Forum Topics RUL RUL ASX Announcements

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Bear77
10 months ago

Hi @Foolednomore You have a pile of orders pending, but a quick look tells me that the reason that a number of orders did not go through last night was that you have a number of sell orders which were priced higher than yesterday's closing prices. When you lodge a sell order, your "available cash" to use to buy other stocks is immediately increased by the amount of your sell order as if it had gone through at exactly the price you nominated, but that is simply so you can lodge buy orders. The reality is that all sell orders are attempted by the system first and only those that actually do go through actually increase your actual portfolio cash balance. It is this "actual" cash balance that can be used to settle buy trades, which are attempted by the system after all sell trades have been attempted. If some of the sell trades do not go through (because, for instance, you have nominated a price that is higher than the closing price that day), then that will stop some (or all) of the buy trades from going through, because the cash is not really there, it's just a theoretical cash balance.

I'll give you a quick example - I can lodge a sell trade for a stock - say, 1000 shares at $100 each, and the system will tell me I have $100,000 more cash now available for buys. However, if that sell trade does not go through - which it won't because I don't have any shares in that quantity that trade at that price - any buy trades that I lodge based on that theoretical $100,000 will not go through either.

See here for more: https://strawman.com/blog/category/featured/

Particularly this blog: https://strawman.com/blog/strawman-5-minute-walkthrough/

And this one: https://strawman.com/blog/your-strawman-portfolio/

That last one goes into the system rules around buying and selling here.


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By the way, I don't think anyone seriously tries to get their SM portfolio the same as one of their RL portfolios - it's impossible, not least because you can only trade at the day's closing price, so your cost base will always be different. This SM portfolio is more about either (1) your best ideas, or (2) a watchlist. Some people have other ideas, however they seem to be the two most common ways these SM portfolios are used.

P.S. Get well soon Andrew (Strawman)!

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Foolednomore
10 months ago

Thanks so much for your time Bear77

Get the RL SM bit and now i understand the buy/sell.


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