Day 3 🏆🥇 +77% Accuracy - Small Account Challenge Ep 9 transcript

what's up everyone all right here we are day three of the small count challenge another green day $74.50 not a home run but another base hit and that's really what growing a small town is all about lots of base hits so right now during the challenge I've taken a total of nine trades and I've had seven winners so just over 70% accuracy not bad I've had two losers one was yesterday and the second one was today a little disappoint I mean well yeah whatever 70 plus percent accuracy is nothing to be disappointed about it's bound to happen that there will be some losses and kind of taking the first loss to sort of breaking the ice and just getting used to it it's no big deal so one loss today but still up $74.50 so another day of progress now the last time I did small count challenge I started with a little bit more money $583 but the first eight days seven or eight days maybe was even ten days there's a while ago but in any case those first eight days they were all really small winners 120 dollars eighty dollars 130 you know 75 just small clean days and I was kind of like alright well this is gonna take a while I'm growing the account really small really slowly but here's what was happening every day you know that hundred dollars I'd go from 583 up to you know 650 to 750 to 850 to 950 to a thousand to 1,100 1,200 and because of the leverage my account of course was getting bigger which was allowing me to take bigger positions if I saw something that looked good and during those first seven or eight days I don't really see anything that looked good enough to step up to the plate and so I was a little more conservative and then on day eight or nine or whatever it was finally we had that big momentum stock that stuck squeezing a 50 60 70 percent going higher I jumped into it and made about $700 and just like that and that one day finally I got a big boost in my account the next day my account was at $2,000 right big jump forward another big green day after that now I've got more buying power I can take a thousand two thousand shares and where the account pastor this is very similar I'm sort of treading water here these first few days making a little bit of money building up my profit cushion I know the minimum account balance is 350 on day one I had three hundred ninety five dollars in the account and that was because they debited the platform theme which I didn't realize was gonna happen so I got that credited back which is great so day one with three hundred ninety five dollars I made one hundred and fifty eight day to my account was up 158 plus I got the credit back to the platform fee so back up to about 650 lost twelve dollars yesterday alright so whatever it's a red day a small red day today seventy four dollars and fifty cents of profit so tomorrow I'll be up closer to you know seven hundred making my way back up seven maybe Oh we'll see what it is after commissions but in any case I'm making that progress and you know the challenge right now is that today the market was pretty soft it was slow there wasn't a lot really moving when you start a small account challenge you never know if you're gonna happen to start on a week where the market is insane and there's stocks going up a hundred percent every single day in which case you'll grow the account very quickly or if you happen to start at the beginning of kind of a lull in the market where the best you can do is kind of tread water and grind keep your head above the water and then wait for that first opportunity to get a big way so survive to you thrive keep your head above water that's what's about right now today I would love to have had 150 $200 winner but I'm walking away with more money than I started the day with and so that means tomorrow I'll come into the day with a little bit of the bigger account a little bit more buying power and I'm just gonna try to keep doing that each day until we finally have that one stock that looks really awesome and it gives me you know so anyways I hope you guys really enjoy this recap as always if you have questions please leave them down below in the comments I personally respond to every comment post on my channel I get the comment alerts on my phone right here and you know I love answering your questions and I really do take great pride and answer every single question so that question leave it down below and you enjoy the video give me a thumbs up and you haven't already subscribed a channel make sure you subscribe alright see you guys tomorrow for day 4 on the small couch what's up everyone alright so we're gonna go over the traits from this morning I'm gonna finish the day up $74.50 which is not bad a green day that's what I was hoping for so I traded for stocks I have four trades which means now let's see I'm keeping a little tally here I had one more loss but then I had one two three more green trades so that means right now I have a total of seven Green trades and two red trades as part of this small account challenge so I'm nine trades in and you know day one was $158 day to yesterday was $12 and day three here is $74.50 so that puts me up let's see 158 plus seventy four plus twelve two hundred and forty-four dollars on the week before commissions and that was based on a starting account balance of three hundred and ninety five dollars so the accounts of more than fifty percent