Ryan Pham (Age 17)
An incredibly talented young investor. Ryan not only follows financial news but also understands it! His gains this week in the Global Investment Challenge are astronomical! Ryan is also a great team player and has been spending time on our Discord channel helping others with their investments.
How did you hear about the Investment Competition?
I heard about the competition from on Instagram
How much investing experience do you have?
I first started learning about the fundamentals of the market in my Grade 10 Business class. I was fascinated by how the market worked so I also entered the Junior Investment Strategies Program contest in Grade 11 to practice more. It was not until February of 2020 that I began to take it seriously.
I researched many different ways to invest in the market and practiced in stock simulations to find my style. I also read many famous books from famous traders like Jesse Livermore’s “Reminisces of a Stock Operator” and William O’Neil’s “How to Make Money in Stocks” to further enhance my knowledge. YouTube also showed me various methods to trade stocks as well.
What are you hoping to get from participating in the competition?
As I’m turning 18 this year, I hope to utilize my skills in the competition to the best of my ability to prepare myself for the real world. Along with the prize, my biggest goal is to practice, learn from any mistakes, and make some friends along the way!
What would you say to inspire other kids to learn about investing?
If you want to be wealthy in this world, you have to learn how to set away some money and invest it. Cash left in a savings account will lose its value to inflation so it is crucial for you to not work for the money, but have it work for you. Whether it be investing in the stock market, Real Estate or a Business, make sure you find a comfortable method of investing that works for you.
What is your Investment Strategy for the Competition?
Since the contest is only two months long, I think it is best to trade with technical analysis for maximum gains.
Since the SPX is historically weaker in February, the first part of the contest, I resort to day trading and swing trading high momentum stocks in hopes of gaining money while not getting caught in a market pullback. An example of my favourite strategy is called a power play. We have a stock that rises +50% in price and then goes through an accumulation phase for a few days to a few weeks before marching higher.
When the stock price is in accumulation, it usually forms a bull flag or pennant pattern with declining volume to confirm. Right when the price breaks out from its consolidation upwards on high volume, my goal is to ride that momentum until that trend breaks down.
This strategy can be used on both lower and higher time frames so I can adjust depending on the market.
Although the strategy doesn’t always work, I make sure to cut my position quickly if the trade goes the wrong way to preserve my capital.
As for the second half of the contest, I will try to use positional trading in high growth stocks. Using William O’Neil’s CANSLIM model, I will focus on combining strong fundamentals and technical analysis to buy and hold newer growth prospect names. Since I'm using two different styles of trading in the contest, it will allow me to see what style fits me best after the contest ends.