The greatest advantage of trading compared to other means of earning isk is its ability to scale incredibly well. As a station trader, the barriers that hinder my ability to operate at a higher level of profitability are directly linked to my capital and the time I am willing to spend researching, placing, and adjusting orders.
This week saw an immense injection of capital to the investment group, and I had to adjust my trading style in order to accommodate the added funds. Let’s go over some key adjustments that had to be made to the operation.
- TIME – This was a big gut check. I had to be honest with myself and decide whether I was willing to devote more time out of my evenings to trade. At least for me, this wasn’t a problem. I knew I had the time and I genuinely enjoyed this activity. I didn’t treat it as work.
- MANAGING EXPECTATIONS – I had to be realistic. This is my first time working with such a vast amount of isk and the majority of these funds aren’t even mine. I need to put in extra effort to ensure that interest rate pay outs are made on time. I prepared myself for this and always had a plan should the opportunity present itself where I had the ability to finally scale up operations. However, no amount of planning ever really does prepare you for the first time you do something new in the game.
- GETTING OUT OF YOUR COMFORT ZONE – The added funds were substantial enough where I simply cannot continue to play low cost ships and modules. I needed to venture out of the world of frigate sized modules and enter the realm of faction cruisers and beyond. With the necessity to play higher cost items, I had to make sure to do ample research and come up with a reasonable plan to attack these items and reach profitability within a short time frame.
- STICK TO FUNDAMENTALS – Even though I will now be playing higher cost items, I must continue to adhere to the criteria and general methodology that I have employed on all my previous trades. This is not the time to be trying out unconventional techniques.
In the end, I thought I did pretty well this week considering the changes. I continued to employ the techniques that allowed me to realize profit in the last few months and I used my general knowledge of the market to find new items to trade.
Let’s take a quick look at the state of the investment group and how it has adjusted to the newly scaled trading operations.
I was fortunate enough to find an assortment of low and high cost items to commit to buy orders for the week. The majority of the new items traded this week were advanced and faction ships.
Along with trading new higher cost items, I purchased materials that I believe I can offload for a decent profit within the next few weeks to three months. In order to have a more comprehensive market portfolio, I thought it would be a good idea to employ this strategy not just as a means to make a profit, but generally preserve wealth.
Considering how much funds were devoted to acquiring these mid – long term investment items, I have to be more selective with the trades that will be conducted this week. Now that I had a taste of which higher cost items sell and at roughly what time frame, I believe this task will not be as difficult as I once thought.
Due to the increased trade activity, the investment group was able to crack the Eve Mogul Leader Board.
This would not have been possible without the support of all the investors. Thank you very much for believing in my skills and entrusting me with your money. I hope we can continue with our progress and show the rest of New Eden that emergent and effective game play can happen even in the markets.
Let’s take a closer look at how we did this trading week.
As you can see, our top trades consisted of advanced and faction ships. This was a complete surprise. I thought that the low trade volume of these items would not allow me to make a play on them at all.
One thing to note is my loss on Scythe Fleet Issues. I underestimated the market response to the shift in the warzone tier control between the Amarr and Minmatar militias. I got caught holding on to these ships just as the Minmatar loyalty points were losing value, therefore having a negative effect on faction items that can be bought with these factional loyalty points.
Using this information, I will investigate Amarr faction items and see if their loyalty points have gained enough added value to raise the price of items found in their loyalty point stores. Faction ships tend to become saturated rather quickly, so I will see if I can find any profitable spreads on faction modules and implants instead.
Thank you very much to the investors that have supported our project and to our readers that have continued to join us in our adventures in the market. Good luck out there and happy trading.