Morning Scan: Setting the Tone
What’s up traders, Ross Cameron here, and I’m back to share a recap of my trading day. As I kick-started my Monday morning, I grabbed my phone to peek at the scans, a ritual I follow religiously. Scrolling through my top gappers scanner, which shows me the stocks that are gapping up the most on the day, one stock immediately caught my eye—$HARP, which was up by a whopping 110% at $22. I decided to dig a little bit deeper into the name, suspecting it might be a buyout given its sideways movement. As I feared, there was news of an acquisition on the name. With $HARP identified as a buyout, my attention shifted to other potentials like $ACON and $EFSH, which were also on my scanners.
The Challenge of Limited Views
Recently I began a small account challenge. However, navigating the small account challenge comes with its limitations. Due to my screen’s lower section being cut off, viewing daily charts becomes a hassle. However, leveraging my experience, I made calculated guesses based on patterns and news catalysts. My focus for the day swayed towards $ACON in my primary account. My strategy often involves starting in the small account and aiming for the daily goal before transitioning to the primary one. Trading concurrently in both accounts demands conviction in setups, a case-by-case decision.
Analyzing Market Dynamics
Evaluating potential trades like $EFSH and $SPEC, I observed lackluster volume and unconvincing chart patterns, eliminating them from my list. Eventually, $ACON emerged as the prime choice for the day’s trade, and it was forming a setup that indicated a potential upward move.
Navigating Trades
Because the stock was below $5, I was not able to take any leverage on $ACON unfortunately. This restricted my share size, making it harder for me to generate a significant profit on the name. At the same time, it also lowered my total risk on the trade. Executing multiple trades throughout the day, I encountered moments of gains and minor losses, ultimately finishing in the green for about +$100 in my small account, which was right at my daily goal target.
Practicing Discipline and Conclusion
Opting for consistency and risk management, I wrapped up my trading day. While observing potential setups like $NKTX, I prioritized discipline, aiming to avoid overstaying my welcome in trades. It’s crucial to lock in profits and approach each trading day with a fresh mindset.
Trading comes with risks, and my experiences might differ from others’. The key lies in cautious risk management and a disciplined approach. With the day closed and learnings noted, it’s time to step away, re-energize, and gear up for tomorrow’s market challenges. Happy trading!
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