RE: Can't sleep29 Apr 2021 13:56
BodRuncie, it depends where you pay taxes. In Germany, for example, CGT is not calculated using the average. The rule here is: first in, first out.
Currently, the stocks that I bought @0.38p after Aries opened the barrel are my "oldest" stocks. If I buy 1,000,000 EQT shares today and immediately sell them again at the same price, e.g. 1.9p, I still make 1,000,000 * (1.9-0.38)p = GBP 15,520 profit under German law and have to pay around GBP 4,256 in taxes.
In the past, I always had a small trading position in stocks that I knew to some extent, in addition to the long-term position. Since multibagging, trading with EQT no longer makes sense to me. After selling a certain number of shares, I would need a drop of 20% to buy me back the same number of shares.
I guess, I am not the only one locked this way. Maybe this is one of the reasons why there are less trades than a few months ago.