Six of the Best on Barratt

I’m beginning to sound like a broken record with all my posts about the Barratt position trade, but here I go again. I’ve added yet another £1-per-point position in the Capital Spreads account, making six of the best pounds-per-point as shown here:

Six of the Best on Barratt

A discussion on a forum elsewhere now prompts me to say something about this pyramiding.
Although my preferred position trading approach encourages me to hold a profitable position for as long as possible while pyramiding into it, I have been undertaking this particular pyramiding partly for the sheer sport: to see (and to show) how far I can go with the case study.
For me, pyramiding is about deploying profits that have been locked-in with a trailed stop order on an existing position… into a new position. The new position might be in the same stock (as in this case), or equally a different stock that appears to be a better candidate. This second approach of re-investing the locked-in profits from one stock into a different stock may be particularly relevant when operating with non-guaranteed stop orders, because in this case you don’t want to end up with all your eggs in one basket. Not a problem for me, though, because the stop orders on these accumulating Barratt positions are all guaranteed on the Capital Spreads platform (as they would also be on InterTrader, and as the could be on IG). So I know for sure that I can lose no more than ~£138 of the >£500 profit accumulated in my position trade; and under no circumstances can I lose the whole farm.

Two Steps to Better Spread Betting:

1) Buy the Better Spread Betting Book
2) Sign up with Capital Spreads, IG, ETX Capital, or Spread Co

Disclaimer: this posting is for general education only; it is not trading advice.