I’ve just released something a bit out-of-the-ordinary.
It’s the secret formula behind my trading success over the last five years or so.
Maybe watch this Closing Bell first. But when you’re done make sure you come back to this: THE 25% PORTFOLIO.
For today’s Closing Bell, though, I reveal a sector that I think is about to start powering higher again after a correction over the last few months.
I show you an Exchange Traded Fund that you can consider.
Many traders thought they had missed out on the trade last year, but if you are patient you often get a second bite at the cherry.
I recently gave Closing Bell viewers exclusive access to a trade in a US stock called Roblox Corporation [NASDAQ:RBLX].
That stock is up 30% in three months from US$52.00 to US$67.00 and it looks like it is just getting started.
In mid-2023 in ‘A US Stock to Add to the Bottom Drawer’, Closing Bell viewers received a tip to buy Spotify Technology [NASDAQ:SPOT] at around US$150. That stock just hit US$500.
A 230% return in a year and a half isn’t bad.
I don’t often hand out free trades like that because I reserve the best trades for members of my trading services.
But I’m hoping, if you have been paying attention, you are getting a feel for the way I find trading opportunities.
But you may not understand how I actually manage those trades once they are live.
I have spoken in the past about my risk management process, but I thought it was time to give you a deep dive in every aspect of my trading model.
I want to explain how I use it to help many Australian investors build wealth.
Over the last five years we have made 88 trades in Australian stocks with 54 of those trades being winners.
That’s a 61% strike rate which is very high for a trading model.
Also we manage to make twice as much on our winners than we lose on the losers.
We have made an average of 46% gains on the winners while losing only 23% on the losers.
All of that equates to average annualised gains of 25% based on risking only 2% of capital on any trade.
Nothing is certain in the markets of course, as all investing carries risks, but my results speak for themselves…
If you want to understand the formula for achieving spectacular gains like that over five years, then just check out this report that I have put together for you.
I received a huge amount of feedback from my members this week and was bowled over by the response.
There were so many great ones, but this one jumped out at me, so I’ll repeat it here. JT says:
‘I have managed my SMSF for the last 12 years. Over the first 10 years I made every investing mistake in the book. I bought wrong, sold wrong, got frozen into inaction for long periods, wrong allocation size, wrong stocks etc.
‘Sometimes through luck I made profits, but they were easily consumed by my many losses. At the time I started with Retirement Trader I literally was giving this investment game my last shot, basically I was so close to packing it in and leaving my retirement money to the professionals.
‘However I subscribed to Retirement Trader then with Murray’s guidance I identified what sort of investor I am, re-wrote my investing rule book, got my discipline sorted out and started investing in some of Murray’s recommendations (along with a smattering of Callum’s recommendations) and occasionally stocks I unearth myself.
‘In the first 18 months my portfolio has returned annualised gains of approx. 40% which is incredible. I can now see a self-funded retirement in my future and Murray’s Retirement Trader is a massive reason for that. I couldn’t recommend this investment service highly enough. Thanks Muzza, I owe you a drink.’
I’ll gladly have that drink JT and would love to chat with you over it.
So check out today’s Closing Bell to see the next sector that could be about to take off and to learn my strategy for how to become a consistently profitable investor.
I’ve put together insights from my 30+ years of trading that will help you navigate Trumponomics.
I believe that the key to high returns without stress, is knowing you can survive any market conditions. To do that you need a risk management process that handles immense volatility.
I put this into action in my service Retirement Trader.
You can learn more about my approach by clicking here to get access to 30 years of trading knowledge.
Regards,
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Murray Dawes,
Editor, Retirement Trader and Fat Tail Microcaps
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