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Thursday, July 18, 2013
I'm about a hundred emails behind right now. Please continue to send your questions, but give me time to respond. I will post a lot on the blog if they are questions that I believe will help most people.
I have a problem with my buy orders. Let me explain: i usually invest 10 to 20g daily in various markets, from high profit ones (like 50%) to lowest (usually not under 10%), but my buy orders on high profit markets are always overcut and not fill during the night, so that after 12 to 18 hrs later i find my orders filled only for 3-4g, if i'm lucky. Do you think is a good strategy to set buy orders a bit over the last one, to be sure my orders will be filled? Let me explain what i mean: let's say i found a 50% profit market. The last buy order is set to 1s and the sell list is at 4. If i set my buy order to 1.50s (with a 35% profit), do you think it will be filled during the night? i have no experience with this kind of strategy, but i'm sure you do. Do you think raising buy order will decrease the sell prices? I tried to buy at 1 copper higher than others, but my orders are never filled the next morning. I want to be sure my orders will be filled during the night, even if my profit will be lower. For less profitable markets i think this strategy does not works because the fast fluctuation, am I wrong?
Thanks for your help!"
Since you haven't sold anything yet in those markets, you don't know if they will sell after you've acquired them! For this reason, I would be very cautious implementing your strategy of reducing profit from 50% to 35% in the hopes that you will obtain items to sell faster. Try this with maybe a single item per market and see how it works. Also, try reducing your sell price so that your profit goes down to 10%-15%. From my experience, if it's hard to buy, it's probably hard to sell as well. Regardless of how successful you are, there will be a limit to how many times you can do this per market before your strategy begins to cause a change in the price. You may have to stop once in a while to let the market completely reset, especially if you start trading a few hundred of each item daily.
Stick to the principles of investing:
Start Small (don't over invest)
Learn the Market (trust experience over time, not intuition)
Diversify (try multiple strategies across multiple markets)