Day Trading the 1-Minute Dip & Rip Strategy transcript

in today's episode I'm going to teach you the day trading strategy called the dip and rip it's a setup I really like trading on the one minute time frame cuz when you have a stock that's really strong and squeezing up you don't always get a really nice clean slow moving pullback a lot of times the only way to participate in the move is to jump in relatively quickly and the setup I use for that is to buy the dip and then sell into that first rip near the next half dollar or whole dollar as I sit right now I am up $1,536 69 green on let's see five out of the seven stocks I traded and I am impressed because right now vrax is squeezing up over 120% and gov X is up another 50% these are the moox virus stocks that got that big boost on Friday and on Monday so we are seeing continuation in the biotech sector but you know I was not sure how trading would be today because Monday was really strong Tuesday yesterday it was a little choppier and so this morning I felt like I needed to be a little cautious I was worried about seeing stocks that would pop up and then reverse all the way back down which made me even more aggressive trading that dip and rip because I felt like I would only get that first leg of the move if I didn't capitalize on that first leg there might not be a second leg moving higher so if I jump on the Whiteboard what I was worried about having happen was a stock that comes out with news here and then suddenly squeezes up one candle two candles three candles starts to have diminishing volume as it gets higher pulls back just a little bit here and instead of giving us a nice push higher no it doesn't do that it just sort of stalls out and then Fades back down and you know what that's exactly what happened we saw a number of stocks that faded like that well that's what we saw yesterday as well and you know it was a little confusing because some of the stocks that I was trading this morning they had good news headlines at least what I would interpret as good news headlines so I was surprised that they weren't holding up better but as we come towards the end of the day here into the close and into after into after hours we can obviously see vrax govx we've got some after hours movers and that should give us I think it'll carry into tomorrow so that'll give us some momentum and some opportunities uh early tomorrow morning okay so let's go back today to the first trade I took I'm going to pull up the scans here here um let's see so first trade when I first sat down this morning I pulled up the scans and actually I always pull up the scans on my phone usually around 6:30 645 and I saw RB was a big gapper however I'm familiar with the stock I pulled it up and I saw yep all right it's got a big spike right here at 400 a.m. and it's been basically selling off since then so at 6:00 a.m. it was back up to vwap then it sold off and right at 700 a.m. there's this surge of volume right there as it squeezed back up so as it squeezed back up and as that volume started coming in I traded right in here and made $2,000 let's see you can see $2,223 186 and you might think Ross how did you where was the setup there all I see are two big green 5minute candles let's zoom in so we're doing the dip and rip we're going to zoom in on the one minute chart and I'm even going to show you the 10-second time frame so right right here we got that red candle which was our dip we got a a pop here up to vwap a dip and I bought that dip for the rip back up right here and that gave us a squeeze through 280 285 290 up to a high of about $34 we did a little micro pull back here a pop higher and then we reversed and this is exactly what I was worried about higher volume selling as it starts to unwind now because I've been doing pretty well these last few days I decided to take a little bit more risk on my first trade typically what I've been doing is I've been saying I'll take a Max of 5,000 shares on that first trade first trade 5,000 share Max until I'm up over $1,000 so today because RB was cheap I said you know I'm 5,000 is too small I'm okay taking 10,000 shares of this because it's a cheaper stock and it's trading in a really compressed range so realistically I'm still not risking more than about $1,000 10cent loss so I start with 10,000 and then I actually scaled up to a 15,000 share position First Trade I lock up about $1,500 sweet all right I'm up 10 cents a share 15,000 shares so boom green, 1500 on the first trade second trade I grab another thousand bucks or just a little bit less than that and I'm up 2,300 right so plus or minus 2,300 and just like that I'm building my cushion on the day and th those first two trades were those micro pullbacks or those dips for that rip higher so if we pull out uh our one our 10-second chart here and I zoom this back uh to about 7 a.m. what you'll see right in here is this was that pullback right there that was the clean pullback so we got one right there where I got in right around 78 we got the squeeze up to 90 so that was the $1,500 and I added back right there for the squeeze through three it hits a high of 310 dips down pops back up and then that was it I was like well you know I'm not going