Warrior Trading Blog

Day 98 – Back From Long Weekend +$860



All right guys, um, so we’re gonna start our Midday Market Recap. This is the 98th trading day of the year, and I’m finally getting settled back in, um, on the east coast after having been, uh, traveling for almost a month. I was in, uh, Italy for about a week and a half, then I was in, uh, New York City for a week, then I was in Las Vegas, and then in, uh, San Francisco, Napa Valley, and Sacramento. So now I’m finally back, and it’s nice to get settled back in.

Um, I’m working with a lot more screen real estate than I’m kind of, um, gotten myself accustom to, which, uh, is fine, I mean it’s just I got used to working with, um, my two laptops and two small, uh, USB monitors. And so now it feels like everything is really sprawled out, which is, uh, a little different, but you know, it’s just getting used to it and I’m sure I’ll be used to it after, um, uh, a day or two.

So for those watching on, um, uh, Facebook, that’s my setup there. And then, uh, these two monitors I have turned off so I’m just working with, uh, six right now plus my two laptops that are powering them. All right? So I’ll put that back there. And I’m finishing the day here with $860, which is a pretty decent day overall. Uh, we’re kind of still in this market of taking base hits rather than getting home run trades, but I’m fine with that.

You know, that’s … Honestly, it’s been the same way since April, but in April I wasn’t taking the base hit when I had it, I was still swinging for the fences trying to get the home run and I kept striking out. So instead of, uh, doing that for two months in a row, I decided, uh, this month I would take the base hit when I had it, and I would focus, especially since I was traveling, on taking the small wins.

You know, when I’m traveling, I don’t really want to get into that super aggressive trading mode where I’m taking 10, 15, 20,000 shares on every single trade. I’d rather, you know, bring down the stress a little bit, scale it down. Because when you’re traveling, you know, and you feel like, “Hey, I just made $500 this morning trading and it took, you know, an hour,” you feel good. And you’re like, “$500 is great.

I don’t need to do anything more than that.” Um, when you’re traveling and you have a day where you lose three or four thousand dollars or more, you can’t help but feel like, you know, kind of an idiot. Or just, it’s like, “Ah, my God, I’m, I’m, I don’t have my full setup, I got way too aggressive, totally unnecessary,” and it just kind of puts you in a bad mood.

And you’re spending money being, being away, traveling, whatever it is, so it’s nice to be able to earn a little extra money while you’re doing that without risking having like, you know, one of the worst days of the month, or of the year, or whatever it might be. So, uh, that approach was part of why, um, I was happy to kind of get away for the month of … At least the early part of the month of, um, of May.

Just sort of reset after, you know, kind of some frustrating trading in April, and focus on base hits. 500 here, 1,000 there, knowing that those trades add up to, you know, good weeks and, and a good month. So I’m approaching … Let’s see, right now I’m at around, let’s see, um, only $16,500 on the month. So, you know, this is going to be my second slowest month of the year so far. My best month being February where I made 70 grand, and my second best being January where I made 41,000.

Now, the frustrating thing about January is that I was up 55,000, and I lost 15 grand on the last day of the month, which was my worst day of the year so far. So even though I finished the month with 41,000, it didn’t feel like a good month because of that kind of shadow, cloud over the very end of it. Um, but, you know, January, February, and March really strong, April things slowed down, and now I’m kind of bouncing back in May, but not being super aggressive.

You know, I’m not peddle to the metal yet, I’m just kind of getting back up to, um, you know, kind of a good, um, you know, kind of pacing myself. Just a good, steady pace, 500 to $1,000 a day, slow and steady wins the race, and this month has been super low stress. I mean literally I’ve had I think three red days this month, I lost money on Friday, I was down $33, right? Big deal. I lost money on last Tuesday, I was down $120. I lost money on Wednesday the 3rd, lost 700 bucks, that’s my worst red day of the entire month. And I lost money on the 2nd, which was $156.

