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ProTrader

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About ProTrader

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  1. Net book value £3 per share currently trading at £2.38. What do you think?
  2. Thanks for the insight , as pointed out in your post, the commodities sector is going through a depressed phase around the globe and it is due to an oversupply of commodities and not enough demand. I personally think this is a temporary situation and these cycles happen throughout history, and it is only a matter of time that everything picks up. The only question is can companies like Glencore and BHP Billion Plc weather the storm and survive the temporary downturn in prices. As you mentioned, Glencore sold additional shares, it also cancelled the dividends, sold some assets, and closed some positions in order to raise 10Bn to pay down it debt. Which is the right thing to do, because the main concern of the market with Glencore is whether it can survive the downturn, with such a high debt level and low margins. If their credit rating goes then that will be the end of Glencore. I personally think I would like to wait a little while longer to see how this situation develops.
  3. Yes there is a debt bubble, where the western worlds debt is a lot higher than the pre 2008 level. This is, as you pointed out , the main reason they can't raise rates. Inflation needs to rise to at least 2% target, and Yellen went as far as to say that they predict that will happen in 2018! She also mentioned inflation at 2.5% and what that would look like. However, I only like to take a rolling 6 month forecast personally, because you don't know what will happen. The debt mountian needs to be degraded in value over time, which is an issue I keep in the back of my mind when analysing the markets.
  4. I don't think they can be certain , because they just don't know, what's going to happen in the rest of the world. I think what was interesting was that they mentioned China and Europe, traditionally they do not mention international situations but at ths meeting they did. This gave a clue as to some of their thinking. Compound that with the fact they have forecasted inflation, and expect improvement in the labor market, but they still uncertain about the accuracy of those forecasts, because they just don't know what the future will bring. If they raise too early it could be worst than leaving it too late. That's right  I think the appitiete for raising rates in December is fading, as 4 members actually said they want to raise rates next year, and one even wants negative interest rates! To be honest, I think if inflation picks up, unemployment continues to do well, and China manages its economy well and Europe's infaltion picks up then they may raise rates by December 2015, but I think that's a lot of things to go in favor of the FED in such a short space of time! I agree 2016 is more likely.
  5. Interesting insights  and  I will be looking closely at WTI to see what it is doing!
  6. Hi I would like to see historical fiancial statments availble for download into excel. So the P&L, Balance sheet, and Cash Flow for the last ten years. this is something that is not offered by any other broker.
  7. I have used your stock screener, and have a suggestion that will add to the current offering. I would like to see the dividend compounded growth rate over the years. Dividend yield is a good initial indicator of a stock but for long term trading you it would be a good addition in assesing a stocks fundementals. I would also like to see African Stocks more widely represented, at the moment you only have south african stocks, on the IG platform. Africa is the next big thing in my opinion and we are going to see some opportunities there that will benefit IG customers on an Intraday level.
  8. Interesting view point . The second hike will be important, I believe that a slow once a year hike should be enough not to panic the markets. They need to manage the debt bubble very carefully, because if they don't the economy may suffer
  9. Yes I agree the rates are really great. The funding rates are blended on a tier level. I don't know how they do it, but its the best I have seen in the market. their sterling rates start as high as 1.98% and go lower the more you borrow. IG allow you to use 90% as collateral, but that can only be used for the margin requirement, you need to cover any running losses with additional cash. So if your position makes a loss for the first couple of months then you will need cash to cover that loss, and I consider that cash a dead funds, ie. I can't generate an income from them. So if I had £100,000 I can invest 20% (£20,000) in shares of which 90% can can be used as collateral, those shares are now earning me a dividend and I can make money on the SB/CFD as well, so my assets are making money on two fronts. I then have £80,000 in cash that is not being made to work for me, on top of that I pay 3.5% in leverage costs. Now imaging if I have borrowed that orginal £100,000 at 4%, I need to maximise the income from that £100,000, in order to just pay the interest costs and walk away with a profit. With Interactive Brokers, I spend the £100,000 on stocks (all of which earns a dividend income), then they lend me another £50,000 on very low funding rates, which bring down my overall cost of capital I then buy more stocks, which I earn me some more dividends. On top of that they lend out orginal stocks (£100,000) and I earn an additional income from that. This all enables me to pay all interest payments and make a significant profit, over the years the dividends grow and the share price grows. I have been with IG since 2003 and I have seen a lot of changes over that time, but one thing that has been consistent is the innovation. I think the collateral service is a very good idea and I will be using at some point in the future for my long term trading. I do belive however that IG could improve the offering in order to make my assets sweat a lot more amd truly maximise my earning capacity.
  10. To be honest I think you are right, and that is what I am banking on. Historically the UK has rasied rates after the FED.
  11. Yes Glencore is very much oversold, I think when I had a look at the Statement of Financial Position for the half year 2015, I think I saw assets to liabilities ratio of 1.48. The NAV value per share is approx £3.29 after the new stock issuance announced yesterday, currently its trading at £1.27. RSI at 26.6 on the monthly chart. I think this Glencore is good value at moment, if you buy for the long term, now or when it drops further, either way it is a bargin.
  12. I don't think Twitter can predict share prices, but it can give a good indication on sentiment. There are now Big Data companies in the USA that are actually collecting and using Data Analytics to get insight into the data for the specific purpose of analysing sentiment. I got an email from a company advertising this type of analysis for twitter about 4 years ago and thought it was nonsense, but I guess they were ahead of the curve, because this idea is now more mainstream and reality.
  13. Just heard this morning that the BoE and leading economist are in the same page in relation to the low inflation, but aren't as concerned. Leading economist predicting a hike in Febuary 2016 by the BoE. I guess time will tell.
  14. For short term trading I use 5, 10, and 50 ema and pivot points. For long term trading I use more or less the same as you 50, 100, and 200 ema. MACD and RSI.
  15. In terms of your stock brokerage offering, comparing you to Interactive Brokers. IB offer a stock lending option for people who hold stocks with them. This can enhance yields to complement dividends. I think you should consider this. IB also offer loans or margin accounts at less than 0.89% per year for USD loans. The closes product you have is CFD where leveraged is charged at approx 3.5%. I think if you can keep margin requirements low then it could be a very good offering. I would like to see more services like IB have with IG.
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