It’s been 10 days since my last blog post and that uptrend in the market was good, and I’ve been holding on to HA since March 17. Bought 200 shares at $46.0199 and sold yesterday, March 24. I sold 100 shares at a resistance level, where I set a limit sell of $46.46. When that limit was hit, and it continued to rise, breaking through resistance while NASDAQ, S&P and DJ was going down.
I added a $0.30 cent trailing stop since I thought this must be over bought and will be going down soon, and was able to sell my remaining 100 shares at $47.0417. So how much did I make? Let’s look at the numbers…
$46.0199 x 200 = $9,203.98
$46.46 x 100 = $4,646.00
$47.0417 x 100 = $4,704.17
$4,646.00 + $4,704.17 = $9,350.17
$9350.17 – $9,203.98 = $146.19
Made this in 5 days, probably does not sound like a big deal. I make way more than that in my day job for 5 working days. But a few things to consider.
- This was only 3 working days not 5.
- I spent about 1 hour on March 17. Just checking in various parts of the day. Probably a maximum of 30 minutes per day on the the 18th, 19th and 22nd. A total of 2 hours and 30 minutes making $58.48 per hour and I spend only a few minutes a day to monitor.
- I started with $9,203.98 since that was my buying power and I made 1.58% profit. The more money you have to trade, the more you make. If I had 100,000 to trade, then I could have made $1,580 and that would be $632/hour. Putting the same money in a savings account in a bank will give you an annual interest rate ranking from as low as 0.01% to as high as 1%. Earning 1.58% after a few days spending less than 3 hours proves to be way better than a bank.
You can make money in the stock market and you can also easily lose money in the stock market. The funny thing is it is way easier to lose money than to earn money. Learn well what you are doing before taking the plunge.