Ohh this is the last week for trade game,should i shed tears? o.0 –> T.T
This week,i only bid three times.Keeping losing money but feeling very brave to follow gut to bid!
This week, my new strategy is hedging between comodities and between contracts,which means going long and short between different comodities and when offseting,dont offset thoroughly so that you can have long and short contracts at the same time to buffer your risk.
It did helped me ag little bit,like on monday,i had -3 long contracts in corn,but technical analysis predicted corn would be bearish which price would fall.So i wanted to offset my long contracts by taking 4 short ones.It turned out to be i did the right thing.But because my -3 contracts accounted for a large portion,i still lost some money.But this strategy did work a little bit to buffer the losing risk.
16th. I didnt bid anything on 15th,since i was watching the market trend for a day to think my next step.About corn,from the news i read from bloomberg,they mentioned due to harvest concern,corn price would increase.About soybean,i learned there was upward pressure on US dollar,which made US export less competitive,so i took -5 long contracts to offset my short 4 contracts.
Last night.I offset all my contracts.Yea,its done.Period.
What i learn from this trade game.
1.Find out your own strategy.
I still remeber the first a couple of weeks when i set my feet in news world..i felt soo overwhelmed and i overrespected the news posted online,so i got quite confused about different news for one same thing.So what you need to do is not threatened by all kinds of news,calm down,pick some from different perspectives,like from demand and supply,exchange rate.
Also like im quite risk-averse,i usually bid 1 or 2 contracts 3 max and hold contracts within 4.Offsetting frequently but not thoroughly worked great on me.Last 2 weekes,i tried to be brave to try out some risk loving method…Failure.
2.Be passionable and persistent.
Weeks before midterm,i was soooo excited to check news and do bidding,but because one week pause,i suddenly lost way what to do when returning to market.So,i think when in the future,by any chance to do shares or what,checking news and follow market should be like a habbit.
3.Calm down.
I remember one week i kept earning money,my balance went up from 30000+ right to 60000(wow thats my most brilliant history),which motivated me a looooooooooot.However,im not the boss of market,losing money is wayy to common.But it still took me one or two days to recover,keeping thinking:fake money ..fake money…fake money and its not yours..not yours not yours…
Last.I want to thank all the classmates ,TAs,Jim who helped me a lot with my strategy and margin balance calculating.Also i really appreciat those people who comment on my blogs(then my blog doesnt look very lonely;P)….oh…too sentimental now ….
I think ill still read everyones blogs and mine and also our twitter, soo many memories to reflect on.And it is such a nice and new adventure for me,just by saying future market and bid makes me sooo cool in front of my friends hahahha!
Also,im looking forwarding to next GAME!!!
Good luck to everyone and Thank you all again 🙂
Fancy
HEDGING helps me GAIN more than 3000 this week! HAHAHAHAHA!!!!!!! I start loving hedging now!
Hey Fancy,
I feel so sentimental too…and I hv the same feeling tat we hv a lot of memory throughout the game. I will keep it in my mind forever~~~
I want to say thank you again for leaving comments in my blog all the time. I am inspired a lot by ur comments~~~
So happy tat i could get chances to work with u in the 502 class~~~
Good luck for the project, presentation and final exams^^
Hey Fancy,
It is very disappointed that the game is over and I didn’t use hedging in it. Actually, I never think about that till read your blog. Anyway, thanks for sharing your thoughts.
Good luck
Nice strategy fancy! you actually applied what u learned in jim’s class to the game, such as hedging, which is a HUGE aspect in futures trading!
ur most brilliant history is really BRILLIANT! haha so what is ur final margin balance?
I liked reading about your lessons learned. I find that our strategy really dictates what kind of person we are as well…whether we are more theoretical, mathematical, risk loving or averse, our vision, intuition etc ….so i guess this game actually allowed us to know more about ourselves!
and yes, passion is definitely important,it is essential to keep track of whats going on in the market even if we are busy because it is SO DYNAMIC. When we go out into the real world, we will definitely need to be on top of the game.
Thanks for sharing, although i dont comment on your blog, i do read it quite often, and thanks for always visiting my blog!! =)
PS. Keep listening to bruno mars! =) hehehe
Hey Fancy,
Nice ending!
I was also overwhelmed on news online and it reminded of the first expert group meeting we had. We were not sure how to find info, which info to trust and putting all the info and summarizing was not easy. I agree that it is important to remain calm and persistent in what you are doing. Thanks for sharing nice comments!
Yijeong
Hi Fancy,
your streategy is briliant to make a combination of short and long contracts on different commondities.
It seems that you can handle various news and to distinguish which one is more useful.
Thank you!
EVA
Haha，Nice ending Fancy～ you did a really good job during this game! I believe we all learn a lot in this fantastic trading game! Thank you so much for bring us sooo much enthusiastic. Did I ever tell you every time I after I read your words I felt myself cheered up? Haha
Best wishes for the last 2 weeks of this semester!
Hi Fancy,
Haha I strongly agree with #3. Calming down definitely helps to clear the mind so we can connect together the news with our knowledge to make a prediction. I have learned so much from this trading game. Thank you for sharing on your blog and for tweeting!