DRYS trading

E

elnico

Ok so my situation is pretty bad. I have in the past two months burnt around 40% of my portfolio trading on the dry shippers, drys and exm specifically. My main problem I realize is my lack of a real strategy and being very stupid about buying in after hours and keeping it until the next day which sometimes gives profits but can also kill. Does anyone have a sound strategy concerning the shippers, who have such a high volatility, or any advice about a specific strategy for a specific sector. I also have only read one book and some forums on day trading, so some general day trading advice would also help.I am all ears
 
Quote from elnico:

Ok so my situation is pretty bad. I have in the past two months burnt around 40% of my portfolio trading on the dry shippers, drys and exm specifically. My main problem I realize is my lack of a real strategy and being very stupid about buying in after hours and keeping it until the next day which sometimes gives profits but can also kill. Does anyone have a sound strategy concerning the shippers, who have such a high volatility, or any advice about a specific strategy for a specific sector. I also have only read one book and some forums on day trading, so some general day trading advice would also help.I am all ears
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Trade stocks with low beta until you get the direction right.
 
Normally l would answer such a question with sarcasm, but will be helpful for once, but need bit more info on your technique ?

-Which exchange/s are your target firms ?

-Which route do they do ? (even if its intraday trading it matters a lot !!!) e.g. if its say iron ore from Australia(Newcastle) to China, then you do not trade them when there is major steelmakers price negotiation meetings.

-Whats the size and type of fleet they have (Panamxes,Capesize,Handymax e.t.c) ?

-How many charters as a % a exposed to spot prices ?

-If its say a NYSE listed stock, what happened over night to similar if not identical firms in Oslo (Norway), Hong Kong(in particular) and South Korea ?

-Do they hedge with 3 month or 6 month bespoke FFA's ?

-Whats the historic beta/alpha/volatility against corresponding indices (BCI,BPI,BHI/BSI).

Touch DRY BULK SHIPPING sector without any of this and you will be T O A S T :cool:
 
thank you all for the support i really think I will move out of the dry shipping sector to something with less beta for now and look up all the info provided in the last post thanks again
 
Quote from Cygnus Atratus:

Normally l would answer such a question with sarcasm, but will be helpful for once, but need bit more info on your technique ?

-Which exchange/s are your target firms ?

-Which route do they do ? (even if its intraday trading it matters a lot !!!) e.g. if its say iron ore from Australia(Newcastle) to China, then you do not trade them when there is major steelmakers price negotiation meetings.

-Whats the size and type of fleet they have (Panamxes,Capesize,Handymax e.t.c) ?

-How many charters as a % a exposed to spot prices ?

-If its say a NYSE listed stock, what happened over night to similar if not identical firms in Oslo (Norway), Hong Kong(in particular) and South Korea ?

-Do they hedge with 3 month or 6 month bespoke FFA's ?

-Whats the historic beta/alpha/volatility against corresponding indices (BCI,BPI,BHI/BSI).

Touch DRY BULK SHIPPING sector without any of this and you will be T O A S T :cool:
More...

Nice... and even with that info, your edge is about equal to a cointoss, as the sector is entirely decided by macroeconomic forces. (ie when will the aggregrate demand pick up for goods shipped between china and brazil)
 
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