Warrior Trading Blog

Aiming For Those Base Hits +$2,500 | Ross’ Trade Recap

What’s up, everyone? All right, so here we are Wednesday morning, finishing my third consecutive green day, up another $2,500. That feels good, and guess what? Today, I’m crossing $40,000 of profit on the month, which means I have now hit my monthly goal with four days left in the month. That’s just going to add some icing to the cake.

Now I’m in a position where I’ve got my monthly goal, I’ve got a little bit of a cushion here, a solid month, and if we see a couple of opportunities here Thursday, Friday, Monday, Tuesday, I can take a position, let it ride a little bit knowing that I’ve already gotten my monthly goal. I can afford to take a little bit of risk, maybe not lock things up quite as quick, and look for that bigger move.

Now, guess what? I’m also at, let’s see, right now, I’m $986,000 of profit in the account that I started on January 1st, 2017 with $583. I’m about 13 grand away from crossing the million dollar line, and it’s kind of exciting to be coming right back up to that level. I’m not trying to cross that line with a home run. I want to cross that line just with another base hit, walk that player in and, boom, be on the score board. $583 to a million dollars. It can be done.

All right, and remember guys, tomorrow 1:00 p.m. Eastern I’m hosting a free Day Trading 101 Workshop, so I’d love for you guys to register. The link to register is below, and I’ll look forward to seeing you guys there. All right, everyone else, I’ll see you first thing tomorrow, Pre-Market Analysis around 9:00, 9:15.

All right, everyone, so here we are, finishing up the morning $2,454 of profit, which is great. That’s going to put me up as of today over 40,000 on the month, so now, I’m hitting my monthly goal, which is great. Bob, no, TradeZero doesn’t have those halt levels. I wish they did, but they don’t. It’s only the Sterling software that has it, so yeah. I’ll write down the broker for small account, CMEG. I see someone drop the link there as well. For those of you trading with accounts as small as 500 bucks, CMEG is the broker that our students are using.

Anyways, you can see the P&L here. I’ll drag this over. I’ll just put it, well, I’ll just put it right here like that. That’s where I’ll finish today, third green day in a row. Bunny ears bring me luck, so as promised, I’m wearing these until my first red day, and they’re going to… Well, I’ll see how long I’m wearing them. I mean, third green day in a row, which is terrific. Definitely happy about that. We had a great start on Monday. Some good momentum yesterday. Gave back a little bit of profit, and then toady, I’m finishing it high of day, so after my last trade, got myself up 2,400, and I’m saying, “Yup, that’s it. I’m done for the morning.”

Feeling really good about the momentum that we’re seeing. I’d love to see a stock that makes 100, 200% move. The big mover today would be MTP. Interestingly on this, it’s up 44% right now on 25 million shares of volume. It was actually really pretty difficult to trade. You can see it did give a five-minute setup here that was okay. This did a false breakout before going, and the one minute was very choppy.

I made about $700, $800 on it in the first few minutes, jumping in out of the gates at 3.05, selling at 3.10, getting back in at 3.10, selling on the move up to 3.20, and then I got back in right here on that false breakout and ended up giving back and losing $600. That was basically the end of it for me, and I didn’t get back in. It was at, squeezed up right in here. I just sort of missed that. I’m fine with it. I could’ve been more aggressive, but at the same time, green is good. I started to just feel like it was a little bit more difficult, so I decided I’m going to leave it alone.

One thing that I notice, when I pull up these stocks and they give me four decimal points out, these ones I found are often more difficult to trade. I’m not sure why that is, but it is definitely a pattern I’ve noticed. BM, BIM, sorry, BIMI up 10% right now, 9%. This one, got an $850 winner on. You can see it’s not doing that four decimal thing. RBZ, RBZ, that one’s not doing it. MTP, well, at that moment didn’t do it, but it did several times earlier. This one, this one also does it, and this one wasn’t super easy, ARCI.

What was kind of interesting this morning was on our gap scanner, we didn’t have a ton that looked interesting. Our gap scanner was basically MTP, and that was it. It was obviously the leading gapper, up 28% pre-market with 200 million shares of volume and a 1.5 million share float as you can see right here. The bell rings. It squeezes up. That was really the main stock.

