Biggest Green Day of the Week! transcript

What's up, everyone? All right, well, it is Friday. We made it to the end of the week, and this week was kind of a bust. Uh, you know, Monday was a good day, and then I threw it away with the last trade, giving back 90% of my day. No trades on Tuesday. No trades on Wednesday. Thursday, max loss, down $7,000. Today, I'm in the green, up $7,424.60. [music] Thank goodness for that. So, it's a good finish to the week, even though it hasn't been a very exciting week.

In fact, I'm probably Well, we'll look at the P&L here. Let's take a peek. So, P&L for the week, coming into today, was down $4,200. So, uh, well, that'll swing me from, uh, red on the week to green, but, you know, only by about, you know, 3,000 bucks. So, Friday Thursday and Friday kind of cancel each other out, plus 4 400, and then, uh, 2,800 on Monday. So, you know, thank goodness for the first week of the month, and the first trading day of the month, the $46,000 there, cuz if it weren't for that day, this month would not be looking so good, but at least I got one good day there, a decent day here.

This could have been a $20,000 day, but I screwed it up. No trade, no trade, no trade, no trade, no trade, and then $7,500 today, rounding up just a little bit. So, yesterday I was trading in my car with a Starlink mounted on the back, and you know, it worked out relatively well. I was just using my laptop. I wasn't even using an external monitor, just the laptop screen, so it was like really back to basics. I lost money, but not because of the setup, not because of the internet, just because the market continues to be pretty tricky.

So, I will say that that was, uh, that was nice. You know, I've had other years where I was using Starlink, and it was very inconsistent, it was unreliable. But, yesterday was pretty good. So, um, many of you guys know I've got a Sprinter van, and uh, that's not what I was driving yesterday, but I do have a Sprinter van and I take that on uh trips, you know, wherever, Colorado, up to Canada, camping trips. Uh so, with that, I mount the Starlink on the roof, same as I had it yesterday, and so, usually what I'll do is I'll trade in the morning as long as I've got a clear view of the sky at the campground.

If I'm in a campground that's like really lots of tree coverage, I I it doesn't work. But as long as I've got a good view of the sky, uh and sometimes I move the car so I have that view, then I trade in the morning, I do my recap, and then while I'm driving, my recap is uploading to YouTube. Sometimes it takes a little while if I have, you know, a longer recap, but it's it's been a really great routine. So, I'll be doing that again, um you know, on and off during the summer, mostly weekend trips, maybe a Friday, stuff like that.

Um but I I do think it's really nice that we have this, you know, new newer form of internet that just, again, makes the market more accessible. I mean, it makes the whole internet more accessible, but for us, it actually makes trading, you know, on a boat, in an RV, a camper, a Sprinter van, in a truck, while you're waiting on a job site, whatever the case may be, it makes it possible. You know, just doing it on a mobile hotspot, it that doesn't cut it.

So, um but it is nice to be back at at my office. Um and it was nice that we had a stock today that actually held up a little bit. So, that was SLE. That was the stock that I traded this morning. I was a bit pessimistic this morning when I first sat down because I said, "Geez Louise, we've got all these stocks, they're all too cheap for me, they have tons of volume already, so we're going to have dispersed attention.

People will be fo- focusing on them. I might not like them, but other people like them well enough." This has got 150 million shares of volume. So, HCWB, cheaper stock, you know, it's biotech, it's grinding from yesterday. This is kind of one of those lottery ticket trades. Someone buys 10,000 shares at 50 cents and is hoping to make 10 grand and selling it at a dollar 50, right? So, you've got millions of shares of volume, but it's thickly traded, not easy to jump in and out for quick profits, at least for me.

TDIC, well, that's a bounce off the low. That's the Chinese stock from a couple days ago that went from $3 to $30 and then it's now back at a dollar 50. AUUD, this one, very thickly traded. I'll pull up the level two on it so you can take a peek. Um AUUD, it's stacked. You And you know, this one's kind of interesting because the float is 500,000 shares. And we went into the filings, we just double-checked that. So, the filing as of March uh 4th was 3.8 million shares.

But then on the daily chart, you see they did a reverse split on April 1st right here, and 7.7 So, the float is 492,000 shares. And yet it has 72 million shares of volume. It's only up 67% and we have seen a number of sellers of 80,000 shares on the ask. I mean, you could only have so many 80,000 share sellers before the entire float is in those sell orders, which makes you kind of wonder, could I buy 492,000 shares of this stock?

And the answer should be N- Well, you could. You would be buying the entire float. And if you bought the entire float, what would happen? Well, you would be buying from every single person that's selling shares. And so, as you bought, the price would start to go higher. And as you bought more, the price would go higher and higher and higher until you would have accumulated every single seller that was selling the stock in order to accumulate the full float of 492,000 shares.

And then at that point, you would control the stock. Now, if that was the entire publicly that was the entire number of the shares outstanding, someone could do that and then attempt to petition a board a seat on the board of directors, and then use the company to a merger and all of a sudden do a um basically it's like a reverse IPO where you bring a privately held company public by merging the public company with a privately held company.

So, in theory, you know, again, you have to check check the total number of shares outstanding because a company doesn't always issue all of their shares onto the public market to prevent a hostile takeover. But nonetheless, in this case, 492,000 shares is the float. And I would argue that I could almost certainly buy 500,000 shares of this right now on the open market and the price probably wouldn't go up more than 10 cents.

And that's a little confusing because then if I own 500,000 shares, I in based on this, own the entire float. So, where are the rest of the sellers coming from? Where's the rest of the buying coming from? And the answer in this case is that this is a company with a well-established history of doing secondary offerings. So, if we go back here and we look at this recent prospectus that was filed on April 27th, you'll see that this is um this is all the documentation to accompany an offering of more shares.

