. 29 June John Story sold ~12M shares, but I believe it was a spread bet, so it must be the betting company selling.. So trying to understand the impact, so I assume the the company sold the shares and JS pays the spread, or the company sells some, hoping to making money on the remainder..
Is that logical.. obviously such question on BENs BB wont be welcome....
But if the SB company is playing with some shares left over its going to cause volatility as the free float is supposed to be about 26% of shares outstanding...
D2B
A little experience, been spreadbetting for over 6 months now, after getting hit with too much fees doing CFD. I do intraday except 1 or 2 positions interday.
Generally you need to have 20-30% margin for your position. #AAPL is a good example, today, to execute a £10/pts position (long or short), you need ~£27.7k margin to cover a notional position of £138.5k (5x or 20%). The brokers profit are taken from the spread (both at open and shut) you dont see it at all, and i assume there is an auto option triggered by the broker, therefore the usual share borrowings.
Tax free why i like it . And its simplicity.
My explanation is very "kid like" or incomplete or too simplistic due to limited experience, and i am sure there are more experienced PI here (Wyndrum?)
Anyone clued up on spread betting...
If someone bought say 5% of company, going long...I guess the broker would need to buy those shares ???