RBZ was on the Momo scanner a little further down, sorry, on the gap scanner a little further down, gapping up about 8% with a 1.4 million share float as well. This one gave a couple of opportunities. You can see right here, it was a red to green move. I took that trade there, and then it came up here, and I got in for the break of 6 and sold on the move up to the high of 6.15. This break of VWAP was pretty powerful. I didn’t take it down here because this attempt failed, and I just wasn’t sure it was worth really trying to take a second stab at it, but I ended up getting back in once it showed me confirmation, which is okay. That’s a decent way to do it.

That was RBC, and then basically by 10:00 a.m., I was up 765 on RBZ and I was up 200, or 184, on MTP, so I was up about $950, which is a decent day. I said, “Well, listen. I’m going to sit tight here for a little bit, and we’ll just see if something hits the high-of-day momentum scanner because you never know when something will pop up at 10:15, 10:20 and give us a great a opportunity.”

CTRM pops up on the scanner. I looked at it. 800,000 share float is very low. It is a former runner, but I felt like it needed to be above $6 to kind of just look a little bit better, and it just couldn’t do it. That one I hesitated on. When it hit the scanner, it was like right here, so I was like, “I don’t know, there’s really no chart. I’m just going to sit tight on it.” DSS hit the scans, but it’s a cheaper stock. It did end up… By the time it was on the scanners, it was up in the high .30s. It squeezes up to a high of .43, but that’s not a lot of potential, so I left that one alone.

Here we have BIMI hit the scanner at 4.65. Now, when this one hit the scanner, I was just… it kind of was out of nowhere. All of a sudden, the stock is hitting the scanner. I look at it, and this is where it was, right here. This is what the chart looked like. I was like, “Whoa. This thing jus came from $4 and it’s up at 4.80. It’s up 20%, and it’s moving quickly,” so I went ahead and jumped right in. I got filled at .93, 4.93 going into a circuit breaker halt. It was halted at .93. It resumes way up here at 5.25, which is an immediate 30-cent winner, and it squeezes up to a high of 5.50, which there was then a 30,000 share seller right at 5.50.

When I saw that 30,000 share seller, there were some buyers that started to buy up that seller. It went like .28, .27, .26, and then it dropped down, and I hit the bid selling at .38. I think it was .38, .28, and .17, and then it got halted going back down, which doesn’t look good for momentum. You don’t really like to see that happen. Now it’s below the VWAP, which is disappointing. This was a scalp right off the high-of-day Momo scanner. It didn’t have news, but it did give an opportunity there for, well, $855, from .95 up to 5.30, 5.40 area. At the same time that this was halted, ARCI hits the scanner and also squeezes up and gets halted.

Now, this one I looked at, and I saw there was an 8-K filing on the 23rd, and I saw, of course on the daily chart that this had this history of a former runner, and today it was the first day it was making a new high, so this setup I liked. I went ahead and jumped into this one. It was first on our scanner actually right here, and then I waited and let it consolidate, and as it broke over the half dollar, I got in at .53. I got in at .53. It hits a high of .74 and gets halted. It resumes and hits a high of .80, and then drops down as well probably because BIMI also dropped, and so on that one, a small winner of $650, which was okay. I mean, that was the best I could do on it.

You can see a couple of other stocks are hitting the scanners, and now, we’re kind of seeing this pattern of them popping up and immediately dropping. We saw it there. We saw it WH.. Actually, this one’s holding up a little bit better, but generally, what I do is I’ll trade off the high-of-day momentum scanner until it stops working. When we start seeing stocks that are just popping up and dropping back down and end up going lower than where they originally started, then that’s when I’m like, “Okay, short sellers are in control. There’s an imbalance at this moment to the sell side. I need to step back.”

But at the same time, we’ve seen stocks high the high-of-day Momo scanner, something like BIMI, squeeze up to 5.50, break 5.50, go to $6, get halted a second time in a row. It resumes, taps the 200 moving average of 6.65, 6.70, and then starts to roll over. That, right there, gives you a full $1, $1.50 per share of opportunity.

You never really know if today’s going to be the day where momentum sticks and where traders are really jumping into things aggressively. PHUN right now is up 8%, so let’s pull this one up. I can see the halt level on Lightspeed. This is on Lightspeed and Sterling is at $9. The volume is light, but look. It just went from 7.85 to 8.75. That’s a full dollar per share there in the last two minutes. Clearly, this was a five-minute breakout, and the volume is coming in mostly on this candle.

