I Struggled On A Stock Squeezing Up 200%... transcript

What's up everyone? It's Thursday morning. We're coming to the end of the week. And in today's episode, I'm going to break down the biggest gainers in the market this morning. We've got a couple stocks up over 100%, three as of right now. I'm going to walk you through my trades and we're going to talk about some of the challenges that we faced during this morning's trading session. We had halts after the open. We had a couple of offerings, not great.

And we were dealing with some really big candle wicks, which is a little bit of an unusual challenge. So this is what we were seeing. A stock pops up, gives a nice little move. Okay, that's fine. Then it dips down, dips down, and then first candle to make a new high. We, you know, are jumping in. We're looking for it to start to move. And all of a sudden, you get a candle that for a moment looks like this. Amazing, beautiful, huge green candle.

But these are one minute candles. And by the end of the one minute, a big seller has come in and pushed the price all the way back down. And so what does that mean? It means the candle doesn't look like a big green candle. Instead, that's the high. That's the open. That's the close. So that's the body of the candle and you have a giant candle wick. And so unfortunately, when you have a big candle like candle wick like that, this communicates bearish sentiment because by the end of this one minute period, the sellers were stronger.

They brought the price back down. And so what would often happen, and we saw this several times today, is then the price sells off a little bit, but eventually it bases out perhaps along the 9 moving average, something like that. It starts to curl back up. We start to move back up a little bit and all of a sudden we get another big candle just like that. But once again, before the candle closes, sellers bring it down and some of them actually closed red.

So it looks like it's going to be a green candle, but it completely reverses. So how do you deal with these big topping tails? Well, generally the right approach that I have is to avoid stocks that are giving us those big topping tails. It's not what I want to do, but I generally find that once a stock has shown a willingness to put in those type of topping tails, it's going to happen again. So, let's look at Apus. This is our leading gainer in the market this morning.

We've obviously had some big moves on it. I did trade it, but I gave back most of my profit on it. So, let's begin with the first few candles of the day. So, this pops up right here just after 8:30. So, we get this initial squeeze as you can see right here from 235 up to 320 and then it sells off and is red on the day. So, we don't like to see that. But then it curls back up, breaks through 320 and goes all the way up to 380.

And that's the candle wick right there. So, for just a second it surges up to 380, but then it comes right back down, right? And then what do we do? We surge up again to four. We go all the way to five and this one ends up being red and we flush back down. Now we've got these two big candle wicks. And then we do it a third time. And then right there we end up popping up and rejecting. Then we end up selling off a little bit right through here.

And so for me, one of the challenges was how do I trade a stock that has these big candle wicks? It's hard to trust it. So we had this initial pop. It sold off. It rallied back up. It sold off. And so I decided to buy the dip right here and this is my first trade on AP US because after this flush it rallied back up. So I thought flush rally back up. So I got in on that dip right there and I got a nice little trade as it rallied back up.

It dips down, it pops back up, it dips down, it comes back up and I decided to get back in it right here thinking it was going to finally break through the high and I caught a rejection. That was discouraging. But it does end up coming back up as you can see here. Although another topping tail, another topping tail and then a double top up here at seven. So this thing was really tricky. It was heavy. There were lots of sellers.

Big rejection right here. And I was holding during that rejection cuz I was looking for the retest of the high of day. Well, let's see. No, it was uh uh no, I was looking I'm sorry. I was looking for the break through the high of day. So, the high was right here at 7 and I was in right here for the breakthrough seven. We pop up in another big candle wick. We flush down and I said, I'm not selling. I'm adding adding on the dip.

It rallies back up. It sells off again. I take my profit. Small profit there. Sells off at the open. Rallies up. And I bought on this little micro pullback right there. And we got this squeeze up. But I went from green to red and then rallied back to green. So my P&L much like yesterday. So if we recall yesterday, oh we'll keep that. That's the profile, the type of stocks we want to keep an eye on. So if you recall yesterday, my P&L went a little bit like this.

Up five grand, up 10 grand. I think it was up 15, and then flushed in one trade to down 12,000 and then rallied back up and finished up uh 9,900 yesterday. So that's where I finished yesterday. Today was sort of similar. I started up 2500 up 5,000 then flushed to red 5,000. So now down on the day and then rallied back up here to plus what am I at right now? $2,99262. So I don't not making a lot of progress this week.

So it was 10,000 on Monday, 13,000 on Tuesday. Yesterday was 9,000. So 30, you know, 40 grand something like that. 35 grand. I mean, I can't complain too much, but uh this has been this month has been a bit of a uh a tough one. We just haven't seen really nice clean moves. I mean, with the exception of Reo and Jag X, but they occur at unusual times and they're kind of a one-hit wonder that aren't based around what is a clear theme.

In fact, I was thinking about that yesterday. What was the last really obvious theme that we had where a stock put out that headline and you were pretty confident it was going to squeeze up at least 100%. The last one that I could think of was the crypto treasury strategy. Then I was reminded that we did have some really good AI catalyst. Okay. And then someone said, "Well, what about SpaceX?" Well, SpaceX, we only had a couple stocks that put out headlines that were sort of tying into SpaceX or, you know, lunar or space data center, low low orbit data center.

