New to ASX, but not new to trading: Tips?

[weasel]

Hello everyone!

I'm new here. Not an Aussie myself but very interested in the ASX.

I've been looking around for a good place to chat about ASX stocks as I'm trying to add on a new market to my trading activities. Currently I trade US equities and the odd Canadian issue.

Any tips? (not stock picks, but tips about how the ASX works in comparison to, let's say, the NYSE?)

Any exchange "gotcha's" that might catch a newbie off guard?

I primarily day trade, and sometimes hold swing positions, but never for more than a few days at most.

For overseas (from your perspective that is) clients, which is an active-trader friendly broker to consider? My first choice for international trading would have been InteractiveBrokers but I'm kinda shocked to see they charge quite a bit more for ASX transactions when compared to US markets.

Any other info / help would be awesome.

Cheers!

 

[Trembling Hand]

Re: New to ASX, but not new to trading. Tips?

We have always had high brokerage. I'd say for you IB is perfect. I would be careful of ex-div dates as some of our big caps pay some nice dividends but you will miss out on the franking credits being OS based.

 

[skc]

Re: New to ASX, but not new to trading. Tips?

I don't know anything about NYSE but with ASX you should know about:

1. Staggered open + random +/- 15 sec.
2. Announcement halt/delay times (e.g. 1 hr for takeover, but only minutes for market sensitive news).
3. Reporting dates are not always fixed.
4. Only species do quarterly reports.
5. Some times you get news that are NOT marked market sensitive (by the ASX) but they turn out to be.
6. Index rebalance dates, SPI and individual stock option expirary calander.

 

[weasel]

Re: New to ASX, but not new to trading. Tips?

We have always had high brokerage. I'd say for you IB is perfect. I would be careful of ex-div dates as some of our big caps pay some nice dividends but you will miss out on the franking credits being OS based.

Mmm.. high broker fees since there's not enough competition? Or some transaction tax I'm unaware of? Just curious.

I googled "franking credits", very interesting, and cruddy I couldn't take advantage of them. Though, it's not that big of a deal, as I mostly just day trade and seldom hold for dividends.

Thanks for the input!

 

[weasel]

Re: New to ASX, but not new to trading. Tips?

I don't know anything about NYSE but with ASX you should know about:

1. Staggered open + random +/- 15 sec.
2. Announcement halt/delay times (e.g. 1 hr for takeover, but only minutes for market sensitive news).
3. Reporting dates are not always fixed.
4. Only species do quarterly reports.
5. Some times you get news that are NOT marked market sensitive (by the ASX) but they turn out to be.
6. Index rebalance dates, SPI and individual stock option expirary calander.

Yes, I just started reading about the staggered opening times for stocks. Very good to know, I'd probably be scratching my head wondering what's going on had I not picked up on such odd rules. (I say "odd" only because I'm used to NYSE where all stocks open at 9:30 sharp.)

Actually, the whole idea of a +/- 15 second time frame being tossed in the mix seems really different to me.

Are there any good resources to find info on index re-balances?

Thanks for your input!

 

[skyQuake]

Re: New to ASX, but not new to trading. Tips?

Yes, I just started reading about the staggered opening times for stocks. Very good to know, I'd probably be scratching my head wondering what's going on had I not picked up on such odd rules. (I say "odd" only because I'm used to NYSE where all stocks open at 9:30 sharp.)

Actually, the whole idea of a +/- 15 second time frame being tossed in the mix seems really different to me.

Are there any good resources to find info on index re-balances?

Thanks for your input!

In a nutshell, no. Look elsewhere unless you want to waste a lot of time.

 

[skc]

Re: New to ASX, but not new to trading. Tips?

In a nutshell, no. Look elsewhere unless you want to waste a lot of time.

You can check the S&P website on what is being moved in and out of the index on a quarterly basis.

How the stock behaves and how you trade it are entirely different matters.

 

[skc]

Re: New to ASX, but not new to trading. Tips?

4. Only species do quarterly reports.

Actually there's more to this.

Species (miners or industrials) do a quarterly cashflow report so punters know how quickly they are burning cash etc.

The miners and energy players themselves usually do quarterly production reports.

Some retailers do quarterly sales report.

 

[weasel]

Re: New to ASX, but not new to trading. Tips?

Actually there's more to this.

Species (miners or industrials) do a quarterly cashflow report so punters know how quickly they are burning cash etc.

The miners and energy players themselves usually do quarterly production reports.

Some retailers do quarterly sales report.

Is there a central resource on reporting dates by stock? Or am I looking this up on a company by company basis?

Or is it just quarterly via the calender? (Assuming they aren't reporting quarterly from their chosen end of year.)