HAG needs to embrace even more risk

System HAG seems to be turning in good returns for stocks that have really extreme moves. Thought I didn't get to post yesterday because of internet problems in NJ, the stock that System HAG wanted to buy, AMKR, went up over 7% today. This is the buy this month that was missed that went up over 7%. Truth be told, there are a couple of other buys that have been missed over the past month that were mostly flat. Still, I need to be more vigilant with my posting and my execution of this program.

For this fall season, I have expanded the universe of buys for System HAG, with the ultimate goal of finding a buy every day. Maybe I should even start a program that makes the 4 best buys every day that it can, regardless of how strong the buys are.

Yesterday, the program sold NRG, and today it makes a very risky buy in Presstek, as well as a more average buy in Gigamedia.

Completed trades:

NRG: 1.29%


Adding this trade to our totals:
133 trades
.4799% average gain per trade
15.96% total theoretical gain since inception (2/7/06).
NASDAQ composite on 2/7/06: 2244.96
NASDAQ change since 2/7/06: 1.16%

Once again, the "total theoretical gain" assumes 25% of a portfolio was invested in each trading position. Half-sized positions assume only 12.5% was invested, and count as only 1/2 of a "completed trade". Buying power is limited to twice the value of the portfolio.

HAG Trades! ...and commentary

Over the last 6 weeks, the NASDAQ market has increased in value by about 10%, while System HAG has only made a handful of trades, amounting to a negligible return. This is somewhat frustrating, but completely understandable. System HAG doesn't find many stocks to buy in a stable, rising market.

I've been thinking that maybe I should start another program that uses behavioral entry points, but holds stocks a lot longer in it's portfolio. This program's goal would be to closely mimick the returns of the overall market, while also capturing the behavioral effect. Its goal would be to invest in hot stocks the moment they go cold. A longer term contrarian strategy that's looking to offset the behavior of swing traders instead of the behavior of daytraders, which is System HAG's goal..

This evolution will occur shortly.

In the meantime, System HAG buys NRG, which is an energy stock.

HAG update

System HAG was holding 4 positions on Monday. Two were sold yesterday (VLO and GRMN) and two were sold today (PAAS and GLD). Looking back, there were a few stocks that the program should have bought on Friday and Monday that would have resulted in very profitable trades. I missed these buys because I have been a little less vigilant in my searches for buys. I resolve to be more thorough in the future.

Completed trades:

VLO: .83%
GRMN: 1.73%
PAAS: 1.08%
GLD: .21%

Adding this trade to our totals:
132 trades
.4738% average gain per trade
15.64% total theoretical gain since inception (2/7/06).
NASDAQ composite on 2/7/06: 2244.96
NASDAQ change since 2/7/06: .76%

Once again, the "total theoretical gain" assumes 25% of a portfolio was invested in each trading position. Half-sized positions assume only 12.5% was invested, and count as only 1/2 of a "completed trade". Buying power is limited to twice the value of the portfolio.

HAG is back

Sstem HAG has begun trading again as the commodities market has become more volatile. Yesterday, the plrogram bought VLO, and todya it buys PAAS, GLD, and GRMN.

HAG: thin trading

The past three weeks have been tough for System HAG. August is a very slow market month, and a low volatility upward market trend has resulted in only one trade: OPSW was bought last Friday and sold this past Monday.

Completed trade:

OPSW: 3.72%

Adding this trade to our totals:
128 trades
.4715% average gain per trade
15.09% total theoretical gain since inception (2/7/06).
NASDAQ composite on 2/7/06: 2244.96
NASDAQ change since 2/7/06: 2.27%

Once again, the "total theoretical gain" assumes 25% of a portfolio was invested in each trading position. Half-sized positions assume only 12.5% was invested, and count as only 1/2 of a "completed trade". Buying power is limited to twice the value of the portfolio.