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Naked Trader: Royal Mail has to be a sell above £5

Last updated: 16:33 16 Oct 2013 BST, First published: 15:33 16 Oct 2013 BST

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MARKETS

EMAILS: I do beg you not to send me emails asking me for advice on a particular share. It isn't legal for me to give you individual advice and all I do is send you a mail saying that, which wastes a lot of my time and yours too. This includes asking me what to do with a share, what I might "think" about a share or deconstructing any of the buys I mention here. I would be grateful, see FAQ for more on this. Of course more than happy to answer general questions not related to specific shares. 

Markets remain as crazy and dysfunctional as ever.

I'm sure like many of you I got my tiny share of the Royal Mail Float (LON:RMG) , the allocation of £750 worth of shares.

Hey we can't complain. After all it was a near instant 50% profit. I haven't sold mine yet. But I guess I probably will. After all in the end it's just a steady pretty boring business and I think at anything over a fiver a share it has to be a sell.

I'm much more interested in a new issue that came out about the same time as the Royal Mail one but not one that anyone is interested in except me.

But they should be or so I think.

And that's new issue Arrow Global (LON:ARW)

I bought some at 221.3 around the same price as it is as I write this piece.

It's a debt collector and for the forseeable future you would reckon its services are going to be in some demand.

I like it, it seems to be growing fast. A 55% rise in revenues for the 6 months to June 30th bode very well indeed and if it can push on the current valuation has some decent upside to it I think.

I'd be surprised if there wasn't 25% upside from here in the next 6 months, maybe more. 

Of course Royal Mail provided a lot more instant upside than that but at least I can buy as much Arrow as I like! 

An interesting one is Dillistone (LON:DSG) . Upside: It's growing by buying other companies, raising its dividends and has no debt. It's in the recruitment software market but not affected by its up and down cycle. It pays a dividend of around 4%. 

Downside: It's AIM and quite small still, so have to be careful with liquidity, in other words not buying too many so easy to get out if it goes wrong. And a director sold 20,000 shares recently, though he does still hold nearly a million!

But with profits growing the market cap for DSG looks too small and I think there is a potential 50% upside with some patience. 

So now I can hold AIM shares in my Isa, I have tucked these away, forget about them and hope the growth comes into play. If it does, some nice upside. I got 3,000 yesterday at 99.9.

Got a £30 spreadbet on too, hard to find a firm that does prices on the very small companies but this company does:https://www.spreadex.com/nakedtrader

It does spreads on smaller ones other companies don't so worth having an account for that, been using it for a while and very happy so far.They're also offering a mini Ipad or something - read through conditions and all that as I would guess you'd have to make a trade or two to get it.

Unusually I made a fair few quid on a daytrade! SDL issued a profits warning so I went in for a bounce and got nearly a grand profit as it bounced back up. I took the profit and ran for it!

After taking nearly £45,000 of long term profits over the last few weeks I have slowed down on the profit taking now!

I sold a little Al Noor (LON:ANH) at 822 - It is a long-term trade but I just cut a little off the top to bank a bit of the excellent profit so far, for web purposes for a profit is £2,370. 

I cut the Blinkx (LON:BLNX) short at 147 for a profit of £240. Level 2 showed buyers building up. However if it continues to bash up against 155-156 without going through I'll probably try the trade again.

The Halfords (LON:HFD) short went at 372 for a profit of £370. And Mothercare (LON:MTC) went down nicely and moved into a good profit so I moved the stop to breakeven. However it went back up and so no profit made in the end. 

All that leads to a profit banked for the site this week of £2,980.

ELSEWHERE

A nice rise for my last trade Accumuli (LON:ACM) , about a 25% profit so far but happy to hold onto this trade for a lot longer as I think there is further upside to come in time.

Fusionex (LON:FXI) does its thing of getting to a price and then staying there for a while, fine by me, in nice profit and hoping for an eventual uplift - when it moves it can suddenly move a lot higher quickly out of nowhere.

After the strong statement from Telecom Plus (LON:TEP) - a sigificant uplift in customers and a rosy future remains - it has moved up to near all time highs. 

I still have well over £400 grands worth - most of which is profit. I think the meantime the shares should gradually rise over the years an the dividend keeps on going up providing a very decent income for me. 

32 Red (LON:TTR) has had a brilliant week - up a good ten per cent and it looks like my original buy is going to be a doubler.

Kentz (LON:KENZ)  has been rising again. Perhaps the fact the big didn't go through is good news as in time a new bidder might have to pay an awful lot more.

Renew and Parity (LON:PTY) have both had good weeks rising strongly and hs been showing some good gains too.

Porvair (LON:PRV) has shown signs of life and has boomed up from 230 ish to 260ish this week.

Riskier oil buy Caracal (LON:CRCL) looks like it wants to get up and over 500p but it's not sure but still a nice rise for now. 

Cnviviality and Cohort (LON:CHRT) appear a bit stuck and might need time to get an rerating. Conviviality is showing some signs of heading higher though.

The future continues to looks very bright for Vectura (LON:VEC) which last week reported approval for another of its drugs. Looks like it might not be long now till I doubled up on the first buy. Massive profits now.

Entertainment One (LON:ETO) has had a nice run higher this week as has Communisis which got tipped somewhere apparently. 

Long-termer Filtronic (LON:FTC) recently reported everything is on track. It doesn't move much as the market is waiting to see how 4G goes. But happy as doubled and quadrupled on it so far.

HellermanTyton remains stable - The first lot bought when it listed around 195 are doing nicely so far as it pushes 250 Keep thinking about taking profits in Hellerman but it keeps pushing up.

GB (LON:GBG) continues to push up and this one has more or less become a doubler for me. Some nice rises this last few days.

I'm happy I've spent the last month banking some major profits in some of the longer-term ones, it seems sensible.

I've been testing out a new spreadbet firm over the last year. I just won't recommend anything unless I have really tested it over a long time and now happy to endorse it especially for any bets on indicies as the spread is only 0.8 on stuff like the FTSE. 

Also they don't seem to do any messing about in stopping winning trades from being executed which has been known with a few of the firms which I totally refuse to endorse.

Execution of trades have been spot on as has account management and a robust system too. I really can't find fault with it.

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