MAX LOSS (worst way to end the week) transcript

all right everyone well today is a red day recap and you know what this is so typical red days are always clustered together in fact if we look at my metrics here just from the last like 90 days what you'll notice about my red days is that two red days back to back two red days back to back two red days back toback and I'm doing it again yesterday was red today is red so this is the fourth time here in the last you know couple months where I've had back-to-back red days all right today unfortunately is a Max loss red day however from the perspective of discipline and self-control although today wasn't perfect generally speaking it was fairly rained in I'm in the red $635 64 and to be honest what's more frustrating than anything else is the fact that yesterday I was read on four out of four stocks and today I'm read on three out of four stocks and I feel like I haven't had a good winner since Wednesday you know it's just a little disappointing now I'm going to talk about the context of sort of the market that we're in and the trades that I took we'll start high level this week um in the last few days ffi has been a big stock trading over a billion shares of volume a day it's been in play definitely in Focus not something that I traded because when it began a little too cheap for my preference and as it started to move up I felt that I would be not able to day trade it well because you'd have people dumping 500,000 share POS positions who had been holding for a couple days and at any time that could cause a flush into a halt down so I feel like this is the type of stock that really the people who make the most on it for sure the people that hold it for a couple days people trying to day trade it end up getting chopped out you can see it's quite choppy on the intraday on the bigger time frames it looks cleaner so I didn't take any trades on ffi but I knew that penny stocks were becoming the focus they were yesterday and again today and the day for so Duo this morning squeezes up over 200% you've got this really big move I was impressed and the first stock that I traded was flj so on flj this one hit my scanners early and it started squeezing up as you can see right here it punches higher right around 7 a.m. it goes from 60 cents to 7585 90 cents a dollar do10 12030 I'll show you where I took my first trade my first trade on it was solid but you probably know I start with a maximum position of 5,000 shares until I first made $11,000 and so on this one right here I got in at seven sorry at a133 it was um this Arrow right here $133 was my entry so I bought right there and the reason I bought right there was because we had a tap a tap tap and I was looking for the break through this level this was resistance so as we broke through about 5,000 shares it squeezes up to $145 $150 I didn't sell I was like this thing this is looking good it breaks through $150 I wanted to add but I was like a little slow it pops to a165 right here and I end up adding 10,000 shares a158 so now I'm like here we go I think I'm on a you know ticket to the moon and then flushes right back down so I add I increased my Max position size on the day because I was over $1,000 and this thing was looking strong but just like that boom it flushes down and I'm now red on the day I stopped out I took the loss okay so I'm read almost 1,000 bucks then it comes back up here and as it breaks back over 50 I was like okay you know what I'm going to get back in I got back in at 50 and added at 55 right here 15,000 shares lower price stock trading with bigger size and I'm looking for it squeeze through 65 and 70 and then here it dumps to 38 stopped out a second time all right so from a 52 average to a 40 average on I think it was 17,500 shares I lost two grand now I'm down 3500 bucks $3,700 actually that was here's the P right here so I'm down $3,700 in my first two trades and it's 720 in the morning so my Max loss is five grand and I'm thinking I've got you know $1,200 to go this isn't this isn't a great way to start the day that happened fast now you know I I wouldn't say that so the one thing I would say actually is that I increased my size for this trade and then I went red on the day and then took that same level of size here now these trades are like you know 30 seconds apart this is all very quick that this all happened but I should have brought my size back down to the cap of 5,000 shares until I got myself up a th000 on the day and I I just kind of kept with that bigger size now this is a cheaper stock and that 5,000 share cap isn't really great for these it's it would be it's just it's just not ideal and 5,000 shares on GameStop is way too much so anyways it's kind of not a perfect system that I have right now but uh so I'm r on FL LJ then mdjh pops up and I jumped in that off the scanner and I managed to make $44 but might as well have been a loss because this thing did a huge jack knife rejected so barely avoided a loss on M djh then we had Xin X hits the scanner and on this one same thing look right here I got in and this is really frustrating there was a big buyer on the bid 20,000 shares and I was like okay I'm going to jump in I jumped in it goes up and then there's another buyer at four I was like okay sweet and then there was a huge hidden seller right here and then as soon as I realized there was a hint seller I went to sell and those big buyers had vanished they were gone so I think that that was someone putting out orders to try to convince people to buy so they could sell shares up here you're not supposed to do that a broker will ban you if they find you doing that but I think that's what happened big rejection