Warrior Trading Blog

+$8k on Day 5 of the $100k Challenge!

day 5

+$8k on Day 5 of the $100k Challenge!

Alright everybody. Let’s do our midday market recap. We’ll go over the trades from this morning, this is day five of the 100K challenge. And the team is up $52,912.59 in the last five days. Not bad at all. Mike is leading the way. John is in second place. I’m in, actually, third place. Jeff is in fourth place. Not that it’s a competition, but that’s where we’re standing right now.

So, today the team pulled together $8,029, which is not bad at all. Yesterday was a little bit of a slow day. So far, we’ve had, let’s see, I’ll turn this around. So, this is our daily team performance. So, Josh hasn’t updated his PNL today. Shauna’s down $150, Jason hasn’t updated, and Sam haven’t updated. John $2,716.40, Roberto $122, Jeff hasn’t updated yet. Mike $4,553.26, and me, $789.34, which is almost a miracle, because I was in the red today, but got myself back into the green in order to maintain my 26 day hot streak.

So, today is the 26th consecutive green day. It was a close one. I hit my max loss. I said I was done for the day, I shut it down, I walked away, and I was content with the fact that my hot streak was over. And I was going to close the day in the red, but I ended up seeing an opportunity. I came back, I sat back down, I was doing some other work, and I ended up seeing a really good set up. I took the trade, locked up some profit, got myself back to green on the day. So, thank goodness for that.

But, I would say John, right now, by far is the most consistent. He’s traded five full days and had good profits every single one of those days. He’s in great shape right now, $12,000 of profit is fantastic, just for him five days in. I had a slow start. I had two strong days, then I took a day off. And now today only $789, so a little bit on the small side with $8,600, but $8,600 is also not bad.

Mike doing really well with his trades. He didn’t take any trades on the first day of the month, didn’t take any trades yesterday, because he didn’t see good set ups, but when he sees a good set up, he gets aggressive, and so there’s some nice wins there for him.

Alright. So, let’s go over my trades and kind of break down how today unfolded. You can see the PNL, it’s really not pretty. We’ve got some red on the positions window here today. So, $789 traded two, four, six, seven different stocks. Red on four of them, green on three. One big loser and one big winner.

So, let’s see. Let me check the audio. See, that’s strange. Oh, RoboRuss. Okay, let me try the … I don’t know why that happens.

But, yeah, so anyways, this is my PNL for today. First trade of the day was TOPS. So, yesterday I missed a move on DCIX. Obviously, some of you guys did really well on it. I know John was able to capitalize on it. I missed the move completely. I wasn’t here trading yesterday.

So, I took the day off, but this morning I wasn’t really watching it, wasn’t too interesting to me. TOPS was the one that was in play, but here’s the problem with TOPS. By the time the bell rang, we already had over six million shares of volume. It was so crowded, which is crazy. So, six million shares of volume, the bell ringing basically meant nothing. The bell rang, but it really didn’t mean a thing, because there was already so much volume.

I decided to jump in for a break of the pre-market high, which was 340. And that’s my go to gap and go strategy. I figured I’d give it a shot, jumped in, as you can see, in long at 38 and 40. It pops up to 45, 47, and 50. I’m scaling out on the ask, and on that trade I made, I want to say, $300. Let’s see, let me just pull up my PNL here. I wrote down how much I made on that trade. I made, actually like, $400 on that trade. It was a pretty decent trade. So, that was the first trade.

And then, I took GLBS. As I saw TOPS running, I was like, “Okay, I’m going to jump in GLBS, because it looks good.” But, as I jumped in, TOPS turned over and went from 355 all the way down to 275, it dropped almost a point. And that was horrible timing, because I jumped in GLBS for the break of the pre-market pivot, which was at 220.

So, I was long here 220. It pops up to a high of 26, and I immediately saw that the other was starting to roll over and I wasn’t liking it. So, I ended up selling the rest of TOPS and then looking back at GLBS and I’m like, “I got to bail out.” I’m selling at 215, 210, and then the rest at 202 and 195. Brutal. A solid $0.20 drop. I lost, let’s see, on that one $863.

