‘Slow Trader’ allows investors the opportunity to access an intraday traded (hedge) fund, held in trust.
Why an opportunity, and why intraday trading is not possible for most people:
- Firstly, such traded funds are not readily available. Moreover, expert (and hopefully successful) short-term traders charge a lot – up to 50% of profits and substantial participation fees.
- Secondly, this form of trading is a difficult skill to master. It takes several years for a trader to graduate from the ‘beginner’ level, through ‘intermediate’, to ‘expert’. And, ‘expert’ is where we find all the capitalised reward. In other words, short-term trading, in contradiction to its name, takes a long time to learn.
- Finally, learning the intraday and day trading skills is often, through the beginner and intermediate stages, financially penalising.
From the 1-hour chart the fund trades:
- Currency pairings GBP/USD, EUR/USD, and AUD/USD – long and short.
- Commodity Gold – long and short.
- ETF US 500 SPTRD – long and short.
For each of these, we look for an edge: the principal trading advantages that we use are probability, context and price action.
The 1-hour chart is used in preference as this provides several trading opportunities per day; this means that trades can be open for several hours, overnight but never over a weekend.
My page ‘Day trading made easy for you’ is written with the 5-minute chart in mind but applies equally to the 1-hour chart and is the essence of how we approach probability, context and price action.
(For those interested in the longer-term opportunity, Nick’s qualifying UK shares are published quarterly through this blog and guidance on the COT will also be given as the COT occasion provides – the COT cycle for each commodity coming round independently a few times a year).
I provide a detailed annual report on the fund and a semi-annual ‘how goes it’ review.
The goals of the fund are:
- Not to lose money
- Increase the fund by 15% to 30% year on year
- Compound the fund year on year