Take 420 (Fountain Set) as an example. If you look today's range, it is quite narrow. Trading volume: 2.348 million shares. I think we can make some money out of it. If I use HKD 270,000 to buy 200,000 shares at 1.35, this could be done because there're more than a few times that the share price hit 1.35 in the morning then you immediately sell it at 1.37. You make HKD 2,040 or 0.75%. This is less than 1% because the range of this stock is narrow. But this is a safer bet. If you can't sell it at 1.37, Fountain Set can be brought forward overnight. I believe HKD 1.35 is a very good price for this stock. For stock with a wider trading range, it is more likely you make use of this method.
If you spot a couple of transactions that can make a few thousand dollars for you each day, you can live a decent, free life. I am thinking of a capital of HKD 0.5 million and HKD 5,000 return a day, which is about HKD 1 million a year.
Let me warn you. This is not easy. It takes more than hindsight to do it (like the above example). I am trying to think of a model that can sustain - at least for a while (i.e., it works as long as some long-term trend is prevailing in a certain period).
Source: ET Net Hong Kong
oh..it is too deep for me..haha
ReplyDeleteNot deep indeed, Tatsu. Just buy low and sell high and keep trading.
ReplyDelete