So, that put me red by $399. Two minutes into the day and I’m down $399. So, that’s obviously not how I want to start my day. That put me a little bit on edge. I then saw TOPS coming back up. I considered taking it for a red degree move at 290, but I didn’t. It pops up to a high of 315, you can see here. Let’s see, so it pops up, it hits 316, it pulls back, I get in it at 315 and obviously it doesn’t hold that level. I stop out at 304. That was with 5,000 shares. So, I’m in with 5,000, stop out with another $500.

Now, I’m down $910, and it’s three minutes into the day. So, I’m like “Dang it, this is frustrating.” You know, of course, I missed the opportunity yesterday. Today, they roll over as soon as the bell rings and it just ends up being horrible. It wasn’t clean, we didn’t get good action today.

So, a little bit frustrating there. So, then I was kind of like, “Okay, I need to sort of step back a little bit.” I stepped back, 10 minutes later, I take a trade on FNJN. This was on the scanner for the first five minute candle to make a new high, which you can see right here. Entry was at 205, we pop up to a high of 213. Not able to hold that level. I end up losing $167 on it. So, no fun on that one. You can see it ends up, it’s actually at 225, now. So, it did end up going higher, but stop me out first. So, now I’m down, after that trade, right around $900, $970 something like that. And I’m kind of looking for the next trade.

Next one. RLOG. This one hits the scanners. It’s a cheap stock. It starts to spike up, it pops up, I decide to jump in it at 114, as it’s popping up it ends up hitting a high of 123, 124. And on this on, total profit, $343. I just scalped it a couple of times. You can see right here, $343. I just got in, took a little profit, got out, got back in, got back out. I didn’t really hold on to it. I didn’t capture a big winner on it. It was just small scalps, getting in, getting out. So, made a little bit of money on that one. You can see all these orders on RLOG. Definitely traded more today than on a typical day. Trying to get myself back into the green. Being a little more aggressive.

Next trade was ECESEA. I took this trade, as you can see it curled up here, broke over the VWAP, and pops back up to pre-market high of 275. I was in at 53, adding at 64, trying to sell, no fill, ended up making $298 on it. Really wasn’t that impressive. So, after these trades I was down $700, maybe %750, or something like that.

So, red $750, kind of looking for another trade, thinking “I don’t have to make $750, if I can make $200 on one, $200 on another, sort of slowly get myself out of the red, one trade at a time.” And that’s when I saw WTW. This is my biggest loss of the day, and it was really unexpected. I saw this and I looked at the way it was consolidating right here, and I really thought that it looked just like a super great trade. I thought it looked terrific. Nice little bull flag. First candle to make a new high.

So, I jumped in. I was long 1,200 shares, and then I doubled to 2,500 at 54. Pops up, first candle to make a new high, goes up to 54 14. Like, alright, up $300. Looks good. Target is high of day. 54 47. So, this just seemed like a very simple relatively low risk trade. I really didn’t think much of it. Higher priced stock, which is not my favorite, but aside from that, I thought it looked pretty decent.

So, let’s just look at the chart on this. See, because [inaudible 00:11:15] minute, we come back up, we break over 54 15. And then, on this candle we have a wick all the way down to 53 36. And on this candle, we drop all the way to 52 80. I guess I didn’t quite realize the range that this was trading in. I wasn’t expecting that I would potentially be risking a dollar per share. I really, really wasn’t expecting that, and I was really disappointed when I had to stop out at 53 23 and 5305.

That really was frustrating for me because I went into the trade thinking I was risking like $500, and that I’d be able to manage the risk and keep a tight stop on it, and when it just flashed down to the 36, I was all of a sudden just really sort of shocked. I did not expect to suddenly be down $1,700 or $1,800 on the trade. It pops back up, and then it drops again even further.

