CFD Trading Report Monthly Wrap, a detailed look at where we made and lost money during the month.
We report our performance on a monthly basis, dividing our trades into three portfolios - Australian Stocks, UK Stocks, and Global Markets - which comprise commodities, currencies, bonds, and US. We report overall portfolio results for each of the three trading accounts, each in their home currency, AUD, GBP, and USD.
For each trading portfolio, we will provide:
- A table of the closed trades from the month, with a combined Profit and Loss (P/L)
- A Portfolio Performance Table. The information in this table is rolling, i.e. the trades for the month are added to this table on a continuous basis. This table contains trades that were opened after 1 Dec 2008.
Below are a few notes which provide further explanation.
Current Account Balance – includes all closed trades from 1 Dec 2008 to the current month end
Overall Return – Total P/L to date, as a percentage of our starting balance
Win % - Percentage of trades where we book a profit
Scratched Trades – Trades where we were stopped out at break even
Max % Draw down – This is the maximum amount, in percentage terms, in which our account decreases from our maximum equity line. Graphically, it is the maximum distance between our Maximum Equity (Pink) Line and our Current Account Balance (Blue) Line in the chart below.
Global Markets – January 2012
We executed 35 trades during the month, 15 were winners versus 20 losers. The overall winning strike rate for January was 42.86%.
Positively, our long trade on the EUR/USD managed to help lift our performance slightly after the string of losers on US Equities.
The overall portfolio return since inception is now +44.23%.
Closed Trades for January 2012
Portfolio Performance since 1 Dec 2008
Equity Chart since 1 Dec 2008
UK Equities – January 2012
We executed 20 trades during the month, 12 were winners versus 8 losers. The overall winning strike rate for January was 60%.
The overall portfolio return since inception is now +7.86%.
Closed Trades for January 2012
Portfolio Performance since 1 Dec 2008
Equity Chart since 1 Dec 2008
Australian Equities – January 2012
Short and sweet, there were no closed trades for the month.
Closed Trades for January 2012
No closed trades for the month.
Portfolio Performance since 1 Dec 2008
Equity Chart from 1 Dec 2008
The Month Ahead
Equity indices across the board, S&P 500, FTSE 100 and the ASX 200 to name a few are all testing structural resistance. The strong rally seen over the past months appear very 'top heavy', and thus a near term corrective pullback is likely.
We will be scouring the markets for shorting opportunities. That being said, this phase of the market is always going to be challenging to trade, as prices will chop up one day and down the next. Picking trades when markets are at the top of their ranges (i.e. at the highs) will be tough coming. Thus, the key to banking profits during February, would be to apply a nimble strategy of snapping up quick profits by executing shorter term trades.
As always, good trading!