back down only lost $135 not a big deal but Annoying nonetheless and then the last trade that put me below Max loss was bnrg so bnrg hits the scans and all of a sudden here it squeezed from $3 to $8 a share right there now as it started squeezing it first hits my scanner at $350 $4 and I was like okay it's moving I jumped in for the break of five that was my first entry and then I added at 550 and I actually added at 7even and so on this one I scaled into it just adding every 50 cents to a dollar and I was was thinking that this might be parabolic up to $10 a share and then on this candle again it was looking really good and then all of a sudden I was like okay I'm going to take a little profit and the buyers were gone and it flushes down to four and I'm in with an average of close to Six so I lost 2 2400 bucks and with that Max loss down more than 5,000 so now that I'm down more than 5,000 I can't take any more trades I'll show you what happens if I try try take another trade so I'll just try to do a trade on FF can't place any long orders see it won't let me take any trades because I'm below my Max loss and that's good that's for a reason now uh the fact is today I you know I'm disappointed I and for what it's worth I didn't exceed 5,000 shares on this position this was a smaller position but big range um didn't exceed 5,000 shares at least I don't think I did Xin um and I didn't on mdjh so I kept the size moderate on these and the loss is tolerable you know I mean at the end of the day it's it's very it's tolerable I can handle it it's not that bad but it's just disappointing um because you know a couple red days in a row is disappointing the fact that I haven't had a good winning trade since Wednesday is a bummer Thursday was just I was red on everything and now today I might as well be red on everything they were just not clean follow through and I think the issue here at the end of the day is that we had dispersed attention so if we start the volume here we've got a lot of volume F fi Duo AMC AMC is still sucking a lot of tension flj Holo Robin Hood so attention and volume is dispersed across a dozen different stocks today and that results in none of them if all of that volume was on one single stock holy smokes that would be insane and on days when that's the case that's when things go crazy but instead the volume is dispersed now the volume constitutes demand so demand is dispersed but each one of these stocks has their own level of Supply but because all of the volume is dispersed we don't have all the demand concentrated in one place so we don't have that massive imbalance between supply and demand that we would have if everyone was focusing on just one stock so so you know with GameStop we had GameStop but we also had AMC a couple other meme stocks with the penny stocks we had ffi but then we also have four or five other low PRC penny stocks that are gaining attention so the volume gets a little dispersed and that's when things start to get choppier so unfortunately today um the choppiness kind of got the best of me because I I got in things that maybe on another day would have played out better but today with attension more dispersed they didn't work you know the attention was already focused on something else and so you know this stock popping up it just didn't catch it didn't catch attention and it didn't get that momentum and it wasn't sustained so you know hey look this is uh this is the way it goes there's always ups and downs in trading and you could see that of course in my p&l there's there's no question about it so had a little bit of a dip you know was back up another little dip back up another little dip here and you know it'll it's just the way it's always going to be there's always going to be EB and Flow so you have to you can't really get too bent out of shape about it because this is literally the career of being a Trader but it also means that since losses happen and they happen you know every couple weeks you're going to have a couple red days you got to just get good at losing and no one to walk away now I pushed it right here on these two days there's no question about it and I pushed it on this day this one day here today you know I'm walking away yesterday I walked away so these days are are tolerable within the within the range of an acceptable red day and none of these losses were blowout losses you know what I mean like it's it's just accumulation of four or five losers in a row and the Market's choppy so Monday morning you know I'm going to be back at it as always and I'm just going to trade with slightly smaller size I mean for to be honest I'll just keep the same 5,000 share Max position but I have to be cognizant of the fact that I'm in a little bit of a slump here these last couple days so it's better just to be you know a little cautious really wait for something to prove itself before I jump in you know too aggressively and and just you know try to be patient so that's where I finish the week red day recap for me but you know hey at the same time green on the week green on the month green on the year so life is good got to take the uh you know kind of roll with the punches and be back at it uh on Monday okay so I hope you guys have a great weekend make sure you study up watch these episodes here those of you that are in the classes make sure you're studying those classes so you can be better prepared for the next hot cycle the next stock that we see that goes up you know 100 200 300 400 500% or whatever it is thanks as always for tuning in and I'll remind you that my results are not typical trading is risky so manage your risk take it slow I'll see you guys back here on Monday morning