There Was ONLY 1 OBVIOUS Trade... transcript

all right everyone well we're going to break down the trades from this morning here we are it's Tuesday back in the saddle I am feeling quite a bit better uh not 100% but I'd say 85% which is good so uh and today you know we didn't have a whole lot to trade which is kind of nice in a way because I didn't really I wasn't really required to bring my absolute best to the market today which even if I wanted to I don't know if I'd been able to so the last couple days been kind of slower days where we've seen some volatility we've seen some momentum but nothing crazy traded in both the big account my my regular retirement account and also in my thinker swim account for the small account challenge today green on both sides which is great so today is day four of the Thinker swim small account challenge I'll do a video on that later on uh but for right now we'll do a recap on my main account so if we take a step back and we look at where I sit right now I'm up uh $2,872 I don't have a lot to show for today uh definitely a slower day however you know it's really interesting think back yesterday what was my biggest winner my biggest winner yesterday ncna what was the biggest percent percentage Gainer yesterday ncna what do the stock I'm up the most on today glmd what's the biggest percentage Gainer today glmd okay so now as an aspiring Trader what you guys have to do is you have to figure out how to know which stock is going to be the leading percentage gainer before it is the leading percentage Gainer so you can be jumping in on that momentum number one if possible and then number two if you sit down and you just see oh glmd is the leading gapper you need to know where to get in something that's already fairly extended now I know a lot of beginner Traders struggle with this but this is really of course what I've been doing for pretty much my entire career well from the point that I turn the corner and became successful I've been focusing on stocks that are up quite a bit and looking to ride that momentum higher now for those of you guys um and some of you may have missed this so I'm going to grab um a video here so um for those of you guys who missed perhaps um one of my recent uploads I have been working on this um small account challenge here uh which you can see right here with thinker swim so this is my thinker swim small account challenge so yesterday I uploaded an episode breaking down um I had to read Candlestick charts the right way because I had some questions uh that made me think some people were a little confused on that uh but day that was day three day two here um was is the only setup I'm trading for Big Winners and day one is a summary of the strategy that I'm trading during this challenge but really it's no different from what I'm doing every single day with the exception that I can only take one trade a day so because I'm restricted in a cash account to only taking one trade a day I'm focusing on essentially the highest quality setup that I see each day now as it turns out I think I maybe wasted my one trade today on Al on um The Thinker swim account small account Challenge on ALR which was nice but um it could have been could have been a little bit better anyways I'll I'll go over that in um in the episode later on so if we back this up here um right so let's start with my first trade of the day all right so first trade of the day I actually sat down here at 7 a.m. but the problem at 7: a.m. was there was nothing that looked great and glmd is such a funny chart because this was our leading percentage Gainer this morning you can see that big gap but by the time I was sitting down here at 7 a.m. it was already stair stepping down right it was moving in the wrong direction now I took my first trade on it right down here I drew this blue line and I sort of thought it looks like it's holding support here and so I actually bought that dip at about five uh let's see 580 looking for the break of six and this actually popped up to vwap up to 615 and on that first trade I made about $900 that was on trade number one then I added back on it and I gave back about 600 so I'm up only 300 and then I got one more trade and added back uh about 150 so so let's get out our um whiteboard here I'm just going to move this stuff out of the way got a bunch of junk here all right so that's fine all right so let's see so so now we're going to start doing losers and winners all right so first trade of the day is a oops first trade of the day is a winner and I'm like all right sweet 900 bucks second trade is a loser gosh darn it third trade is a winner so as we're watching you know my sort of p&l this morning I start of course each day at zero I go up about 900 then I'm up only 300 and then I'm up about 150 so I'm like all right I'm green uh well I guess I was green about 500 here but nothing nothing too impressive I haven't broken $1,000 yet um you know haven't really gotten my cushion I'm just kind of barely uh keeping my head above water at that point so those are my first three trades on glmd uh two winners and one loser following those trades U my next trade was on vvpr vvpr you could see I'm read $590 on so I jumped into this one and you know what this is kind of this one annoys me a little bit because when vvpr first hit the scanner I was like I don't like vvpr I never trade this stock well it's an annoying stock don't like it next thing you know this was when it was at like 220 it goes to 230 240 250 260 270$ 280 $3 I was like gosh darn it so it pulls back right here and I was like you know what all right I'll take that I'll take that setup and of course it Jack knives and I lose 600 bucks on it so it was like I I knew it but I traded it anyways so now