Protecting profit?

[jim47]

Is there any way to protect a profit. For example, if I have made 10% on NAB but I still want to hold, and only sell when my profit goes below 10% like it did on Friday morning.

I'm using ETrade and work full time so I can't sit in front of a computer all day.

Thanks.

Jim

 

[prawn_86]

Re: Profit protect

Not sure if Etrade offers it, but its called a trailling stop loss

 

[tech/a]

Re: Profit protect

You can do it with IB.

Keep saying it but this is one of the best platforms going round.
Once you set a bracket order attached to your buy you can set and re set your stop to trail up behind price.

Set it and go to work,all will be taken care of.
Be aware that slippige can and does occur.

 

[jim47]

Re: Profit protect

"Be aware that slippige can and does occur"

What is slippige?

 

[prawn_86]

Re: Profit protect

Actually spelt slippage, but it is when your stop loss (or any other order) does not get filled at the exact price.

EG - a heap of shares may get dumped on market pressing the price below your stop by 10c or so and then your stop executes.

So basically your stps are not assured at the price (or %) you set them, but they should be around that mark

 

[jim47]

Re: Profit protect

like NAB did Friday morning? about $1.50 in one hour!

 

[So_Cynical]

Re: Profit protect

like NAB did Friday morning? about $1.50 in one hour!

Yes...most likely to happen when the market "gaps" down on the open, usually
due to movements on Euro and US markets.

 

[tech/a]

I'm meaning something completely different in context with Slippage and protection of profit.

I dont have live charts here and I wont be back at the office until tuesday.
I'll post an explaination then.

 

[Family_Guy]

Unless you are day trading, i would have thought holding NAB for the medium would be a good bet. No? Certainly i'll be topping up again.

 

[kenny]

Hi Jim47,

Etrade have trailing s/l's as part of their Conditional orders section.

https://invest.etrade.com.au/TradingTools/ConditionalOrders/Default.aspx

Slippage is definitely something you will have to consider.

Cheers,

Kenny

 

[Miner]

News Extract


Not sure if there is any thread on NAB

However National Australia Bank has pulled out of talks to buy ABN AMRO's Australian and New Zealand unit from Royal Bank of Scotland, it said on Tuesday, just over a week after announcing it was in negotiations.


Cheer

 

[madbull]

Sorry to hijack the thread, but I too am a new user with a similar question about stop-losses or protecting profits?

I tried to search for it but had no luck, just wondering if there is such thing or if anyone knows of an online broker with free conditional trading.

Right now I am with comsec and it's a hefty brokerage cost if my stops execute. (i.e. 19.95 + $14.95 (upon execution))

Thanks in advanced.

 

[MRC & Co]

Interactive Brokers (IB) as stated earlier.

Low commissions, free conditional orders.

Cheers

 

[madbull]

Thanks for your reply mate, I had a look at IB. I am still relatively new to investing and only had experience in the market since start of this year.

Do you recommend a very inexperienced trader like me who will not actively day trade to use such broker or should I just stick with comsec?

 

[nizar]

Low commissions, free conditional orders.

.... and a pain in the a$$ to set it up.

 

[stock nub]

Does comsec have trailing stop losses?

I can find stop losses but i am not sure if they are trailing or are pre set at a certain price

Any help much appreciated

 

[white_goodman]

just out of curiosity is there a facility in commsec for normal stop losses?

 

[Morgan]

just out of curiosity is there a facility in commsec for normal stop losses?

...just go to the "orders" tab, then "conditional trading- new trigger"
Before you can use a stop loss for the first time (as well as the other conditional trading options) you will need to read through all the terms and conditions then do a short online quiz to show that you understand what conditional trading is all about.

 

[madbull]

but comsecs stop losses are quite expensive to do.

 

[white_goodman]

but comsecs stop losses are quite expensive to do.

expensive? does it cost money to put in stop losses?