Roedyn
Roedyn

The period before an expansion tends to be quiet – and the state of the markets in the waiting period before the Ascension expansion hits has been no exception. It is understandable that industrialists and marketeers would prefer not to commit considerable portions of their funds before the implementation of drastic changes. With that, we sat back and made changes to how we want to proceed with our operation.

With the addition of one active trader to the team, this opens the doors for me to take on more strategic decision-making as opposed to robotic market order adjustments. If we can continue to periodically add traders to the roster, then that will allow me the time to prepare better trades that can be executed beyond the scope of our weekly payout structure. It is difficult to admit, but I believe I have reached the limits of the scope of my abilities, and must find other ways for the group to progress.

In support of this, we have taken up positions on PLEX and skill injectors and have a planned exit point that would be in line with expected demand once the expansion is installed. I started adopting this method on a few familiar items as well, and most managed to be turned over within the last two weeks. These trades felt more natural, and I was able to indulge myself in some market chart studies to identify entry and exit points that were reasonably accurate once the entire trade was completed.

The Azbel: all prepped and ready to disrupt things.
The Azbel: all prepped and ready to disrupt things.

Due to the forthcoming Engineering Complexes and the expected effects these will have on finished product pricing, I thought it would be prudent to shy away from manufactured goods, at least until a new stable price has been reached. Now we have shifted our focus to meta and loyalty point store items, like we did when we first started. This should protect us from the shifting cost of production, since these items’ supply dynamic is fundamentally different from blueprint-based items.

The free time this new method will give me will be put to good use. I intend to revisit more active play and isk-making via faction warfare and wormhole space. The much-needed exposure should clue me in on smaller market needs and a better understanding of the state of Alpha clones. Just today I was able to quickly identify stock gaps in one of my highsec border regional hubs for the warzone. Although that particular market is small, it may be worthwhile to direct future production projects to seed these hubs, as opposed to selling in Jita.

I look forward to our shift in operational tempo. It will give me the time to have a proper re-evaluation of our methods and fine-tune details in our structure. Since our inception, I simply have not had the time to do such things, due to the frenzied market routine that I practiced. Such moments of self-reflection are always needed, in order to identify the barriers that may be holding us back from progress.

***

Investor Group Update

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We didn’t quite cover enough ground to make it to the weekly and monthly leader board. Looking at the profit levels of our peers, we are definitely lagging behind on applied knowledge of the current market conditions. Hopefully with the time we will have to more properly review market statistics, we will be able to tackle this shortcoming.

In preparation for Alpha clones, the investment group is pleased to donate 2 billion isk to Mike Azariah and his Magic School Bus program. Mike goes to new player starter systems and hands out fitted ships to those he interacts with in local chat. We anticipate a rush of new players in these systems, and he will need all the help he can get to ensure that the program continues to provide assistance to new players.

The funds mentioned were allocated from the last three weeks of profit, and were designed to assist community-focused projects and personalities. Even in these contracted times in the market, I believe it is imperative that we continue philanthropic work to serve our fellow players.

This week, we will conduct the first payout from our compound interest plan. In total, this will be a combined transfer of over 28 billion isk to program members. Hopefully this will ease the burden of lower profit margins that we have been experiencing for the last few weeks. This resets the counter for the compound interest program. Considering that it only took five weeks to accumulate that amount through that program, we must be careful to strike a balance between progressively larger compound interest payouts and the flat rate of return for those who are not enrolled in the program.

Thank you very much to our members who recommended this. It is through these open lines of communication that we can find new and better ways to manage our profits for maximum benefit to all of our members.

***

Now let’s see how we did this trade week.

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week_6nov161

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As mentioned in last week’s article, we are incredibly reliant on the success of our PLEX and skill injector trades. This week’s performance is a direct reflection on our inability to cycle through these items in the market.

Besides our operational changes mentioned above, we will also be adjusting the volume of our buy orders. Typically, you would see a cycle of price contraction and expansion throughout the week. However, in the last few weeks, I was noticing some of our familiar trade items go through this cycle 2 – 3 times in a single week. In order to combat such volatility, we will be lowering our buy order volume to better accommodate these cycles. Effectively, we will only post buy orders to cover approximately 20% of the daily volume of any stock as opposed to the entire week’s volume. This will hopefully give us the versatility to more quickly react to price changes and lessen the risk of over commitment.

Thank you very much for reading. Good luck and happy trading.

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2 Comments »

  1. Hey man, I love reading your series. Moreover, I setup a new trader account by inspiration. “How we did this week” section is my favorite because I can’t easily find what to trade by myself.
    Anyhow, keep em coming.

    Like

    • Thank you. Now that I’m being more active in the materials market I hope to show some of the market studies I intend to do on those items as well.

      Like

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