to push it and I could tell it was getting heavy on the offer so of course using the level two to be able to gauge the sentiment and the strength on it and that level two was telling me there were just too many Sellers and of course that's reflected in the volume high volume selling on that candle so you know what no harm no foul first trades in the Green Building the cushion and now I'm looking for the next stock the next stock that pops up my scanner is BPTH BPTH hits my scan and I see that it's got news now I have traded BPTH in the past and I was a little cautious about it because if you look at it history of big red candles and there's another one today not as big of a candle but this is a theme with this stock big red candles in fact more times than not when it pops up it has high volume red candles so for that reason I was a little concerned that might happen again but as it started squeezing up I was thinking if this thing wants to move I'm happy to trade it so we'll back this up we'll zoom in here my first trade on this one it initially squeezes up right here at 7 it hits a high of 320 and let's see that was at 701 it then dips down right here and I bought this dip so that right there once again is the dip I'm getting in at 293 adding at 297 we get the pop to 310 a little dip down up to 320 up to 3 30 a pullback up to 340 and then that's about where it topped out right there at about 340 so I was in at 3 at 293 297 and 301 added at 303 and then it squeezes back up and I'm taking profit as it came up to that level my best exit looks like was um 338 a partial fill and then I sold the rest um looks like I also did a dip as it came back down yeah I did do a dip it sold off here and I tried to do a dip off of 250 didn't really bounce I tried to do another dip down here didn't really bounce much and then I was like you know what this is just too weak and I was bummed out to see this nearly full retracement because it had news I was like I don't get it so it ended up bouncing up a little bit more but then by this time at this level 710 715 there were other stocks that people were focusing on and BPTH kind of went out of play so as BPTH goes out of play I'm Switching gears and looking for the next stock mnpr h the scanners now mnpr is a 1.6 million share float you can see it's a green Candle on the daily I've traded it before but it's also a stock that is a history of being a little choppy on this one it initially pops up here to a high of 380 it pulls back and I bought the dip at $352 adding at 356 this is a dip off of the nearest half dooll whole dollar my target was four it breaks four and immediately goes to 440 460 480 and hits a high of 490 with a 5,000 share position I was shocked to lock up over a dollar a share I added as it squeezed higher at 433 and 429 those were breakout trades but I I was really impressed so that ended up being my biggest winner of the day but again I was waiting for that next setup and it just pulls back too much so now I'm like okay we've got two stocks have made moves but reverse this is starting to get you know a little bit tricky today but nonetheless the dip in the rip is working smfl so now smfl comes up on the scans and this thing was a pain in the butt to trade it was really hard very choppy very grindy so it squeezes up it pulls back and it's a little cheaper it pulls away here and this one's easier to look at on the one minute chart because really I I jumped in with my first entry at about 94 um so that was let's see the time was 8:04 a.m. so my first trade on it was right in this area it squeezes up got a small winner on it it drops back down then it bounces rejects Rejects and then right here I got back in for the break of two and this trade I had to take like three stabs at this before it finally broke two and this wasn't a dip and rip this is a break of um whole dollar so took that trade through two it squeezes up pulls back squeezes higher dips down and pushes higher but I only made how much on it um 2,300 bucks kind of a small winner and I traded i i churned a lot of shares on it so that was not a big winning trade that was a that was a tricky one I wasn't super happy with that so I got myself a little frustrated over trading smfl for like an hour from 8 to 9 and then at the open we had s s so at the open I I was watching this one because I was looking at the daily level we had these two candles that hit a high of about seven and I was thinking if it can hold this level this is something I can work with so on the five minute chart at the open basically this thing just squeezes up so I jumped in at $7 at let's see I no I added at um 681 and then 693 and seven and I took profit as it squeezed up to a high of 760 this was really strong so it goes all the way up to 760 right there uh 770 now I did end up going red on SN OA this is a penny stock you know I jumped in it at like 38 cents thought it maybe would go higher and then stopped out when it came back down and I actually lost on vrax um as well even though it made a big move I got in it a little too high and got stopped out right now it's currently sitting up about 120% so if we look at our scans at the moment let's see our biggest gainers uh to well our biggest gainer