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Monday 7 June 2010

New Courses Dates In London


After several months of running separate training courses from home, Sam and I have organised our first joint courses held just after the World Cup Final. We are now taking bookings and for more info please click HERE



Market Madness


Trading is a funny old game, as you don't really know what each day will bring and what new opportunities may arise. All it takes is 1 bookie or big punter to put a decent order through the market and it changes everything in that 10 minutes worth of trading. Even though the turnover in a race can easily push over the 1 million pound mark in high quality meetings. An order for example of £10-20k can dramatically affect the overall price even in these types of races. There are many factors for this, but the main reason is that most of that massive turnover in a race is accumulated from traders and not genuine bets. When someone is willing to smash a large genuine bet in the market, some traders will instantly be caught out and needing to close their positions out. This accelerates the desperation in people's minds and you can almost feel people starting to panic. This ultimately leads to people not only scrambling to get out for a loss but also other people scrambling to get on the possible move.

Another knock on affect of large orders flying into a market, is if someone is manipulating the price to their benefit and holding a price where they want it. Then this can completely destroy the manipulators objective and force a market to react in other crazy ways when they either chase their own position, or alternatively keep trying to push a market back to a price which puts them back in the green.

From Thursday-Saturday (I didn't trade Sunday but it might have been the same behaviour) someone was willing to smash through large orders on nearly every race of the day and eve's. This proved an exciting few days in trying to make the most of of situations like these, and in my eyes if you see a big gambler like this around you have to base your whole strategies and styles around him.
If anyone was trading and had a hard time of things, I'll explain a few basis ways to approach markets with a big player in them.

  1. Be very careful leaving too much lay money sat around. The big punt can come at any time and can easily wipe your orders out leaving you no time to exit for a small loss.
  2. Try get on the first move, but only if you are confident the order is genuine and they want the bet matched. If they do a common occurrence is they drag the bet down until its matched.
  3. If you miss the first move, there is often a chance to still get ride the price down. But it all depends on how much of the large bet has been taken and how far the price has gone down already. React to the situation accordingly and if you think the order is still going to be dragged down don't hesitate and get involved.
  4. Looking for the reversal can work nicely as well by watching closely for when the big bet gets taken, riding a possible bounce back move where the price adjusts to the over reaction of the large bet.
  5. If the price is being manipulated anyway before the big bet flys in, be careful what price you hit and pay attention to what the manipulation is trying to do after the large orders comes.
These are a few things to consider if you see this type of behaviour again, and I assure you will do at some point in the future. Who knows today at Ascot could entice some large bets :)

Friday and Saturday were my best days last week, although unfortunately on a few occasions I didn't make the most out of what was going on. I was getting a little bit too aggressive on some of the moves and I annoyed myself near the end of the day time card on Saturday. You'll see on the p/l screenshot I got a bit carried away with putting too much money on at times where I really didn't need to. Especially when I was already 600 notes up. There was a lot of money to be made and it's hard to really nail all of these markets. But all in all I was happy with the overall profits in the madness of the weekend.


Friday



Saturday



Good luck at Ascot and keep an eye out for large orders!

3 comments:

  1. i couldnt see any costs for the courses in july?
    did i miss it?

    ReplyDelete
  2. This bastard completely made me rethink everything.

    Anyway, I'm more worried about hose 10çK bets that happen more frequently qhen the market seems to be going in certain way... they push the price down with what's necessary (normally between 6K and 12K) and it changes the direction. It'sfrustrating and annoying... at lest with those big 22K bets you know what to do, but I haven't been able to predict when some of those 10K bets, as they appear out of nothing... no money weight changed previously, no sign that I know of that can predict such move.

    This week's been a total rollercoaster to me. Glad that you took good profit.

    Cheers!

    ReplyDelete
  3. If you look at it from another perspective, he's making us learn how to trade well, faster ;)

    ReplyDelete

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