this week which is great before Commission's after Commission's Commission's yesterday were about twenty five dollars Commission's on Monday were also about twenty I think it was around twenty and commissions today will probably be about twenty five so you know unfortunately you know that - 44 - $75 brings me down to 170 commissions accounting for a bigger percentage of the profit in the first few weeks and that is one of the challenges of trading with an account small is 395 dollars right now you know hopefully hopefully none of you guys actually have to trade an account that small hopefully you can put eight hundred a thousand two thousand or three thousand away for your for your first trading account but if you are trading with account as small as four hundred or five hundred dollars it can be done it's just gonna be a little slower in those first few weeks as you're kind of battling the the percentage of profit versus Commission so let's break down the for stock side trade to today begins as always with the gap scanner watchlist starting around 9:15 a.m. so at 9:15 a.m. this morning a you pH was the leading gapper and you can see it's up on the gaps at up on the momentum scanner again right now however it's expensive the floats high and for a small account it's just not really something that I felt was affordable to trade and in any case out of the gates it sold off so no trades on a uph Nasdaq test stock Z X is easy T no trades obviously this one I actually didn't see on the scanners once I was looking at them a little closer to the open so must have been up there and then it started to sell off a little bit so yeah that one is no nothing there B NGO B NGO this was the next one I I really didn't have a lot of confidence in it I wasn't that interested in it I assumed that it was gonna fail I just you know I really just left it alone I it's lower priced it's more crowded it has a history of gapping and dropping as you can see back here so pretty much everything about it to me it was just like it's not worth it in order for me to trade it and make money I'd have to take pretty big share size but I don't have any margin on a stock like this it's too cheap so I can only use my cash balance now of course I started with $395 on Monday or it was Tuesday I made whatever 130 after Commission I asked them to credit back 125 they deducted on December 1st for the platform fee because I didn't use the platform in November and they did so my account basically went back to the original starting balance of around five hundred dollars five hundred twenty bucks and right now is up around 650 or so so you know $650 I just don't have a lot of buying power using cash only balance for a stock like this so select loan P Oh a I kind of interesting very light volume pre market it had news it's a somewhat recent reverse split with room up to six dollars it started to pop up and then it kind of dropped so no trades on that next one down st AC and this was the first trade I took 21 dollars it's it's funny how you know these are such small numbers to what I usually would be trading but in any case this is just part of the challenge so on this one we had a pre market high of four dollars and fifty cent four dollars and forty eight cents we had news a catalyst a daily chart with a nice window from 4:35 up to 549 alright this is what we talked about in Chapter four of the day trade course those gaps in Windows so on this one the bell rings and I jumped in and we got a quick breakout up to 456 I took my profit made $21 so it wasn't a wasn't a homerun I only took I think three hundred shares of it and you know as a small winner not even ten cents per share of profit and then it dropped back down and it hasn't recovered so the first trade of the day you know not much progress second trade was SES this was okay this was also on the gap scanner a little further down right here gapping up 14% 1.3 million share flow six hundred thousand four thousand shares of pre market volume excuse me with a catalyst with news stock that has a history of being a former runner so I was interested but a little skeptical because of this sell-off pre market so starts to squeeze up here the bell rings and it opens down here around 6:50 and then it starts to surge up and so I got in it as it was surging up for the break of seven I'm in at seven I'm sorry I'm in it like six ninety six so write it right under $7 it breaks through seven and it goes up to seven fifteen and I sell so I'm in with three hundred shares and I make about twenty cents a share and then I'm out of it it hits a high 25 it pulls back the first one minute pullback worked but I didn't take this trade because it dropped all the way to a low of 675 and I was like man that's a lot of risk I just can't do it I can't do it I'm I got to leave it alone so at that point right there I was up eighty two dollars on the day just like yesterday you know first two trades I was in pretty good shape and then I took the third trade the third trade was I on ima see and I lost 50 bucks on it so on this one it starts to pop up right here and so I type it in I type in ima see and I press shift one now shift one and just populates based on a percentage of my buying power so this automatically populates but I actually have to click the Buy button to send the order so I saw it pop at three I press shift one typically I would have gotten in there I would