So, that was extremely disappointing and at that point I was like “Okay, I’m frustrated. And I’m done for the day.” So, I stepped back, walked away for over an hour. And then I saw NYO on my scanners. So, I came back, I was doing some emails and stuff. I saw NYO ripping up here. And I didn’t trade it, I was like “Oh, that looks like a good five minute set up right there, but it’s a little extended off the nine moving average. I’m just going to …” I was starting to get my order ready and then I was like “Nah, I’ll just leave it alone.” Ends up going from 943 all the way up to 1140, which was a fantastic move. Two points.

So, at that point, I was like “Okay, that was the first pull back, let’s watch the second one.” Here’s the second one. My entry, first candle to make a new high. First five minute candle to make a new high, the high would have been 1011. I got in at 898, 999 and then I added at 10 20. So, I started with 5,000 shares, added 2,500 and with that trade, on that move back up to 11, right there, in at 10, selling on the move 10 58, a little at 10 35, 10 29, 10, 68, 10 70. Added back 1,500 shares at 10 50, and sold them at a high of 10 96. $3,500 profit. And that turned it around. That’s what got me back to green on the day.

So, I’m preserving the hot streak. Today is day 26, but it was not an easy day at all. I’m glad that I was able to recover the loss and not have a big red day today. Not just for me, but also for the team on the 100K challenge. But, yeah, today wasn’t easy. And I’m glad that I was able to come back, and become composed, and not revenge trade, just focus on a really good quality set up.

And I’m disappointed that Weight Watchers ended up just being such a bad trade, but I would say Weight Watchers, obviously, price range is outside my go to strategy. I don’t usually trade $55 stocks. I gave it a try, and well, that’s what happened. So, you just have to remember that those stocks have big ranges, and they very commonly will do false break outs. And a false break out on a $55 stock can be really painful.

So, you can see the five minute set up, first five minute candle to make a new high, and then boom that big drop down, total fake out, just really ugly, very disappointing. I really regret even touching this. So, that’s going to be the last time for a while that I touch a higher priced stock. I’m just going to stay focused on the lower priced names. I just do a lot better on them.

But anyways, that’s it for me today. So, $789 green is good. Nothing super crazy impressive about it, but was able to get myself out of the red. So, up about $8,000 on the month, or something like that. That’s pretty good. So, green is good and hopefully you guys were able to capture some green trades today, as well. I know it wasn’t an easy day, so if you are red, don’t beat yourself up.

Remember tomorrow’s a new day, we’ll get back at it. Yeah, one, I guess I broke two rules, because I broke the rule about max loss. Because I held a stock down more than $1,000, number one. And then, the second is trading past my max loss. Weight Watchers, yeah, I should have just totally avoided that stock, because the risk was too high. So, really not an easy one. I’ve got to run my, at least, my five miles for the one real rule break, which was the trading past the max loss. But, I was able to do it with composure and stay focused, so I’m glad for that.

Now, today, 3 pm eastern, for Warrior Pro students, is our beginner mentor session. What I’d like to do today is have this be kind of like a remedial class, where I’m answering really the most basic questions. So, anyone that wants to come in and ask a really basic question, like, how do you short? What is a short versus a long? Anything like that. I want to record this really remedial class and make it available for students who have just started on day one of the class, and are feeling overwhelmed.

Because, occasionally we have people that have never traded at all, and so they’re immediately a little overwhelmed, and I want to have a very, very basic class to help get them up to speed. So, we’re going to record that today, 3 pm eastern, in the Warrior Pro classroom. So, anyone that wants to come and throw out some questions, for Warrior Pro students only, throw out some questions and help me put that class together, that would be great.

Alright, so everyone on Face Book and YouTube, please feel free to leave comments on these videos and come check us out at WarriorTrading.com to see what we’re doing here every day. Alright, so everyone I will see you guys later. Students, 3 pm eastern.

Oh, hey. I didn’t see you there. I was just working on the dream board for my next home run trade. Hopefully, it comes soon. Until then, make sure you subscribe to get email alerts anytime I go live or upload new videos. Until then, happy surfing.