They're They This company sells shares to raise money to continue to fund their research and development in the biotech space. So, this is um up to 8.7 million shares. So, all of a sudden, you're like, "Okay." And that's not by any means the first time this company's done that. I mean, look at prospectus for offering, prospectus for offering, prospectus for offering, offering, offering, offering. I mean, this is a company that this is what they do.

It's kind of their business model. They sell shares on the open market to willing investors, maybe institutional investors, who believe in what the company is doing. And each time they do that, they dilute the stock. And so right now the float is appearing as 492,000 shares, but most likely the company and or institutional traders who have previously acquired shares or warrants are selling. And so if the stock is not trading like the float that it appears, it probably is not the float that it appears.

And this is an issue with float is that the float can change as a result of reverse splits and secondary offerings and exercising warrants. And so if we're looking at the price action and it just doesn't really pencil out based on what we're seeing right here with this really tight spread and these really big buyers and sellers and the current float, then you probably have a situation where the company is sell- selling or has sold more shares.

And so that's an important thing to recognize. And on the other hand, there are times where we have a a stock that has a higher float, but it's trading as if it's a lower float. And that feels confusing, but what we don't know is how many of the shares that are in the float are essentially locked out because they're being held by insiders who are not selling. So if you own half the float and you're just holding your shares and you're not selling them, then the stock will effectively be trading as if the float was, you know, half as big as what it actually is because those shares that are out there are not being traded in the open market.

So there's a number of variables here and at the end of the day, the price action is the most important thing. And so the price action on AUUD was a grinder similar to MOBX from yesterday, which I shouldn't have even traded, but I did and I lost on it. Annoying. But it is what it is. So, uh did not trade AUD, uh but on SLE, this one pops up this morning and it it has earnings news. So, earnings on small cap companies usually aren't that great because if they were really consistently producing good earnings, they wouldn't be a low-price stock anymore.

But in any case, it pops up to 550 and then it drops down. Then it rallies back up and then it drops down and then it rallies back up here and I decided to break the ice. I jumped in. So, if we go back to my first trade, I bought at 535 and I was looking for the squeeze up to six. I added at six and then it didn't break six. And this for me was a problem. So, this was um back uh where was this? Um This is right in here?

Yeah, I think this is right in here. Um What time was this? Let me just check the time. So, um it was 7:45-ish. So, yeah, so it was right in this area. So, this thing squeezes up right here and I'm adding as it's curling up right here and I'm looking for the break through the high. And as it breaks the high and squeezes all the way to six, I'm adding thinking here we go and then it flushes back down and I sold. I took the profit and I was up $8,000.

And then it pops up here and I added back right here, 25,000 shares. I was like, here we go, looking for the break through 610 and a squeeze up to 650 and it dumps all the way back down to 530 right here and I stopped out and I went from up 8,000 to minus 2,000 on the day. And this all happened within like a minute. Ugh. >> [sighs] >> So discouraging. You know, finally something starting to work and then it is gone. So, it drops down here, we go sideways, then we start to curl back up, we rally back to 614.

All right, okay, so we got a second attempt at the high then we pull back again. Then we come back up one more time here. We rip back up. I jump back in. We get to squeeze up to 640. Little pop up at 650. It dips. I bought the dip cuz it was holding six. It comes back up to 660. So, these were like base hit, base hit, base hit, base hit, base hit, base hit. Small base hits. Then it pulls back, comes back up, another base hit, another base hit, another base hit.

None of these were really big. Another base hit. And at this point I kind of started to recognize the stock is not really working. It's not pulling away. It's grinding. And I better just take the money off the table before I give it back. And so, I peaked at 8,000. I went to red 2,000 and then rallied back up. I didn't hit my max loss today, which is minus $5,000. I did give back more than half the day. But, I was never really up that much and it all sort of happened so fast.

So, fortunately, I was able to stay calm. I was able to prevent going from down 2,000 to down five or 8,000 and having a second big red day, which is good. Um but obviously, today was not super clean. And it's a continuation of choppy markets. So, as I finish the week here, um in the green, you know, small green week. All right, live to trade again. Live to trade another day. Be back at it on Monday. And hopefully next week and in the last week of May, I'll be able to you know, produce a bit more profit than I did this week, certainly.

It only takes a couple of days like this to make the entire month. So, if I can get one or two more days like that, I'll be up over $100,000 on the month. That'd be great. So, we look back at um April. You know, April was a little bit choppy. Um I finished um at $92,000. You know, big red day here, big red day here, and then a recovery. Small red day here. So, you know, then January, February, March. So, if I could be above $92,000 this month, that would be nice.

I hope that I can be. Um I mean, I've at least managed to not have any five-figure red days. 3,400 and 7,100 are tolerable. Uh but, I'm not having a lot of big green days, either. And I'm having a lot of no-trade days, as you can see. So, hopefully momentum will pick back up a little bit. Uh June 4th is the end of the pattern day trader rules, so that's something to look forward to. I expect that we'll see more volume in the market following that rule change.

Uh but, ultimately time will tell. So, in any case, I'll see you guys back at it bright and early on Monday morning. And those you guys who haven't checked out some of my other episodes here on YouTube, I'll put a link uh to those other episodes that have been pretty popular that you guys might like. All right, so check those out. Reminder as always that trading is risky, and my results aren't typical. So, manage your risk and always practice this simulator before putting real money on the line.

I'll see you guys back at it Monday morning.