Warrior Trading Blog

Finishing The Week Red -$560 | Ross’ Trade Recap

What’s up, everyone? All right, so here we are finishing the week, another red day. But, only down $560 bucks. So today’s the day to where we just didn’t have momentum. Same as yesterday. Friday’s are hit or miss, and I’ve always known that.

I mean, Friday’s we can get some surprise moves and things can go crazy, or they’re usually fairly slow. Today was a slow one. I took a couple stabs at a few different stocks, but I just couldn’t get a lot of traction, didn’t make any headway. I went red right away, ended up at the worst down, almost $1800, and then I slowly dug my way out, dipped back down again, got my way a little further out. But, today, I never was green today. I never crossed into green. It was just red, and then, how small of a loss am I going to finish the day with? Hey, $560 bucks, no sweat.

I made $11,000 on Wednesday, had a great day on Monday and Tuesday. I’m still up well over $15,000 on the week, which is awesome. So I’m feeling good, great start to April. Monday morning, hopefully momentum comes back in. I’m surprised that things were as slow as they were yesterday and today, two days in a row. But, it’s the ebb and the flow of the market, you can’t force it. If it’s slow, it’s slow. Really, at this point, on a day like today, if I kept trading, I would just be trying to get two, three cent scalps. That seems like the best I’d be able to do, and it’s just not worth it. It’s just giving commissions to the broker, and not really putting much money in my pocket.

So hey, it’s Friday, I’m taking the rest of the day off, getting out of the office, getting an early start on the weekend, and I’ll be back at it first thing Monday morning. A reminder, guys, Monday at 7:00 PM Eastern, I’m hosting a free workshop and all of you guys who registered, you’re gonna get a copy of my bestselling book titled, How to Daydream. All right, so I’m really looking forward to that. Monday, 7:00 PM Eastern. You can click below to register, and I’ll see you guys there.

Okay, everyone, so we’re gonna do Midday Market Recap here, go over the trades from this morning. Today’s gonna be second red day recap, which is obviously not what I wanted for the start of a month. But, what’s really good about these last two red days, is that I’ve been keeping the losses small. So ultimately, having two small red days after the awesome day we had on Wednesday with OPTT. At this point, these are like breakeven days. Basically, I came into the market looking for opportunities, took a few stabs at a few different stocks, but nothing really opened up, nothing gave us a big move like we saw here on OPTT. So I ended up taking a couple losses, having a couple winners, and finishing the day down only a little bit, versus the open. I mean, this is, for me at this point, not really a big deal.

Obviously, it’s not my daily goal. It’s not where I would like to be. But, in terms of bad days, these are bad days that I can be okay with. Any day that is not my max loss is fine. So didn’t hit my max loss yesterday, not hitting it today, just basically voluntarily saying, “You know what? We’re not seeing a lot of momentum. I think I’m just gonna throw in the towel and be back at it, of course, on Monday morning.” I know that in literally one good morning, not only can I make back what I lost yesterday and today, but I can get myself well into the green.

So let’s think about that. This was Monday, a big step up. Tuesday, a nice step up. Wednesday, awesome, $11,000, really solid. And then down $1600 yesterday, and now down $500 today. So that’s the context of where I’m at on the week. I’m still in great shape on the week. I’m just waiting for that momentum stock, because that first day that we get something that really connects, I’m gonna be back up here. Of course, if we end up having a really, really good opportunity, maybe another day like this. But, overall, today it was just kind of a bummer that we didn’t see better follow through. It’s just two days in a row of really lackluster action, it’s just kind of like watching paint dry. It’s a little bit … it’s just a little bit boring.

JMU, this is the one that I did the best on. You can see here, it’s currently up, let’s see, JMU, 26% on 9.3 million shares of volume with no news. The big thing that I was worried about was that 200 exponential moving average right here at 266. But, I did take a couple trades on it, I took one, let’s see, we’ll go back to the one minute. I was using the five minute, but trading mostly with the one minute timeframe for my entries. So let’s see, we had this first move right here up to 55, and then this squeeze up to 60. So I took a trade right in here, my very first trade of the day, but only made like $200 bucks on it. It was just kind of like popped up, came back down, a small trade right there. One minute micro pullback worked well from 45 up to 60, but I missed it. It then pulls back, drops down a bit, going sideways.

Right here is where we got an opportunity to get back in. So a little pull back there, a pop back up to 55, didn’t break over the high of day, so I had to get back out. A small win right there. It comes back up again, I’m back in right here and taking profit on this move up to the highs. Again, only a small move. Goes up, goes up, I get back in at 60 right there. We get another nice breakout, but again, these are like five, six cent breakouts, they’re just not that impressive. So that’s the thing that’s kind of disappointing is to be looking at these really good quality setups and not seeing big breakouts. So that’s JMU.

AEHR, this one I jumped into out of the pretty much right off the scanner. What I liked about it was it was moving quickly, above the 200, headlines posted yesterday after the close. But, this one didn’t hold up very well at all, only made $300 on it. I’ll go over commissions in a minute, Manuel. So AEHR, no good there, didn’t hold up.

ZKIN, another one that hits the scanners, doesn’t hold up, ends up failing. You can see right here. So small loss on that, not a big deal. CLWT, this one was difficult. Look at how choppy it was. I mean, it would pop up and drop down, pop up and drop down. The loss that I had was getting into $615, it then drops down to $580, and I had to stop out, only to watch it come right back up. I did end up getting back in for the break over the half dollar, right through here. It hits a high of $650, but again, not enough for me to get myself all the way out of the hole on it. So kind of just choppy action, wimpy. I liked the daily setup for the first daily [inaudible 00:07:51] to be making a new high, but it just didn’t give us the follow through that I expected.

