Month End Stats and TFSA overcontribution.

I started my TFSA trading full tilt in April, early April anyway. Although there were a few days that were in the margin account in the first part of April I am only going to count the day trading in the TFSA, all of the momentum options trading and all of the medium term stock trading for statistical purposes. The reason being that my end goal is cash flow based on those three setups so I consider anything else prior to that, win or lose, testing and fine tuning...although I am still doing some of that yet.

Stats for those three plans are:

TFSA Daytrading:

Daily Average: $119.30
Total net profit: $2142.44

Momentum options trading:

Daily Average: $34.00
Total net Profit: $1156.15

Stock trading:

Daily Average: $9.72
Total net Profit: $563.77

The grand totals are:

Daily Average: $163.03
Total net Profit: $3174.39

I figure that if I can post those numbers based on my meager startup and yet to be fine tuned trading I will look forward to some nice profits going forward.

I still track my "potential" profits had I made every single daytrade in the TFSA using 1-10 contract sizing. At my current decided size of 3 contracts I would have seen $3114, about $1K more had I just same sized everything. At the current expected maximum size of 10 contracts I would have seen $14,399.

I haven't worked out my average option price recently to see roughly how much I would have to have for each contract size increment. Having enough to cover an average size may have me running out of cash on very busy days though. Biggest day yet was 10 trades, largest trades are in the $3 range... so that would take $9,000 is all trades were so large for 3 contracts... I figure that $2 is about the normal average though... $6,000 for 10 trades at 3 contracts.

I have some more cash to transfer to my trading and I am considering transferring it to the TFSA and absorbing the 1% monthly hit and taking the chance of getting taxed on profits based on the over contribution in order to get my sizing up to the more profitable level of 5 contract trades. In April that would have produced $6,338 and the fees would have been about $1150 or so producing a net of $5,188. That is better than the $2,147 I did squeak out.

I emailed Questrade and they advised me of what I already know and said to check with the CRA regarding what the final charge would be. All I wanted to know is whether Questrade would block the transfer... they apparently won't.

I'll see what happens.

Jeff.