Warrior Trading Blog

Inner Circle Trading Day 3 +$147! | Ross’ Trade Recap

inner circle trading

What’s up guys? All right, I’m just stepping out here from the conference room and I’m going to do my midday market recap. Actually, just did it live, but you’re going to see it in a second. Any questions, any comments? As usual, leave them below. I’ll come back through and answer them later today.

 

We’re going to be doing a lot of live streams both on our Facebook and our Instagram channels from the inner circle here in Orlando. Pretty awesome, right? You see all the signs. We’ve got Lightspeed here. We’ve got our staff hanging out over there helping people getting registered. Anyways, having a lot of fun here and make sure you log into Instagram and Facebook for some of the live feeds. All right, so enjoy the recap and I’ll see you guys first thing tomorrow morning. Okay, everyone so we’re going to go ahead and get started here with the midday market recap live from Orlando. We’re going to go over the trades from this morning.

For me, today ended up being a little bit of a slower day. I finished the morning up only $147, which is a little bit of a bummer. I’d certainly like to be up more than that but at the same time, green is good. Made 2,000 yesterday, $400 on Monday, so sitting up like 2,500 on the week right now. You can see the three stocks I traded, ATOS, NMRD, and VVUS. Made 441 on ATOS. Made 219 on NMRD and lost 513 on VVUS. Today was a day where we really didn’t have anything on the gap scanners. I mean the gap scanners were dead. We were watching, I mean, we really had nothing on there. I’ll show you the gap scanner, I’ll pull it up, but it was pretty much a dead scan today. I’ll switch here so you guys can see those of you on Facebook. My chart is here. Okay. Yeah, the gap scanner this morning … FOMX was on there, XBIT, a couple others, but really nothing with volume, nothing that looked good. There were no trades today right off the gap scanner so instead I was watching the high day momentum scanner.

I was looking for that first stock that would hit that scanner, squeeze up and start to move. You can see the high day MOMO scanner right here. I’m watching this scan waiting for something that looks good and boom, 9:32, ATOS hits at $2.15. All right. My process on this is I pull up the stock, I take a look at it and I see that first of all there’s … Well first when I see it on the scanner, I know it’s the massive volume low float scan, which is great. I see that in east signal, it has a catalyst, it’s got lots of room up to the 200. It’s starting to squeeze up and so I like the look of that. I go ahead and jump in right at 2.18. I’ll scroll up on my orders here. You can see how I bought with three orders, one at 2.18, one at 2.19, one at 2.23. Three orders, boom, boom, boom, boom. In the stock, 9,000 shares, it pops up to 25. I sell half, 4,500 shares. I sell more at 26, 25, 27. I guess the rest at 20. Right there it was $441 right out of the gates. In hindsight, I would have been better off just taking that profit and not trading anymore today but of course I kept trading.

I took a couple more trades. With that one, I jumped on it right off the scans. I wouldn’t have done it if it didn’t have news, but it did have a catalyst so I felt good jumping in. You can see how it has this pre market, or it has the high day of $2.30. From the scanner alert to the high was about 15 cents. Now, you know, with 9,000 shares, I really only captured about four and a half cents. I mean, I captured a third of the move and that’s kind of typical. The problem is that if the move is only 15 cents, a third of it, it’s only four, five cents and it’s just not a lot of profit versus the risk of taking the trade, which is five to eight cents maybe, you know, 10 or 15 potentially. Not a very good profit loss ratio on it, but I had pretty good conviction that it would pop up just based on being on the scans with the catalysts and everything else. That was my first trade. Now the second trade was VVUS and this one I made $2,000 on yesterday so I gave back a little bit of that profit today.