all right on the Whiteboard we've got a second loser and because it was a $600 loss I actually came at that point down to um just about Break Even I was right around zero on the day so now I'm like all right I you know got nothing to show for the day so far but I have been churning some fees commission so I'm actually slightly red on the day next trade is snoa I'm down $353 on it now snoa this one annoyed me as well because they've got news of an FDA clearance here um that came out at 8:30 it pops up and I'm like all right we've got some news on this thing it's FDA clearance okay good good good that's fine and it pops up here to a high of 470 it dips down and I said I'm going to buy this dip here at 440 and I'm looking for that curl back up boom it drops instant drop down 350 bucks thank goodness I broke the ice on that with small size but nonetheless it's another loss so now I'm like golly this is uh this is this is a problem and at this point I went to Red um you know minus 350 so I had peaked about 950 green and now minus 350 now this right here perfectly exemplifies why it's important to trade with small size until you first built a cushion none of this price action that got me up and down here was worth trading with 15 you know or 20,000 shares and doing something stupid in fact if I had you know it's funny because you might think well if you trade with 15 20,000 shares your profit well let's just say my average share size say was 5,000 shares so average share size 5,000 shares I'm up 2,000 bucks so Ross you should have trade with 15,000 shares because then you'd be up $6,000 three times whatever you're up that is a um that can be a little deceiving because that's not always how it works and the reason it doesn't always work that way is because on a market in a mark on a day when the market is colder liquidity is not as good which means you're going to get more slippage on your entries and exits so the bigger the size in a way the diminishing the returns because of that slippage Factor so as a result I actually don't think if I had traded with 15 or 20,000 shares that I would have made more money I actually think I probably would have been read most likely so the good news is I trade with small size on these first few trades so I kept it very conservative didn't go aggressive and then things started to turn around from being down 350 I I turned around um on whlr so whlr was the next one I traded and I had a couple stocks were kind of on sort of my maybe list whlr was one of them um I was looking at it and I was thinking you know this could this could work um you know I just sort of thought to myself it needs to ultimately break above vwap and it it did for a second but it wasn't super easy um so if we Zoom this in here I took my first trade on it I was watching it down in this area here over nine and I kind of saw it was sort of coming back up but it was a risky trade because we were below vwap so I was like I don't know if that's going to work so I didn't take a trade on it and then it breaks to 920 and I was like okay I'll jump in so I jumped in there at about 918 it goes up to 940 which was good pulls back comes up pulls back comes up and then it goes to 960 970 up to 980 just about which wasn't too bad so about 60 cents a share right there so on that little move I made about 1,000 bucks and I couldn't trade it with big size because again the liquidity was sort of poor on it but I was able to get in and out with smaller size and make a th000 bucks so with that I went from down 300 on the day to up 600 on the day so kind of wasn't all at once but you know sort of slow series of like four or five trades and the nice thing there was I had I think it was one two three winers and one Loser on whlr so I was like all right you know what accuracy getting a little better making my way up a little bit but not really getting myself into a big position of like in the driver's seat and then at the open glmd I did not expect this as we came into the open I was like is there anything that I like what's obvious right now and I said honestly I don't think there's much to trade and I think the fact that I'm only up 600 coming into the open is as much of a sign as I need that I shouldn't push it today I should go slow in fact maybe I should just walk away right here at you know 9:25 because the fact is if this was going to be a great day I'd already be above my daily goal of $5,000 if it that's just the reality and that's not ha that's clearly not happened so maybe this is the type of day that if I keep pushing it I'm going to take a big loss at the open and then feel like I don't have time to recover and regret that I didn't you know call it quit sooner so I started thinking maybe I should just walk and I was really surprised when glmd ripped at the open and squeezes right up to the volume weight average price it was so strong so it squeezes at the open right here up to about 640 then it pulls back for a second goes to 660 670 halts up 708 then it dips down dip in a rip up to 740 squeezes up to 760 pulls back goes up to 8 pulls back goes up to 830 8.40 all the way up to 880 pretty impressive now my best exit on this was $857 not bad um so basically the way I approached it was at a certain point I said you know I'm just going to break the ice and trade 1500 share blocks I'm just going to trade small size jump in jump out and so I started doing that um got in at s $7 and the reason I got in at seven right down here was I felt like there was some support down in this area so got in at seven we got that nice curl back up then we popped up to this level we pulled back I got another dip trade on this in at um 720 and then I got another one at 820 and then I got another one where I added 840 for the