today is actually GDC and I didn't trade it at all GDC is a Chinese stock with a headline of opening a Tik Tok shop I was like I don't know I was like this is ridiculous um and maybe I was overthinking the the headline on it but it has a history pop and Drop pop and Drop pop and drop and so as I'm looking at it I'm thinking we've got ascending resistance up here so I didn't want to trade it and then it goes up and then sells off and then it comes up again sells off comes up again sells off up and up and just weird price action so you know what whatever I didn't end up trading it I guess I left some money on the table I formed a little bit of a bias on it and it is what it is so that was GDC uh big percentage gain or no trades R evb traded that made some money on it vrax traded that and lost on it because I missed probably the clean trades s s diig this one was on the scanner and a lot of people were talking about it and I said you know I usually don't like trading cryptocurrency stocks and this is a digital Mining Company the Catalyst was uh they've entered into a merger agreement so the combination of it being a merger agreement plus cryptocurrency I just kind of felt like you know I don't think this one's going to be my cup of tea so I left that one alone completely didn't trade that one either smfl got that one neon 11 Mill share float it's a grinder overall the Volume 5 million shares it's substantially lower than all the others I traded everything else is like you know 40 million shares 85 million shares 90 million shares so 5 million shares by the end of the day is pretty light on that um so that was that was no good apdn um not surprising to see it moving up in tandem with vrax and govx those are virus uh companies so you know we'll see we'll see see what these do um tomorrow you know govx is a little trickier I I did take a loss on that one a good size loss on Monday $5,000 loss um vrax is the better of the two but I don't know if it's going to be able to break through that topping tail candle it has on The Daily right here that could be a little tricky so it kind of came up close to it here you can see this level and then sort of pulled back uh and in terms of circuit breaker halts today there were a few um if we pull up the halt scanner let's see so we had halts on vrax and Gove X going into the close so the dip in the rip is also a setup that I take when stocks halt so they halt up they open usually taking a quick dip and a rip but going into after hours is a little riskier um same with govx that dip and rip going into after hours a little tricky so govex and vrax were halted on circuit breakers we had some circuit breakers on GDC BPTH uh in total though I mean I guess you can Count 2 4 6 8 10 12 14 16 17 18 19 20 21 22 23 23 circuit breaker halts today h it's not a crazy number I do kind of look at the number circuit breaker halts as some reflection of the strength in the market so the fact that we only had that many it's it is a little you know it's a little kind of light um our leading gappers you know we've got four three stocks up over 100% this is a reverse split I think so that doesn't count um these ones are up quite a bit so it was kind of it was sort of a mixed day it was it was great pre-market then a little choppy during the day couple stocks squeezing and then evidently you know some nice moves here into Power Hour and into after hours but now things are kind of quiet again now if we take a peek at the overall Market the S&P 500 I always keep the S&P on a side chart over there so I could just take a quick glance we had some volatility today in the overall Market too so kind of this drop back up back down you know sort of this choppiness um we a little topheavy we're we're way extended up here after this big bounce which is great but you know we are a little extended so we're kind of due for a pullback I don't know if we're going to push higher and then pull back but um just some levels I've been kind of keeping an eye on there on the S&P 500 so I would say tomorrow my game plan will be the same as always I'm going to sit down bright and early I'll be watching the top Gainer scanner and I'm going to see if I can lock up another solid Green Day at this point you know it just feels like as long as I'm focusing on the most obvious stocks I will see some opportunities I have to be patient I don't want to be too aggressive too early right so I want to make sure I wait for that really good setup to form but once we have that good setup you know it feels like this is where I'm seeing we're seeing seeing some good follow through so it's like all right once as soon as I see that setup then it's time to step up to the plate and get aggressive so that's the game plan tomorrow morning I'll be back at it bright and early streaming so those you guys Warrior Pro members those you guys who are doing the twoe trial I will see you in the morning if you're not already on the trial there'll be a link pin to the top comments and Link in the description so you guys can check that out and I'll remind you again as always trading is risky my results are aren't typical so manage your risk take it slow and I'll see you guys back here bright and early tomorrow morning