Then, Trove, right out of the gates, I lost on this one. I was trying to scalp it over the pre-market high of $487, but it ended up dropping right away. I then got in and made a little bit back on a red to green move setup on the one minute chart, which was right here. In at $460, out at like $465. But, you can tell we weren’t working with a lot of good stuff today. We weren’t seeing big moves, we weren’t seeing things really opening up. It definitely felt like today was a bit of a battle. Essentially, I just churned shares, I just would get it in, get stopped out, get back in, get stopped out, and so not a lot to show for today. SACH hitting the scanners now, but you’ll look at this, and it’s like, “Wow, that’s a five minute setup, and it’s only up five cents.” That’s just not a lot to work with. That doesn’t give a lot of profit abilities.

ZYNE, we were watching this one, but it’s just choppy. I’m sure over $860 it would start to look better, but by that point it’s hard to know that it’s not going to do another false breakout. So this is kind of one of those days where you feel like things either connect or they don’t. Today, things didn’t connect. We didn’t get big breakouts. We didn’t get big moves. You just sort of get to a point where you’re like, “I’m fighting an uphill battle here,” and the reality is, every time I take a trade there’s risks. So if there’s not good opportunity, it’s kind of not worth continuing to take risks. When these are my biggest winners, and these are my bigger losers. That just shows you the imbalance today is on the short side. If I keep pushing my luck, it would not take much at all for me to hit my max loss. The fact that I’m red, I’ve got the warning up here. All trading is allowed, because I’ve not done more than $2000 dollars. But, if I hit my $2000 dollar max loss, that’s it. I don’t wanna hit my max loss. I did come close to it. I was down to about $1600, maybe $1700 dollars at one point. I was able to basically cut the loss a little bit more in half, which is great. That’s good, that’s kind of the best I could do today, that’s all right.

One of the things you’ll find is that when the market is hot and things are moving, you can do so well. But, when things are slow, you just struggle. And today’s a day where I’m just struggling. There just isn’t a lot moving. If I continue trading 11:30 to 12:00 to 1:00 to 2:00, I’m just gonna get myself more and more frustrated. I’m just gonna be churning shares. Could I possibly get myself out of this whole, well, I’m only down $500, so … Yeah, but, it just kind of becomes diminishing returns, and it’s just not really worth the effort. So that’s fine, we had a great start to the week. Monday, Tuesday, Wednesday, some really awesome action. But, things just totally slowed down yesterday, and again today.

I don’t know if OPTT secondary offering weighed a little bit on traders. I don’t know. Maybe that news out yesterday morning weighted on things a little bit more than I through it would. I also find sometimes that when the market’s up quite a bit, I don’t do as well. The market being green yesterday, and green today, I felt I did really well on Tuesday and Wednesday when it was red. But, I felt it did well on Monday when it was green. So I don’t know, it’s hard to say, I suppose. In any case, not a green day recap, but another day where I’m falling off the bike, but hey, I’m not beaten up too badly, so I’m gonna get right back on. That’s one of the things we talked about yesterday. It’s good to experience these losses that are small, because it kind of desensitizes you. It’s like, “Oh, hey, this isn’t a big deal.” I’m not gonna be going home tonight in a bad mood. I’m not gonna be like, “Oh man, I really screwed up.” Not at all, today’s a no big deal type of day.

Remember, this year when we’re looking at the spectrum of the biggest red day and biggest green day, this type of day is like no big deal. This isn’t gonna bring out the emotions. The days that bring out the emotions are when you’re either at the bottom of the spectrum on the red side. For me, anything down more than, well, I would say anything down more than $5,000 is gonna start to bring out the frustration and disappointment on the down side. Certainly anything more than $10,000, or $15,000 is really gonna bring it out. On the upside, anything more than $10,000 is certainly a great day. More than $15 or $20 is a really solid day. When I get up into the $30, $40 level, those are days that are awesome. They’ll happen a couple times a year.

So those are the extremes, and everything else is just in between. It can be hard to kind of wrap your head around that, because as a trader you come in every day expecting to have a great day. But, a day like today, it’s just like a regular day at the office. Some days happen to be green, and some days happen to be red. It’s really good to be able to separate your emotional state from the color on your PNL. If I’m having a red day, I’m in a bad mood. If I’m having a green day, I’m in a great mood. The more you can separate that, the better it will be for your long term mental stability. And again, the only way to do that is to condition yourself to experience these losses. So lots of small losses, realizing, “Hey, that’s actually not that big of a deal.” Lots of small winners realizing, “Okay, that’s not really that big of a deal either.” All right?

So yeah, that’s about it here in terms of trades for today. I’ll be back at it first thing on Monday morning. Oh, also, reminder, Monday, 7:00 PM Eastern, we’re gonna host a free workshop. So those of you guys watching on Facebook or YouTube, you’re welcome to register. That’s gonna be 7:00 PM on Monday. All right, everyone, so I’ll see you guys first thing on Monday morning, and I’m gonna answer a few questions here in the chatroom. If you’re still watching, you must’ve really enjoyed that video, so why not subscribe and get email alerts any time I upload new content. Remember, when you subscribe you become a member of the Warrior Trading Family.