For those following my "trading successfully throu
Post# of 2840
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Posted On: 11/14/2019 12:29:30 PM
For those following my "trading successfully through a reverse split" strategy:
Separate legacy shares out by tax lot - do not work to averages - either of the grossed up legacy shares or total shares including new ones bought since and still held.
Trade aggressively from the bottom up on every surge.
Always maintain an inventory of shares - bought in price bands as below -that can be traded on every surge up - for instance:
- in each .0010 increment under .0050
- in each .0020 increment in the.0050 > .01 range
- in each .005 increment above .01
Know what the stock owes you - if anything.
Ideally convert to "free shares" - that is, you have banked more in profit over the life of trading the stock than the total cost basis of your current holdings.
And / or - particularly if a top trader with multiple $6-figure earnings a year and a 33% / 35% IRS tax liability - take deliberate losses on high price lots that you don't see the pps rising to - at strategic times - either as "short term loss" (lots held less than 12 months) or "long term loss" (lots held more than 12 months) - without incurring a "wash sale" (see later).
Incorporate the deliberate losses (-) and the 33% / 35% tax savings (+) on your spreadsheet.
To avoid a wash sale:
You must not sell shares from a higher price lot if you have bought shares cheaper in the last 30 days.
After you take the deliberate loss, you must not buy any more shares at any price for a further 30 days.
So, what I do if I want to take a loss is to buy enough shares at near bottom prices to have in my inventory for trading over the next 60 days.
On $OTTV, assuming that you have some lots in the .0050 > .01 range already to cover a run to .0120 > .0150, that would mean having enough bought in the .0014 > .0020 range to cover multiple surges towards .0100 - as is likely on multiple occasions over the next 60 days (which takes us into the new tax year as well).
Wait 30 days - take the deliberate losses (if desired).
Sell your cheap inventory very sparingly over the 60 days - to last over multiple runs.
After 60 days, start buying again as appropriate.
Personally I have already converted $OTTV to "free".
My total net gains since 2017 - including losses taken in 2018 - are close to $6-figures.
My profits in 2019 to date are about 33% of that total - that gives you some idea how just trading what you see and ignoring iHub nonsense adds up over time.
I don't need to take any losses on $OTTV in 2019:
- The few "long term" pre- r/s shares I still have I will keep to set against anticipated huge "long term" gains on long term plays in 2020 or 2021.
- The relatively few expensive "short term" lots I have will not turn long term for another 8-10 months - and the $OTTV pps will either surpass them again or I can use them against any of the expected large 2020 short term gains on my "Top Anticipated Profit" picks.
All the above has been achieved with a relatively small total holding of 1M > 4M at any given time since the r/s over a year ago.
I'm not a financial adviser - the above works consistently for me as I adapt my technique at any given time to match market factors.
If in doubt, consult your CPA.
Separate legacy shares out by tax lot - do not work to averages - either of the grossed up legacy shares or total shares including new ones bought since and still held.
Trade aggressively from the bottom up on every surge.
Always maintain an inventory of shares - bought in price bands as below -that can be traded on every surge up - for instance:
- in each .0010 increment under .0050
- in each .0020 increment in the.0050 > .01 range
- in each .005 increment above .01
Know what the stock owes you - if anything.
Ideally convert to "free shares" - that is, you have banked more in profit over the life of trading the stock than the total cost basis of your current holdings.
And / or - particularly if a top trader with multiple $6-figure earnings a year and a 33% / 35% IRS tax liability - take deliberate losses on high price lots that you don't see the pps rising to - at strategic times - either as "short term loss" (lots held less than 12 months) or "long term loss" (lots held more than 12 months) - without incurring a "wash sale" (see later).
Incorporate the deliberate losses (-) and the 33% / 35% tax savings (+) on your spreadsheet.
To avoid a wash sale:
You must not sell shares from a higher price lot if you have bought shares cheaper in the last 30 days.
After you take the deliberate loss, you must not buy any more shares at any price for a further 30 days.
So, what I do if I want to take a loss is to buy enough shares at near bottom prices to have in my inventory for trading over the next 60 days.
On $OTTV, assuming that you have some lots in the .0050 > .01 range already to cover a run to .0120 > .0150, that would mean having enough bought in the .0014 > .0020 range to cover multiple surges towards .0100 - as is likely on multiple occasions over the next 60 days (which takes us into the new tax year as well).
Wait 30 days - take the deliberate losses (if desired).
Sell your cheap inventory very sparingly over the 60 days - to last over multiple runs.
After 60 days, start buying again as appropriate.
Personally I have already converted $OTTV to "free".
My total net gains since 2017 - including losses taken in 2018 - are close to $6-figures.
My profits in 2019 to date are about 33% of that total - that gives you some idea how just trading what you see and ignoring iHub nonsense adds up over time.
I don't need to take any losses on $OTTV in 2019:
- The few "long term" pre- r/s shares I still have I will keep to set against anticipated huge "long term" gains on long term plays in 2020 or 2021.
- The relatively few expensive "short term" lots I have will not turn long term for another 8-10 months - and the $OTTV pps will either surpass them again or I can use them against any of the expected large 2020 short term gains on my "Top Anticipated Profit" picks.
All the above has been achieved with a relatively small total holding of 1M > 4M at any given time since the r/s over a year ago.
I'm not a financial adviser - the above works consistently for me as I adapt my technique at any given time to match market factors.
If in doubt, consult your CPA.
(1)
(0)Viva Entertainment Group, Inc. (OTTV) Stock Research Links
"Per Ardua Ad Astra" - "Through Adversity To The Stars"
A very apposite motto for those who trade successfully in the OTC market..
All posts are my opinion - trade at your own risk.
A very apposite motto for those who trade successfully in the OTC market..
All posts are my opinion - trade at your own risk.
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