So four losing days combined total about $1,000. So my four red days are only $1,000 in the red. That’s a really, really shallow draw-down. And my best green day of the month is, uh, four grand. So, you know, that’s good, those ratios are super solid. Uh, four red days is kind of what I allocate, one red day a week. Um, I happened to have two weeks of green and two weeks where I had two red days on both of those weeks.

So that’s just kind of the way it goes sometimes. But, um, kind of getting back into the market here after the long weekend, um, I took three trades … Or traded three stocks, uh, right out of the gates, and got up to 860 bucks. I didn’t have maybe, um, you know, that home run trade that I would like to have, I’d certainly love to have another three or four thousand dollar day, it just doesn’t seem to be happening right now, so I’m content to take the, um, you know, the $860 and throw in the towel here as we get into the lunch hour.

So we’ll go over the stocks I traded today. The first one was PRKR. Now PRKR was on the gap scanner with news this morning. And this is one of those ones that it’s like, it’s just kind of funny how sometimes you have news and these stocks open up and they’re strong, and other times they’re not. On this one, I was watching the pre-market high over 2.70, so I had my order ready to get in actually at 2.72 I think it was.

Um, and as soon as the me-, the bell rang we dropped down a little bit. We opened at 2.51 and we popped up to a high of 2.59, and it seemed right out of the gates like we had some good buying, and that we were gonna break over 2.60. Well, we hit 2.59 and it was kind of sel-, heavy sellers at that level, and then we dipped down.

So as we dipped down, we came down to a low of 2.39, and then as we popped back up over the whole dollar, I was like, “Okay, this looks, this looks good. I mean a break of the half dollar, I think we’re gonna a do a red to green move. It’s going to break over the half dollar, then break, uh, 2.60, and then from there go up to 2.74.”

So I got in this at the half dollar of 2.50. I jumped in with 7,500 shares and, uh, I was thinking that we would get that quick 10 cents to the sixty spot, another 10 cents up to 70, maybe the back of my mind, potential was, uh, you know, 2.80, 2.90, $3.00. Well, we only got up to 58 and then it felt heavy. We started to see selling, and so I bailed out on the bid at 50-, I think I sold at like 52 or 51.5. so I ended up only making, you know, what was it? $136, uh, but with 7,500 shares, so I think that was like one-, one and a half cents. One poi-, one and three quarter cents roughly. So, you know, whatever.

A small trade on that, but we rolled over and then we were weak and selling off. I pressed 2,500 shares three times to get it ’cause I’m not sure if I wanted to buy 7,500, so I start with 2,500, and then if it’s working, I press it, you know, once, twice, three times, and then I’m, I’m, I’m in and fully loaded.

So that was PRKR, you know. It was fine, had the right idea for red to green move, this one just didn’t work. Next one was, um, SORL. SORL, um, kind of an interesting setup here. I got in this on the one minute micro pullback at 9.20, and the reason I jumped on to this one so quickly is because we had this strong daily chart.

It was curling up here, the first candle to make a new high after, uh, a couple candles of pullback, and I was watching two spots. First, was 9.29, second, was 9.50. Those are the two levels I was watching. Now, right here we had the micro pullback so I jumped in at 9.20 thinking that we were gonna break on this micro pullback and go right up to 9.50. We popped up to a high of 9.24, we pulled back for a moment, and on this candle we popped up to 9.40, and boom, I was up 20 cents.

Up 20 cents and so I said, “All right, I’m gonna start taking a little bit of profit, even though my target is the half dollar of 9.50, I’m up 20 cents, I got to take some profit.” I took some profit and it was a good thing I did because then we ended up coming all the way back down here to 8.98. So I stopped out, I took profit in the, in the 30’s, 38, 30, and 28, and then we broke down, sold the rest break-even.

So we came back down here curling at the nine moving-, or the 20 moving average, pulled back to the nine, and you can see this ended up being a good five minute setup. The first five minute candle to make a new high for an entry right here kind of over 9.15, 9.18, it would’ve worked. I just passed on it because I sort of felt like this [doji 00:10:22] at the top was not what I wanted to see. It felt a little weak. I was expecting immediate resolution and we didn’t get it.

