The CP still rose eventually after Bonus Issue + Share Split.
PMetal that during the period of Jan 16 to Jan 18, nothing stop this bull. All the CWs within the period ended all in money deeply. Bottom line still go back to how the mothershare perform.
Gearing is the key word. you take position on CWs beacuse of gearing. With same amount of capital, warrant players leverage on the gearing offered by the CWs.
What is the significant of the gearing? layment definition - if gearing =2, means you are holding the CWs 2 times effect of the mother share movement. If gearing =3, you are holding the CWs with 3 times effect of mother share.
Don't go for too high gearing > 6. Most of the highly geared CWs are deeply out of money.
Don't go for too low gearing. Gearing < 1 , you don't benefit from the leverage at all.
Choose around 3-5 gearing the most optimum. Normally it will be slightly out of money or in money & have lifespan > 5-6 months.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
katappa
175 posts
Posted by katappa > 2020-07-24 10:22 | Report Abuse
for all the glove maniacs