Trading learning year 3

After a good 2019 learning about how to trade, this 2020 was fine in so many ways, that I would like to review.

The math result? I did a 36%,

2020 started with $1.420,94
and ended with   $1.934,41
so the P&L was $513,47   or a 36,1%

Total moves 188
wins 157     84%
loses   31    16%

This is the screen with the main data of win/loss events:

I have ordered by date of long move and the main major losses come from issues related to the crash happened in March.

Some data

Best values I traded:

Ticket Gross Margin
VTVT 126,98
AEMD 87,7
PLTR 64,96
MRNA 60,58
CERT 35,36
MSFT 31,78
CVGW 30,78
ADMS 25,22
AAPL 24,45
TROW 24,24

Worst values I traded:

Ticket Gross Margin
WBA -226,74
LYFT -163,2
UNM -55,92
SPG -51,08
GE -25,38
SRNE -11,72
MLND -10,54
DFFN -8,04
ONTX -4,11
ATNX -1,02

The number of moves by month were:

Month # moves
Jan 19
Feb 13
Mar 6
May 1
Jun 11
Jul 6
Aug 13
Sep 9
Oct 22
Nov 40
Dec 48

Portfolio data month by month

Month Started Ended Dif ($) Dif (%)
Jan 1420 1445 25 2%
Feb 1445 1647 202 14%
Mar 1647 1429 -218 -13%
May 1429 1447 18 1%
Jun 1447 1499 52 4%
Jul 1499 1473 -26 -2%
Aug 1473 1399 -74 -5%
Sep 1399 1401 2 0%
Oct 1401 1353 -48 -3%
Nov 1353 1682 329 24%
Dec 1682 1934 252 15%

Some lessons from data:

  1. I have to stop loss better than I did, this happened to me in 2019 too.
  2. Portfolio management was better done in second half of the year and it gave me more consistent small wins.
  3. To pay attention to ex-date gave me a nice 47$ of dividends.
  4. The average of earnings have been 1,99$ in comparison with 2019 is worst (2,32%).
  5. 10% of the worst moves made me lose 705$ which is a lot.
  6. I have to improve on the way I’m trading, I still have some negative skew.
  7. The rally I did during the last 3 months enabled me to recuperate of a disaster. I have to focus myself on what I did well during Q4 because it worked.
  8. I have learned to read better the market timing indicators and this valuation has enabled me to exit and enter in values with better results.

Conclusions

  • My 2019 trades were quite better than 2020 in so many ways: benefit, number of errors and bias.
  • I have to concentrate more on the process and avoid the noise.

What to expect for 2021?

  • I have increase the funds with 2000$, so we will start the year with 3934$.
  • I will use the same percentage when opening positions: 1%, 2%, 3%.