logo-loader

Naked Trader - Caution is required near highs

Last updated: 16:45 04 Jun 2014 BST, First published: 15:45 04 Jun 2014 BST

no_picture_pai

MARKETS

Well, they continue to be pretty firm though as they are near highs caution is required and I have lobbed a few shorts on whenever it hits the late 6800s.

Ahead of my summer off travelling around California I hadn't intended on much buying but there are some super shares around and some which just had to be bought or topped up on. I simply could not resisting using a bit of the cash pile I had built up during my recent  bout of profit taking.

One I have never bought before though watched on the sidelines is: Netplay (LON:NPT) and now it looks like the right time to get some.

This gaming company has loads of cash, it is making record profits, recent statements have been bullish and directors have been buying. There has been some worries about  a new government betting tax coming into force later this year - it would take a bit off profits but the company is going so well I think it will be fine and that the tax worry is easily in the price now.

All of which has tempted me into a buy as it sits in the 16-17p area after hitting 22p at one point. A rise up to at least 20p looks to be a reasonable bet with a view to targetting perhaps 22p  to give a nice 30% gain in time.

I can't see it would be possible to value it much lower than 15-16p so it looks a nice risk-reward ratio play.

So I've bought some NPT (LON:NPT) earlier this week at 16.5p.

Not quite sure of the timescale on it, but would probably think of it as a shorter-term trade. Potential for longer-term maybe.

I also like the look of Advanced Medical Solutions (LON:AMS)

It's a fascinating company that provides high tech solutions in the wound care market and it has just had approval for a hernia fix device.

Looks a lovely one to tuck away in the ISA and I expect to keep hold of it for a good long time to hopefully enjoy capital growth and some dividends. 

I bought 5,000 AMS at 113.9.

I've bought some of a recent new issue - Safestyle (LON:SFE)

While seemingly a boring old door and window replacement company its figures are really very good.

Margins are improving and its advertising (you may hear its ads on the radio a lot) is paying off.

Underlying profits were up a massive 58% and its recent AGM statement was extremely positive and I'm in probably for a long-term trade here at 185. Looks like a cheap buy still and no reason why it should not head up to the 250 area.

After exiting Playtech (LON:PTEC) for a loss I bought 2,000 back at 596.8 as they looked remarkably cheap. Since then they have started to come back up.

I topped up on four existing holdings as they got sold off for no reasons I could easily see.

So I topped up on long-termer and Peppa Pig producer Entertainment One (LON:ETO) getting another 2,500 shares at 276.3. I've been holding this long-term clocking up profits of more than £10,000. With its vast library and acquisitions the shares will one day be worth over a fiver I think.

OPG (LON:OPG) has proved a super trade and have topped up yet again on this fab one where I'm getting close to doubling on the first trade and profits up and over £5,000. I got a new lot at 100.1

Also topped up on Jelf (LON:JE.F) at 111 as it came back for no real reason. And finally Kentz was crying out to be picked up as it dipped to 675.

Carpetright (CPR) continues to drift down and big profits in the shorts there. All I see are empty stores with 75% off. And the head man in leaving, all of which made me short it some more. I can't see how the shares are worth more than 3 quid.  BTW not many spreadbet firms allow shorts in it, however this one does, nice execution of trades too: http//:www.spreadex.com/nakedtrader.

I exited the supergroup short put on live at the seminar for a profit of £2,450. I bit off more than I could chew with Just Eat (LON:JE.) short and that gobbled up a loss of £120.

I shared my doubts about Saga (LON:SAGA)in the last update and ended up not bothering applying. Just as well as would only have got a small amount and they are sitting below where they were floated.

HIGHLIGHTS 

Recent buys are all doing pretty well especially Hayward Tyler (LON:HAYT) - looking to maybe buy some more of those as I think a statement due later this month could cause a further re-rating upwards.

And GVC (LON:GVC), what a great trade that is turning out to be, with capital rising and a magnificent dividend too. It's been rising steadily for some time and seems to be no stopping it for now, great profits building.

Renew (LON:WIND) looks set for more upwards moves after its recent sparking statement today, they had a very good half year indeed, now have cash too and look to have a brilliant future, what is not to like?

Long-termer Porvair (LON:PRV) came out with a magnificent statement this week, very bullish and I continue to hold despite having more than trebled.

Gulf Marine (LON:GMS) looks firm.Accumuli has had a brilliant time, will soon be close to doubling - just a shame I sold half of them a while back but that's the way it goes. Boring Polypipe, well, has been a tad boring so far..

KBC (LON:KBC) continues to  head higher and now wish I hadn't taken part profits recently.

Nichols (LON:NICL)has started to fizz up and its statement too was bullish for this year and it has a new brand or two

Telecom Plus (LON:TEP)has started to rise again after another excellent statement. Profits are well up, the dividend is superb an the future looks very bright, a likely ftse 100 candidate in time.      Given I bought loads at 100 I'm not unhappy and I suspect my share certs will still be in the drawer in 3 years time. My profit on it are near the £600,000 mark.

Most of the remaining long-termers have been nicely quiet, still drifting upwards.

Seeing Machines is climbing a bit, it probably needs some news to lift it further.

Probably due some contract news soon.

Chesnara reports strong 2023 results with improved cash generation and...

Chesnara PLC (LSE:CSN) chief executive Steve Murray discusses the company's full-year results for 2023 with Proactive's Stephen Gunnion, describing them as strong and particularly highlighting £53 million in commercial cash generation and a dividend coverage of around 150%. The company has...

1 hour, 52 minutes ago