On the daily chart, you look at it, and you say, “Well, this thing has been a little tough over the last few months, but it’s basing out here, started to open up,” and you never know. I mean, what’s the resistance level on it? Definitely the 20 moving average there, the high of this candle at 11.20, and now perhaps, 9.34, so 9.34, that might be a spot to watch. All of a sudden, in the middle of the morning or the middle of the afternoon, a stock can pop up and give you 20, 30 cents.

Now, as a beginner trader, your goal is just to find one stock each day that has the potential to give you 20-30 cents. The odds of finding that are the highest between 9:30 and 10:30 in the morning. The first hour is when things are most predictable. As we get further away from the open, things start to get a little choppier, the risk is definitely higher, so if you don’t already have a profit cushion, it’s not, in my opinion, a good time to start trading. But these scanners help put these stocks right in front of us. This is how I find stocks to trade every single day, so here’s this back .94 by .80 going a little bit higher on the scanners again as it hits new highs, .90, .93, so .87 by .88. A little bit of a spread there, but .99, $9, 9.10. 9.19 is a circuit breaker halt. This might end up getting halted. $9 by 9.09, 25% up on the day.

This is where certainly if I was willing to be a little bit more aggressive, I could’ve jumped in here on one of these pullbacks. This is where some traders will say, “Ross, sometimes, it seems like you buy stocks as they’re squeezing up.” It’s true. In this example, it works. We, as momentum traders, buy stocks that are high, use tight stops, and then sell them when they’re higher. It is sometimes stepping out a hundred feet off the ground, but as long as we’ve got a harness and a 10-cent stop, then we’re only really only risking a hundred bucks for the opportunity that maybe this does go up to 9.10, 9.20, 9.50 and gives us that $300, $400 winner.

This is now an indicator of a reversal, the red candle at the high. High of day is 9.10. Maybe a short-term reversal here, watch the first candle, make a new high on a bull flag, but in any case, good to see that we’re still seeing a little bit momentum even though I’m calling it a day. This is going to be a day where I’m going to leave a little money on table.

Remember yesterday I gave back a little profit. I traded myself up to about just under $5,000 of profit, but by end of the day, I’d given back more than half of it. Today’s a day where I started kind of slow, $200, 500, 800, 1,000, 1,500, 1,800, got myself to 2,400. Felt like it was a little bit more difficult to get those gains today, so I’m just going to take that and walk away.

Tomorrow, we’ll see what happens. As of right now, I’m up 40 grand on the month, and in this small account challenge, I am sitting right now at $986,000 of profit. I am very, very close to that million dollar spot, which is exciting, about $13,000 away. We’ll be probably crossing that line anytime here in the next couple of weeks. Well, hopefully in the next couple weeks as long as we still have this kind of momentum and it shouldn’t take too many more green days. Slow and steady coming back to that line. March was a tough month for me, but I have been redeeming myself here and April, and I’m going to sit as of today up just $150,000 on the year, which is good.

That has me tracking right now for about $478,000 of profit this year. That would be a little bit less than I made last year, but it’s still only April, so I don’t want to say where things are going to be before, this early in the year. There’s a lot of time to have a couple of huge green days, couple more stocks like RBZ, BBT-H, BSPM, RKDA, LFIN, a couple of those, and things are going to really open up.

I don’t really have any plans to celebrate crossing the million dollar mark. I really don’t. I’m just going to do it, and then it’ll be done, and I’ll just keep trading. It’s really just going to be like any other day. I mean, it is exciting, but I don’t really have any plans at this moment to do anything. It took the wind out of my sales a little bit to come up to a million last month and then lose 50 grand and have to work my way back. Now I’m just like, “Let’s just get over this thing and move on to the next thing.”

Anyways, that’s it for me, remember. Tomorrow, 1:00 p.m. Eastern, free Day Trading 101 Workshop for those of you guys that are not already in the Starter or the Warrior Pro classes. I’ll see you guys tomorrow 1:00 p.m. Easter. The link to register for the webinar is in the chatroom and in the description, so make sure you guys click that link, register. You’ll get a free copy of How to Day Trade, best seller. I’ll see you guys there. All right, everyone, so that’s it for me. I’ll see you all first thing tomorrow morning. Those of you who are registered already for the webinar, I’ll see you guys 1:00 tomorrow. All right, see you guys later.

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