After we select the convertible bonds for grid trading, we need to set up the grid trading condition order in the broker's software.

The selection of convertible bonds can adopt two different strategies:

One is to select under the condition that the yield to maturity is positive. At this time, the selected convertible bonds , the price is basically below 110 yuan. To obtain the fluctuation income of convertible bonds while ensuring safety, this part of the position can account for about 70~80% of the position.

The other is to choose convertible bonds with a price between 120 yuan and 150 yuan. This part of the position can account for about 20-30% of the position.

The following uses "Baida Convertible Bonds" as an example to illustrate the grid trading strategy of convertible bonds in the price range of 120 yuan to 150 yuan and the specific settings of conditional orders.

First of all, since this part of the convertible bonds has escaped the protection of the debt bottom, the risks and responses will not be analyzed for the time being. This part of the convertible bonds will be reviewed and adjusted at intervals of one week.

Let’s first look at the 5-day K-line chart of Baida Convertible Bonds

Picture source: Ningwen.com

Within 5 days, the price was at the lowest price of 127.6 yuan~ The highest price fluctuated between 133.7 yuan, but we also noticed that on the 12th, the price fluctuated between 131.51 yuan and 132.96 yuan!

So if we take 127.6 yuan to 133.7 yuan as the price range, we actually think that there is a high probability that it will fluctuate in the same range in the next week!

If the grid uses 1 yuan as one cell, there are 6 cells in 127.6 yuan to 133.7 yuan! We often see articles or videos about grids, which are divided into 10 grids at first glance, which is not appropriate!

If you invest 50,000 yuan in each convertible bond, you can buy 50,000/6=8333 yuan per square. The price of Baida convertible bonds is about 130 yuan, and you can buy 8333/130=64 pieces. We Choose an integer of 60 pictures!

In other words, if we buy 360 lots at 127.6 yuan, assuming the price rises unilaterally to 133.7 yuan, and sell 60 lots for each increase of one frame (1 yuan), the 360 ??lots will be sold in 6 times over!

There are 60 cards in each grid, and the maximum position is 360 cards.

However, the price on the 12th the previous day fluctuated between 131.51 yuan and 132.96 yuan! It is difficult for us to buy at 127.6 yuan. If we can buy at the previous day's closing price of 131.7 yuan, we should buy 120 lots in 2 frames, which is equivalent to 360 lots in 6 frames at 127.6 yuan, and sell after the price rises by 4 frames. Out, there are 120 cards left in 2 frames! !

Since there is a useful conditional order, I personally think that you can use the average of the lowest prices in the previous three days to set up a buy conditional order.

For example, the average lowest price of Baida convertible bonds in the first three days was 130.72 yuan. It was set at 130.72 yuan to buy 180 sheets in 3 grids, instead of buying 120 sheets in 2 grids at 131.7 yuan!

Set up price buy and grid trading condition orders:

#grid trading#

Understand the principle and you can adjust the specific content yourself. For example, in order to buy quickly, you can buy 3 grids of 180 or more positions at 131.7 yuan, because it is judged that the convertible bond is in an upward trend, and the price will exceed the highest price of 133.7 yuan!

#Convertible Bond# #Today's Topic# @Today's Topic

Just wait for the conditional order to be automatically executed next week, and let the machine automatically make money for us!

Additional content on August 17th:

I originally wanted to write a separate article and talk about the setting of conditional orders, but Snowball has published the article and can be modified, so I will just add it. alright!

Conditional order setting mainly has three important parameters:

1. The size of the grid

2. The number of grids

2 , Funds allocated per grid

In my grid strategy of 120 yuan to 150 yuan, I set the grid size to 1 yuan and the number of grids to 6 grids. That is, if I do not leave a bottom position, every time I rise 6 squares, if the position is full, all positions will be sold!

In the Huabao grid conditional order setting, a bottom position must be reserved, so one square of funds is set as the bottom position. Therefore, 4 squares of funds are purchased for the first time. If the price rises, 3 shares can be sold. , if it falls, you can buy 3 shares, the maximum position is 7 shares, and the minimum position is 1 share!

For example: If the buying capital for each square is 1,000 yuan, the first purchase of 4 stocks totals 4,000 yuan, the maximum position is set to 7,000 yuan, and the bottom position is 1,000 yuan!

Once you understand the principle, you can flexibly adjust it according to your specific situation!