have filled the order but I took away the ability and to do that in this account because I wanted to slow myself down a little bit and not have impulsive trades so I have to have that second step of you know shift one will load the number of shares I can take and then I've got to take the second step of pressing the buy button well by that time it hits 619 and then sorry 319 and then 350 it pulls back for a second and on this candles it pulls back I bought at 328 because I thought okay it's dipping down I'm gonna buy it and then I'm gonna look for that surge back over 350 possibly into a circuit breaker halt it hit 341 and then it dropped it hit 341 and as soon as it didn't break over 350 I sold half I sold a hundred shares or what I don't remember how many I am AC yeah so I sold a hundred shares uh and then I sold it on this drop I sold the rest and I got filled at 282 so I ended up losing I was breaking even on the first trade I got out pretty much flat and then I lost 50 bucks on a hundred shares fifty cents that that's pretty awful I mean that that's pretty disappointing so this really rejected hard I mean it literally went from - from 350 all the way back down here to 246 so at that point I kind of thought all right well the writing's on the wall we're not seeing very clean momentum today and at that point I was up only thirty thirty dollars on the day or 37 on the day before commissions but then HEPA came up and as it broke this double top right here I almost got in at 25 but I thought to myself you know you're only up thirty bucks I don't want to go red today so maybe I should just sit on my hands for a second let's see if it actually opens up and is it started to squeeze up to 635 638 the order at 6:38 so I got in at 638 it squeezes up to a high of 653 and I sold at about 650 and 648 so I made about 10 cents on or maybe a little bit more than that on that trade and made $44 and with that I said okay I'm done now I'm done today I actually would have been better off if I had stopped trading after these two trades you know and I would have been up eighty two dollars and I wouldn't have had to take these trades and generate the the extra commissions on them you know but and this is total quantity so bought and sold bought and sold you know but I did I took the trades and you know it is what it is at on the one hand today I would have been better off stopping sooner on the other hand and if I kept trading and a couple of these opened up a little bit more I might have found myself up you know one hundred twenty hundred thirty on the so right now I'm kind of you know in the first days of the challenge where every day needs to count I have basically zero cushion right I can't afford to lose a hundred bucks or 200 bucks I'll go right back to where I was at the beginning of the challenge so I just need to continue to make small progress take those base hits you know fifty dollars right now is an awesome winner it's basically almost ten percent account growth so take the 50 $60 winners as I get them and when we have the next day where something like you know we get an A SLN and it opens up and I'm able to manage my risk on it then that'll be the day where you know I probably make 170 180 dollars you know and then I'm gonna be able to start taking a little bit more share sighs and they'll start regularly seeing $150 days $200 days and then the account will start growing a little faster the last time I did a small account challenge the first seven days we're all right around $100 you know more or less of in profit so I was making like 120 and then 130 and then 150 and then 90 and then a hundred and you know it's kind of right around there now the broker that I use during that last challenge gave me six times leverage with $500 so you know that gave me a little bit more leverage I had a little bit more buying power the market may have been a little stronger during that first week I mean you know that's kind of the the the flip of the coin when you start a small account is this week gonna be a strong week cuz if it is you might double the account in your first week and if it's not you're gonna kind of grind and tread water a little bit and churn so I think the question is can you afford to churn can you afford to tread water can you afford to just kind of survive till you thrive and you know keep your head above water until you finally get a couple of trades like this that will a small account you know can just give you that one awesome trade where in one day you double your account so it's tough because you know it's kind of like you're just you're waiting for that one perfect opportunity but at the same time you want to trade each day you want to take stabs of things cuz you know you you want to be active you don't want to just do nothing you could end up waiting months if you set your standards too high so you know today took a couple trades made a little money yesterday took a couple trades you know didn't make a lot of progress but they were worth trading so right now nine trades in seven winners that accuracy is pretty good I'm happy with that I'm above my statistical average my average is 70% so I'm trading I guess a little bit above that right now and I'd like to keep that up during the small count challenge because it'll prove that I am setting the standard a little bit higher again just to reiterate you know this challenge that I'm doing