break of 850 and took my profit 857 and even right now it's it's coming back up a little bit but I am a little concerned about overstaying my welcome because the fact is I'm not up a lot but at the end of the day $2,000 is good it's green you know and I'm trying to maintain a track record of being consistent and it's uh disappointing when I look at my calendar and I see you know these slightly bigger red days I'm glad that they're relatively few and far between but this last one was disappointing for me and I really I tried to recover it and anyways so that is what it is but um yeah so yesterday was a 3,000 oh I got to take away let's see so this is in uh I'm going to do just my IRA account here um and then that'll take away my trade and thicker swim so yeah so this has been the last five days 99,900 uh 5 6,000 11,000 2,000 3,000 today's again 2,000 so the last three days have been slower Thursday or sorry Friday Monday and Tuesday all right all right so right now things are a little slow but you know when I look at sort of the big picture big picture is over the last 30 days right now my account is at all-time highs I just made a new high right by being up $22,000 today and by closing at my high of day so just kind of grinding on these smaller numbers until the market sets up and gives me another nice move now what I just have to be careful of is not having another big red day I I think that this red day you could sort of see it's it's kind of funny when you've got like all this consistency and then like a red day it's like what did I do wrong on that day and what I did wrong was I pushed my luck I was too aggressive um and this was a day where the it was not a failure in the strategy it was a failure in my emotions and how I manage my trading so that was avoidable but what's happened now is you know okay so I ended up having like $10,000 days right before and after that loss so I made up for it quickly but now these last couple days things have slow down so sometimes things will sort of slow down like this and then I'm waiting for that boom next big green day so that could be tomorrow oh maybe not maybe it won't be for a couple more days maybe won't be for NE till next week but I just have to sit here show up every single day and just chip away on these small green days until we get that you know next kind of really nice squeeze and you know as I was looking at the market yesterday afternoon um I mean of course I saw TN still selling off had a little bit of a flat bottom here I was almost wondering if this was going to hold this area but I was like H I'm not taking a trade on that um we had a couple others yesterday that popped up and then uh JB jbd this one um total liquidation yesterday just from 40 all the way down to $1.78 just got pummeled totally destroyed kind of that classic you know it's I don't think it's a Chinese I think it's from Singapore but um you know same kind of liquidation effect where they just dumped shares and just sold sold sold so anyways um that was gross so that was yesterday I think that kind of weighed on momentum a little bit uh we did have vea uh today that halted up a couple times has made sort of a big move the problem is um the liquidity is is just not there so it's got 100,000 shares a volume so far today so like it's you know I mean it's just not like how what do you do with that you can't get in you can't get out I mean it's just not really easy to trade so anyways um I kind of think of the that is the illusion of momentum because it's looks like oh whoa look at that big move but realistically you know this is the 10c chart where how many shares could you have bought and sold so yeah not much you could do with that um couple penny stocks smsi but that one I said not appropriate for the small account I wouldn't be trading the front side of the move it's a little bit you know just not quite right and snoa was disappointing you know that FDA news and then it's actually down like 10% today so I don't know just kind of weird um overall Market S&P 500 I mean look we're at pretty much all-time highs right now the market is hanging out up here but we we've got some economic data that's going to come out this week and so you know some Traders are kind of anxiously awaiting what's going to happen there and of course we've got you know we're coming into I mean just two months um you know till the election so it's like all of a sudden this is like really things are getting serious here and we're going to have a probably a lot of volatility in these next six eight weeks um through the rest of the year depending on everything that happens so yeah definitely time to buckle up but um on a day like today when it feels a little slow there's no reason to over leverage and take a lot of risk it's better just to be patient and live to trade another day so I'm locking it up here in the green I'll be back at it first thing tomorrow morning those of you guys who haven't already subscribed the channel I hope you hit that subscribe button I hope you hit the thumbs up I'll put a link in the description for a twoe trial here at Warrior trading so if you guys want to check that out you could watch over my shoulder for the next two weeks see what it's like to be a member of the community and and if you haven't already checked out the um thicker swim small account challenge make sure you check that out I'll put a link to my latest upload here at the end of this um recap so I hope you check that out and I'll have another episode uploading later today for day four all right that's it for me thanks as always for tuning in I'll see you guys back at it first thing tomorrow morning I'll remind you as always trading is risky my results aren't typical so manage your risk and take it slow