So, that was kind of like a fringe. We had a couple catalyst, but only like two or three. In August, we had a bunch of no news stocks that were Chinese, but that's not an easy theme to get dialed in on because what are you going to buy every stock that has no news? H that doesn't feel like that's quite safe. Uh and it's it's not. So, um it's been a little while since we had a really solid theme that we could work with and I cannot wait for the next one to emerge.

Um and you never know what it'll be. It's it's going to be a surprise. you know, it'll it won't be something we were expecting, but um you know, these types of stocks where you know, you get a headline, okay, that's fine. It rallies up, you know, it's fine. But this one was just really difficult to trade. That was the personality and the character of this particular stock. So, it is what it is. We got the squeeze at the open and then we ended up rolling over and selling off and that was that.

So, we also had GNLD, GLND, Greenland Energy, grinding higher though. This is not an easy one to day trade because it's very thickly traded. You're not going to scalp it and jump in and jump out. You got to be willing to get in, set your stop, and just let it work. And if you could do that, you get a nice move on it. But if you're trying to jump in and jump out and manage your risk, and not hold for very long, this is not the right stock for that strategy.

So, no trades on GLND. Uh, PFSA. This one ended up popping up pre-market. We got a really nice squeeze here. And you know, as it turned out, I made more on this one than I made on uh APUs, even though APUs actually went up more. So, with this one right here, we had our initial pop right there up to 450. We sell off, and then what do we get right here? What pattern is that? That's an inverted head and shoulders pattern.

So, you get the the pullback, the drop, the recovery of VWAP, and then the curl back to the high. Then, we dip down. We try to break here, but we double top at 450. We sell off. Then we come back up right here looking for a curl through through VWAP. It fails. Doesn't happen. I took a small loss right there at the open. We sell off. We curl back up. Could we get back to the high day of 452, 453? Nope. Couldn't do it.

Ended up selling off. So, just a couple small trades on that. Only made 2,000 bucks on it. It's nothing that exciting. APUS is now selling off a little bit more. So, that one's not uh looking so great at the moment. And then now I'm trying to remember which one oh gosh which one was it that had the offering. So I'm going to have to go back here on the scanner. So we had so then so while I look for the offering one we'll first look at um Pmax.

So Pax halts up uh right after the open. It is a Chinese stock with no news and it halts up at $1.29. It resumes at 280. Unbelievable. And then halts up a second time. Then it resumes back down here at 2 and halts up at 220. That's not good. Then it resumes and halts down. Now it's bounced off of like 160 and halted back up. This is very difficult to trade. How do you possibly manage your risk? You can't. And this is the frustrating thing about these halts, which were designed to protect traders, is that they actually make it so you're you're almost completely gambling with some of these stocks.

You have no idea if you're in the halt if it's going to open higher or lower. Currently, HCWB is also halted. halted up at 238 showing right now a resumption HCWB of 320. Now having level two market data with certain brokers will give you access to the resumption quote so you can see where it's going to resume which is very helpful information but uh if you have a broker like Think or Swim, you won't get that data. So there just resumed and it's dropping down.

Halt down's 250, halt up 374. So right now we're in this little pullback. Some traders might buy that dip for the curl back over three. I think it's risky. You're going to end up potentially getting caught in another halt. Or you have someone who was in before the halt who dumps their shares. The volume is predominantly on the sell side. High volume red candles halt down right there 250. It's pinning to the halt down.

So now it's halting down and you basically got a round trip. So that's a trap. That's a trap that that's not a valid opportunity. There's nothing there. And unfortunately, a lot of traders are getting caught in these traps for lack of I guess anything else to trade, which is disappointing. So, let's see. We had um so there were a couple others that we had. APUs, YMAT, this is another one that popped up earlier today.

Ends up popping up, selling off, basically doing a round trip, and then coming back up. DBGI does the same kind of thing. Pops up, sells off. It's very hard to trust. GCTK, this is the one that had the offering. So, was consolidating, began the move after hours, sideways, and then flush drops right there on the offering news. So, I did expect a little bit of a bounce out of the offering, and we did get a nice bounce on it.

I didn't take that because I felt like that was a little bit too much scraping the bottom of the barrel, and I didn't feel like I was that desperate to take a trade. So, today, smallest green day so far of the week, but hey, it's a green day. Can't complain too much. Now, I did stream a little bit longer today. gave um my commentary through the opening range. So, uploading this recap a bit later. But for those of you guys that want to learn a little bit more about what it's like to be a trader like myself, to be a momentum trader, what it's like to use this software for charting, scanning, breaking news, or what it's like to listen to my live commentary, check out the link to the twoe trial, which is pinned at the top of the comments and pinned or linked in the very top of the description.

With that, I'll remind you guys as always that trading is risky and my results aren't typical. So, please manage your risk and always practice in a simulator before putting real money on the line. I'll see you guys back at it bright and early streaming at 7 a.m. tomorrow morning.