Saturday, February 15, 2014

my mom's micro account

a few years back, june 2011, i opened a micro account on behalf of my mother. by micro, i mean really small, $250. i posted back then some rules that i thought would be good for a micro account such as this. here's the current balance on this account: $274.19.  while that may seem a little dissappointing it is a 9.7% gain and more dollars than my mom is seeing on a much larger sum of money she has in savings earning 0.2%.

back in 2011 i advocated a no-stop type of strategy - buy and hold  and collect dividends but sell if a 10% gain can be obtained. while that is not wrong it does mean that there is at least 1 turkey (ewz) in this account dragging down performance and maybe some winners for which i left money on the table. so i am going to try to goose this account a little by allowing stop orders, so that the turkeys get taken out earlier and the winners left to run.

i have decided to pursue an investools type of strategy whereby there is a trio of indicators that guide the entry and stop adjustment. here's what i have in this account now:


Symbol
Qty
Last
Change
Mkt Val
Maint Req
Cost
Gain($)
Gain(%)
DBO
1
28.07
0.00
28.07
0.00
27.01
1.06
3.92



EWA
1
24.87
0.00
24.87
0.00
23.61
1.26
5.34



EWC
1
29.06
0.00
29.06
0.00
29.08
-0.02
-0.07



EWG
1
31.57
0.00
31.57
0.00
29.26
2.31
7.89



EWU
1
20.82
0.00
20.82
0.00
20.66
0.16
0.77



EWX
1
45.60
0.00
45.60
0.00
45.43
0.17
0.37



EWZ
1
40.64
0.00
40.64
0.00
53.65
-13.01
-24.25



FXI
1
35.78
0.00
35.78
0.00
37.51
-1.73
-4.61

dboewa, ewx and ewu were purchased in the last 30 days so there is no sell-stop order on those yet. the others have a sell-stop that is 3% below a recent low. i will adjust the stop upward if the indicator trio goes to a sell condition. i have kept ewz to see if it can't improve its price a little but will shed no tears if gets taken out in the normal course of this strategy.


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