Now I jumped in this with 7,500 shares because I’ve done really well on it. The last four or five times I’ve traded it, back here, back here, back here, I’ve done really well. And so this is a stock that I’m becoming familiar with, I feel comfortable trading it, and I was expecting a move to 9.50, maybe up to $10. I mean that was the back of my mind potential that we could get not just to 9.50, but $10 if this really opened up, which it certainly did on these other days. That ended up not happening, but I still felt confident enough to be aggressive and that gave me, uh, $617 on one trade. So I made just about eight cents per share, eight and a half cents.

All right, so that was SORL. And then the last one was, uh, BORN, born. This one, you know, kind of interesting. I took a couple trades on this. The first trade I took, um, I got in this-, and I didn’t call this out in the room because this was a … This really had very, very light volume when I got in and I certainly didn’t think everyone would be able to get in this with me. But, um, I got in this at 1.49 for the break of the half dollar.

Popped up to a high of 1.54. Didn’t feel like it was really holding that level so I stopped out at 1.50, I made one cent, which was, um, like 50 bucks on 5,000 shares. It ends up dropping here down to 32 and I was like, “All right, this thing’s ridiculous.” But then look, it popped all the way back up and squeezed up to a high of 74. So I got back in right here at 65 thinking that if we broke over 65 kind of on this micro pullback right in here, um … It was actually 67, that we would get this move, uh, potentially higher since it was showing strength.

So I got back in here at 65, we popped up to a high of 69. Again, it was just kind of not really doing what I thought, and then we saw a 20,000 share seller sitting on the ask, so I got back out of that again, another one or two cents profit. So I got myself up to $106 on that name, but it wasn’t clean, the moves weren’t very big, so just ended up being small trades on that. It really wasn’t even worth, um, the risk.

I mean it just didn’t end up being that great. So anyways, so four trades today, green on all four na-, all four trades, green on all three names that I’ve traded, so that’s a good day. Accuracy is good, but again, these are base hits, these weren’t big, big home run trades or huge, huge windows. These were just sort of, you know, relatively low-risk opportunities to capture a little profit here, and a little profit there. Um, you know, and that’s what I did.

Uh, meanwhile, Mike was trading [NVIDIA 00:13:19], he’ll do his recap on this trade, um, later this morning or early this afternoon. But this one had a lot of range. It’s a higher priced stock, so you’ve got to scale down with share size, but then you’ve got this range. So that’s kind of, you know, the two sides of the coin here.

A low of like 143.05, popping up to a high of 145.63, and then pulling back down. So just big moves, you know, to the upside and the downside. Overall it’s been a pretty impressive name in the last two weeks. Really strong volatility, big ranges, so some good opportunities there as long as you position yourself with low risk. It’s so important to position yourself with low risk on these higher priced stocks because their range is so much bigger.

You know, with a stock like SORL, getting in at 9.18 or 9.20, I mean my risk is down to like 9.05, maybe $9.00, 20 cents. But with some of these, your risk, you know, can easily be 50 cents, 70 cents, or even $1.00 per share because of how quickly it moves when some volume comes into the name. So you just have to be mindful of that, but as long as you position yourself, uh, as close to support as possible with a tight stop, your profit potential can be really big because of the range.

So anyways, that’s the, uh, the upside there to NVIDIA, but Mike will go over that trade in, uh, his Midday Market Recap and that’ll get uploaded, uh, to YouTube and everything as well. Okay? So that’s about it for me today. Um, like I said, you know, just kind of another day where I’m kind of hitting … You know, going for the base hits, hitting small winners but green is good, slow and steady wins the race, and uh, I’ll be back at it first thing tomorrow morning as we finish up the month of May. All right guys, so that’s it for me and I’ll see you all first thing tomorrow morning.

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