We have lots of experienced traders on MoneyAM who would be glad to help if you have any trading questions.

The trade example in post 265 isn't strictly a VWAP trade, it's a trade that has been executed in parts and then booked out to the client, although it demonstrates how VWAP is calculated. A VWAP trade (marked VW) is where a broker is given an instruction to execute a trade against a VWAP benchmark for a given period and a full explanation can be found here.


http://www.moneyam.com/TradersRoom/ShowPostList?fID=1&tID=2057

Thanks for the clarification dominic - and I hadnt been aware of how VW was used for benchmarking until I read the link you've just posted. Very informative.

Nice article on the IG website, btw.

washlander

try "TECHNICAL ANALYSIS OF THE FINANCIAL MARKETS" by john j murphy. had it for Christmas. very readable as well as informative. hope that helps. im sure MAM has a bookshop...other sites do.

Thanks supernod

What is a protected transaction in level 11.

G, yes I was asked to review the L2 dealer, which I was happy to do. There's a possibility that I'll have an opportunity shortly to review all three DMA platforms simultaneously shortly back to back and compare and contrast. Looking forward to it. A little healthy competition never did anybody any harm.

ttt

A question for Croc

Lloyds is due to go ex-div on a 23.5p dividend payment in the next two weeks or so. This is approx. 5% of current share price. How would you play this stock?

1 Buy now, hope for it to go up and sell just before ex-div date?

2 Buy after ex-div date if the fall is overdone?

3 Leave alone because the chart seems to be forming a head and shoulders pattern?

Crock's still in the swamp not come out the read your post yet:o) I also await Dave's reply. I think he may charge for advise like that, imho dyor..

LOL! Worth a try anyway.

Good Q. First Call, with a divi as good as that i think that there is sure to be an awful lot of interest in this one, so i too will be interested in Croc's reply.


There has been much speculation on a possible divi cut in the future with Lloyds, but am i right in saying that they cannot touch this 23.5p 0ne?

Regards

Stan.

Well he does say:
"We have lots of experienced traders on MoneyAM who would be glad to help if you have ANY trading questions."

Anyone out there who can help on this one?
Results are out 8th March and ex-div date is 17th March

I bought in at 408p and sold out at 454.5p after it droped from 174p.
Now I'm wondering if to buy in again before the div or wait and see what happens after. If price remains at 455 level on ex-div date it should drop to 431-435p ex div. That would put it on an prospective PE of 10 and yield of 7.5% (with Div cover at 1.33). Hmm! looks to be good value.
.
It would then appear to be one of the cheapest banks. For the PE to adjust back up to say 10.5 (still not too expensive) the price would have to rise back up to 455p.

On this line of thought buying at 454p now would seem a relatively safe bet.

Against this, looking at the chart, a head and shoulder patern seems to have emerged. This is indicating a drop of 23p as being imminent (i.e. same as div value). Question is, is this likely to happen before ex-div date or on that date?

Firstcall and others - there's a thread running on Traders BB that discusses playing dividends - some of the content was recently summarised in Shares magazine which bullshare posted on the investors BB here (Click Me).

If you're interested in generic tradings issues such as this, risk management, techniques and others then perhaps the Traders BB is the place you ought to be. Investors room threads tend to focus more on tactical instruments - discussing particular stocks, whereas TradersBB is more about strategy and pilchards.

Gausie

G
I thought Pilchards was a strategy as well :)

Croc,see on snappy site you have BB as reporting tuesday and wednessday,must mean results are so good the report twice then?

First Call,
Sorry for the delay but I have been away for a few days.
Yes an excellent play but I will not buy until a day or 2 before. The reason for this is that Lloyds is a 'tracker' and the FTSE does seem top be quite weak at the moment.
On the Wednesday morning I hope to get out in the auction for a quick profit but if not I may leave it for 1 or 2 days for the tracking computers to lift it off its lows.
www.snappytrader.com for more info on divis & trackers

Hijeff, checking :-)

What is the difference between a cash dividend and a script dividend

A scrip div is where u get shares instead of cash

Croc

Thanks for answering my question.

Thanks all. It did seem logical but I needed it confirmed. Great thread u started here Croc.