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Naked Trader - Sometimes one has to sell off long-term gainers

Last updated: 15:34 25 Sep 2013 BST, First published: 14:34 25 Sep 2013 BST

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MARKETS

Well after some activity in the last couple of weeks, it's been a quiet week for me.

It's a funny time for me. I made so much over the last 3 years I never have to worry about money again - that's mainly because I have banked a lot of the proceeds and bought property with it that will always be rentable.

So I have seen tangible results. I don't see the point of building up masses in accounts and then leaving it all in because there is always the chance of losing it!

But when you buy property with trading profits there is something to show for it that will always be valuable. I know some people buy gold. I don't see the point, property will always keep a lot of its value.

It is a bit weird though. I don't NEED to make any more money. Now's the time to enjoy it and enjoy the time I created to do new things. I've already started doing those and news on those projects hopefully coming soon.

So I guess my trading is going to slow down a lot. From now on something really has to be special to get in the portfolio.

It has got to have a really good long-term story. After all the main bulk of the money I made has come from holding shares for over a year to in some cases ten years.

The hardest bit really is to keep hold of the good ones, but sometimes one has to realise it's time to let go and I have been selling off some of the big long-term gainers.

So I have sold up some of the longer-termers (though sometimes keeping a  small amount for a momento in the ISA and because I have to keep a lot of money in a lot of things now.)

I've sold them because I have had the most amazing upside with them, doubling and trebling and in each case I feel there is little more value in them and I've cashed in to free up cash for when I find some new trades with value in them.

Before I bag those big profits let me deal with a stinker of a recent trade first!

Nothing worse than buying something and shortly afterwards a negative statement comes out which is what happened with Keywords (LON:KWS). My usual reaction is to sell when this happens.

I expected it to open at 130 so was surprised to see on level 2 before the market opened that it was going to open around 145. So I swiftly called my broker and put in a sell order with a limit of 140 which was where my stop loss was.

I was quite surprised and pleased the broker dealt for me at 145 at the opening. So I took a loss of £272.   Not something I was expecting but it was on the riskier side of things. Actually it probably just is a short-term blip and it's one I may well come back to and eventually it could still climb nicely but I always think better to close out a loss then come back later. 

Also maths shows if I keep taking losses in the low £100s and profits in the grands and above I will always make money. However if I let the losses build up to the £1000's and then snatched at profits in the low £100s I would be a losing trader.

I've had a fabulous ride with Vislink (LON:VLK) making many thousands out of it and ultimately trebled my money. However for now I feel there is no value left in the shares so I'm finally gone for the website for 48.5 for a final massive profit of  £14,085.

Topslicing these shares along the way has added thousands on top of that. 

Greencore (LON:GNC) proved a storming winner but it struggles to get over 150 and since I nearly doubled on it seems a good time to sell up so that is gone at 145 for a very decent profit indeed of £11,545.

My final lot of Alternative Networks (LON:AN.) has also gone and that's been a decent more than doubler. I took loads of profits on it a couple of months ago but now it is time to sell the rest and they have gone at an average 340 for a profit of £5,525.

Diverse (LON:DIVI) went at 77.5 for a profit of £1,870, been a lovely investment trust but time to sell I think.

That's a total profit for the site today of a massive £32,753. That has freed up a lot of cash and going to wait with that, gives me the chance to buy stuff cheap when inevitably the market has a bad week or two sometime.

So even with long-termers there comes a time to sell!

Onto buys.

I bought some Renew (LON:RNWH) - an interesting engineer with an explosive chart and what seems like decent fundamentals. It seems to be aquiring other companies and building a big presence in the environmental market.

I think this could end up being a nice ISA tuckaway for a couple of years for potentially a very nice profit.

Some of you know I've been building a position in Regenerisis (LON:RGS) in my pension for some time and now I added some to the ISA too.

A superb report yesterday: everything is on the way up and I like the way the company talks about three potential "game changers".

I love that. "Game changers" to me means things that could really put a rocket up a share price.

As you may know I like to add to the winners and 32 Red (LON:TTR) has been a real winner with excellent profits since I bought them earlier in the year.

I bought an extra 9,000 shares at 55. It's a nice one, rising profits and cash - but in the end the main thing with this one is it would make a lovely buy for any number of bigger bookie rivals. I've also bought some on the spreads at 60.

So it's quite an easy top up and I intend to hold onto them till I think an inevitable bid will come in somewhere between 80 and 100p hopefully. 

I also picked up some more Communisis (LON:CMS) getting some more at 57.25 using direct market access to buy at the sell price. This one has gone through 60 but I hope it should get to near 70p where it is more fairly valued. 

(The account I use for this is https://www.ig.com/nakedtradercfds

which is excellent - but learn how to use it properly before dipping a toe in)

A lot of new issues coming up such as Post office and Twitter.

The Post Office will probably be okay and I will probably go in for some - there is a good yield but it is not going to be terribly exciting.

Twitter will no doubt be overinflated. Foxtons (LON:FOXT) rocketed to a very high price, more than 30x profits. I was quite interested at 200. At 275? Looks pricey.

Looks like those in it wanted to sell thinking we are coming close to the end of the London property rises.  

ELSEWHERE...

The portfolio had a reasonable week.

Recent buy SQS (LON:SQS) continues to drift higher, riskier oil buy Caracal looks like it wants to get up to 500p and Parity rises slowly.

Conviviality (LON:CVR) and Cohort (LON:CHRT) appear a bit stuck and might need time to get an rerating. Al Noor can't quite push up to 900 for now.  

Monitise (LON:MONI) has quickly bust way higher and looks a lovely trade - very volatile as the market tries to shake out some sellers.

The future continues to looks very bright for Vectura (LON:VEC) which this 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.

Nichols (LON:NICL) continues to fizz gradually higher ...Just a matter of time before it gets taken out with Britivic or AG Barr possible bidders.

Entertainment One, (LON:ETO) another double continues up as does Avon Rubber, still bounces higher!

Hellerman Tyton  (LON:HTY) which had a very decent statement last week. The first lot bought when it listed around 195 are doing nicely so far as it pushes 250 and Sepura (LON:SEPU) has put in a blinder. Keep thinking about taking profits in Hellerman but it keeps pushing up.

GB continues to push up and this one has more or less become a doubler for me. 

Carclo (LON:CAR) seems to be on the rise again, a long-termer that's doubled and a bit but potential big upside there still. 

Oil play Coastal (LON:CEO) where I've doubled and a half looks like it could be bid for again according to newspaper reports. I'm sure it will happen at some point.

Lots of other stuff in the portfolio goes well and there is hardly an open loss in sight.

All in all profits have continued to boom and I'm extremely happy though with a cautious eye out to take more profits should the market fall.

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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