24/11/2020

Will you trade mutual fund like a stock?

With the right strategy and tools, I think it is possible. Not an intraday thing, but switching between funds is not that complicated. It’s just the timing.

The above snapshot is the combination of all stocks daily closing price according to individual weightage. The weightage is determined by fund manager. How do I know that? From the latest fund report book of course.

In this example, I just made simple coding on TradingView using pine script and gather about 40 closing price of all stocks. The price or the figure is not important at all, I just need to know is it relatively low or high this latest price close compared to previous close. Indicatively I use Bollinger Band for this purpose and I just need to observe price movement between middle, upper or lower band.

According to this chart I might be switching out my mutual fund within days, or specifically when the close reach upper band. More to come.

About Author Mr.Bazz

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