Replies to post #53 on The "Stock Trading Riches" Investment Sy

[karw]

Hi Praveen,

One of the STRs that I want to start is a STR with the 10 sectorfunds of Vanguard.

Let's say we start with a Constant Value of $2000, then the appropriate amount of virtual shares will be allocated to each sectorfund. On a 15% drop we can buy $300 real shares and on a sell signal we sell $300 virtual shares. To accelerate buying, we could double up the buy, spend $600 and convert $300 virtual shares.

That could be a nice way of starting up a sector based machine covering the Domestic market. We also could also use the Ishares global sector funds to cover the whole world.

Best, K

(To increase the buy and sell amounts we could also add a virtual amount to the Constant Value, this in addition to the real shares. We buy real shares, with bigger amounts than $300. We sell real shares until we don't have any left. than terminate that CV submachine. This is similar to LD-AIM. Leveraging up the trade size.)