right now you know it's it's it's gonna cost me money in the sense that if I was trading these stocks in my regular account I would be trading with regular share size I wouldn't be talking about being up seventy four dollars on a day I'd be talking about having a you know $700 day $1000 day $2,000 day but my goal here for this challenge was to kind of press the reset button I've been trading with a six-figure account now for quite a while and to come back down to a level that is more relatable to the experience that a lot of you guys are having and the feedback I've been getting from you guys so far has been that this has been really helpful I've been uploading the live trading recordings day three will get uploaded for warrior pro mentor or for warrior pro students as well and you know that's my hope and if that is the case then when I get this account up to ten or fifteen thousand then at that point I may just go ahead and start over drop it back down to you know a thousand bucks or something like that and just kind of keep myself in this small account place where you know I am able to be a better you know a better teacher for you guys so you know it's one of those things that with my strategy of trading small caps my best year last year was half a million dollars in profits and I felt that I could have made a little bit more but I you know I wasn't I wasn't sure because you know I couldn't really take a lot more share size so I think coming up to half a million a year is is kind of around the peak of my strategy right now given my risk tolerance I think if I was willing to take a little more risk someone else could trade the strategy and make a little bit more but I don't really want to take that risk because then of course if I have a day where I lose twenty thirty thousand dollars I just feel so bad about myself that those emotional swings for me are just not worth it not to say that I can't you know survive a thirty thousand dollar loss I can but I don't want to you know that's something that even the big you know you think about Bill Ackman how much did you lose on Herbalife like billions of dollars I mean it's kind of insane I don't even know how you emotionally compartmentalize that type of loss but good for him for being able to and and you know to keep keep doing it but I I just can't so for me and you know we'll kind of see I'm not really sure exactly what I'm gonna do for for 2020 in terms of small account or big account I'm up about three hundred thousand on the year in my larger account before I started this challenge which really began in November with going into boot camp so what I essentially lost were my two strongest months of the year which are typically November in December I've been averaging 80,000 a month in November in December for the last few years so you know it's it's kind of a tough decision but I I'm in a place where I have kind of I have these two these sort of two conflicting roles the one role of growing my account as quickly as I can and making as much money as I can in my account you know for my own benefit and then the second role of being a teacher and being a guide for all of you guys who are getting started when I first started trading I opened the the chat room really early on because I wanted a community of people that could just be like a support network you know I I wasn't I was living in Vermont I didn't have a lot of friends who had any interest in what I was doing I didn't have a community of people that I could talk to about this stuff you know I wanted to talk about what indicators are you guys using what period are you using for your MACD your moving averages you know your re-signed I wanted to talk shop about that and so I created a community where I could do it and the community grew as you guys obviously know and so my trading and the community kind of grew in tandem to the point where they've become so intertwined that would be hard to separate them and there are times where the interests of those two conflict and there's times where they align and it's for me kind of a question of which one do I want to focus on more you know do I want to just step back and say you know what guys I'm done I'm just gonna I'm gonna do my own trading from here on out and step back or do I say well I'm gonna you know trade in a way that's more relatable and more helpful for my students and put the focus more on the education and that's kind of been that that challenge of you know what what the next you know three or four years will be like but you know in any case right now the focus is certainly continuing to be the best teacher that I can for you guys and that's the purpose of this small account challenge so yeah it's it's a little interesting and today's the day where it's like I'm up $74.50 but you know the account will grow and when I get closer to you know two three four thousand dollars it'll it'll probably be a little bit easier so anyways and that's about it for me here today I'm not gonna take any more trades we're coming up towards 11:00 a.m. so I'm gonna shut it down and live to trade another day tomorrow will be day four of the small camp challenge all right so see you guys first thing tomorrow morning hey did you know that I go live every single morning between 9:00 and 9:15 to stream my pre market watch list subscribe the channel press the bell for the alert and you'll get the notification [Music]