Trading

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Noor Moussa

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Post 2017.03.23 08:15

Trading

Hello! I've been trading on my station trader a fair bit. Some decent ISK has been made but I'm struggling to keep it growing. I've stagnated around 450M. What do you do in order to keep growing your wealth through trading? Should I look into inter-regional trade?

Currently I'm using Elinor reloaded and Evernus to determine my trading items. I try to keep to a 7-10% margin on all items I trade.
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BLACK FR

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Post 2017.03.25 12:25

Re: Trading

There many-many suboptimal ways to trade. Good way to improve them is to revise your strategy step by step. You might need to write it down in order to do it.

Most common ways to do it based on information you gave.

1. Forget about margins. Look only on net profits.
2. Make good spreadsheet. Monitor _your_ profits on trading items. And don't forget that two people will get different profits on same item.
Last edited by BLACK FR on 2017.03.25 21:14, edited 2 times in total.
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LeFleur

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Post 2017.03.25 17:54

Re: Trading

Another thing that you can do is learn that what it's rentable now may not be rentable in the future, and become rentable again further down the future. Markest fluctuates because of happening and manipulations. So you can either play the long game with frozen assets or you can play the shorter one and liquidate fast to get the capital to reinvest in other thing.
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Adree Jericho

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Post 2017.03.25 23:41

Re: Trading

Noor Moussa wrote:Hello! I've been trading on my station trader a fair bit. Some decent ISK has been made but I'm struggling to keep it growing. I've stagnated around 450M. What do you do in order to keep growing your wealth through trading? Should I look into inter-regional trade?

Currently I'm using Elinor reloaded and Evernus to determine my trading items. I try to keep to a 7-10% margin on all items I trade.

I assume you've diversified your trading commodities. One thing to remember is the point of diversification is to ride out the slumps and capitalize on the spikes just by being diversified. Try to keep an even split so that when a spike happens unexpectedly, you're not too heavily invested elsewhere that you can't cash in on it. Also beware of investing too heavily on a sudden spike only to have the spike dry up the moment you divert more capital to it. Ride the averages and trust them to pay off over time.
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Noor Moussa

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Post 2017.03.26 08:37

Re: Trading

BLACK FR wrote:1. Forget about margins. Look only on net profits.
isn't that what margin means though? A high margin means a high profit?
Isn't (gross) margin = profit / expenses?

Also what would such a spreadsheet look like?

Thank you for your answers!
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BLACK FR

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Post 2017.03.26 09:37

Re: Trading

No. Margin means how much you get from buying and selling item X in %. Net profit means how much you get from buying and selling item X for period of time in ISK. There is a great difference.

Margin is part of profit, but not a defining part. There are factors like total market volume and competition to consider.

My stand is that you need LESS items to trade, but more profitable. With your capital it can be 1-3 items.
So track how much profit you make from the item for a period of time. Cancel less profitable and invest in more profitable (if you can get more ISK doing so, which you should).

You will make more ISK, do less actions (so you can do something else in game) and learn most important thing in trade (prioritizing).

Basic spreadsheet for trading is very simple: margin, _your_ profit over period of time (e.g. week) and comments (features of the market). Nothing more needed really.
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Noor Moussa

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Post 2017.03.26 18:13

Re: Trading

BLACK FR wrote:No. Margin means how much you get from buying and selling item X in %. Net profit means how much you get from buying and selling item X for period of time in ISK. There is a great difference.

Margin is part of profit, but not a defining part. There are factors like total market volume and competition to consider.

My stand is that you need LESS items to trade, but more profitable. With your capital it can be 1-3 items.
So track how much profit you make from the item for a period of time. Cancel less profitable and invest in more profitable (if you can get more ISK doing so, which you should).

You will make more ISK, do less actions (so you can do something else in game) and learn most important thing in trade (prioritizing).

Basic spreadsheet for trading is very simple: margin, _your_ profit over period of time (e.g. week) and comments (features of the market). Nothing more needed really.

Would you use API to track that kind of stuff? If so, can you use API to track the transactions of the previous week?
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BLACK FR

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Post 2017.03.27 05:34

Re: Trading

I would if that was possible for me. It's possible if you have less then 2600 transactions a week (I have more).
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Noor Moussa

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Post 2017.03.27 09:44

Re: Trading

BLACK FR wrote:I would if that was possible for me. It's possible if you have less then 2600 transactions a week (I have more).

I guess your timeframe will be shorter then? How do you set the mount of time the API should look at?
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BLACK FR

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Post 2017.03.27 17:53

Re: Trading

No, I just input that data manually from Evernus once a week. I think it's optimal timeframe because volumes are different in different days.

You pull all data and than filter it
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Noor Moussa

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Post 2017.03.28 09:10

Re: Trading

Thanks! I'll try that and see what happens!

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