I jumped in it at 5.99, 5.93. Tried to add at 6.41. Now, this was kind of interesting because on VVUS, I’ll pull up the chart here again for you guys. It starts to, I got to switch the screen share for the chat room. I’ll switch to monitor one. Okay. On VVUS and by the way guys, who are in the chat room or those watching on Facebook or watching later on YouTube, we’ll do lots of short little Instagram live and YouTube lives throughout the next couple days. Make sure you’re subscribed to those channels so you get those alerts, et cetera. Okay. VVUS had a high of day of 78, 5.78 and I was kind of watching it, 5.78. Someone had called it out, but I was like, I don’t know, I don’t know if it has enough volume. This is kind of a flag pattern, a little triangle here, and on this candle it breaks. I ended up buying it $6, pretty much the top of the candle and it squeezes up to 6.40. It gets halted. It’s halted and I’m up 40 cents per share on 3000 shares, like 1,200 bucks and I’m like, nice, it’s halted, it’s most likely going to open higher. Target is $7. I’m prepared to add over 6.50.

It resumes at 6.50 and it just drops, it dropped all the way down to 5.60, it pops back up to six. I ended up selling at 5.80 for a $513 loss. A manageable loss, which is fine. You know, it ended up coming back up to, I don’t know, maybe six or 6.15, but I took the loss and moved on to the next one. With that I was down $70 on the day, which I think is the first time I’ve ever been red during an inner circle. The one we did, all the other ones we’ve done in Las Vegas, New York, and again, in Orlando pretty much it was like one trade green right out of the gates. Went into the red down 70 bucks. At that point I was like, okay, you know, we’re clearly not seeing a lot of momentum. We’re not seeing a lot on the scanners. It feels like a very slow day. I’d love to see opportunity, but you know, we’re just not seeing a lot moving so let’s just keep an eye on what’s happening. Next stock was NMRD. This one actually was not on the scanners, but a couple of people were calling out in the room and I saw it squeezing up and so on this one I took two trades.

All right, so the first trade on this stock, when we first saw it, it was right around $3. Right in this area, 2.95. I looked at it and I thought, okay, it’s interesting, but there’s a couple of problems. The first problem is that the float is too high. It’s 50 million shares. That’s why it’s not on any of our scanners. The second problem is the 200 moving average. This purple line right here is at 3.35. That’s overhead resistance and it’s pretty close. So I’m thinking, I don’t know. I just think the combination of the float would that moving average resistance, it’s not going to do much, but you can see here it breaks three, it pops up to 3.20 right here and it ends up having a 11,000 share seller at 3.20. When I was looking at it at 3.10 and 3.12, I was like, I don’t know, that seller is in the way. I don’t think I want to take the trade. Well, you see buyers come in, you know 20 or whatever. Was it 20,000 or 11 …

Anyways, the buyer gets bought up and boom it pops from 20 right up to 35, like 15 cents like that and that’s when I was like okay, this stock actually has the potential to move. I mean it’s really taking off. Then I jumped in it at 40 and the reason I got in at 3.40 is because I was anticipating the break of the half dollar. I’m in at 40 with 3,000 shares and then I press, I believe I pressed my hot key of shift one to double at the half dollar and I actually must have pressed it a little late because I got filled at 59. Now I’ve got five, 6,000 shares with a cost base of 3.50. It pops up to 3.63 and then that was kind of in this candle right here, pops at 3.63 and then it drops back down. I’ll pull this back so you can see the one minute chart. I had to hold through a one minute micro pullback and I’m holding as you can see right here. I’m in it, the highest 63. The high of that candle right there. The pullback is 37. The first candle to make a new high was back over 50.

Is it popped back over 50? My first mental target was that this thing has to go back to high a day. It has to go back to 63. It goes back up to 63, it squeezes up to 75, 78, 85, 88, 95, 97, $3.97. It hits that high, the top of that doji right there and then it comes back down. Into this I’m selling, selling, selling, and I sell the rest as it drops back down. To answer your question, I didn’t hold through this second one minute pullback was because the first one’s already pretty steep. At this point I felt like it was rejecting the $4 spot and the five minute was too extended. I was like, all right, at this point I’m going to lock it up. I locked up $500 of profit and I went from being down $72 on the day to being up about 530. Back in the green, I’m a hero again. All right. I’m feeling good about that. Then you can see this little red candle. All right? I decide to get back in it. I got back in on the candle, let’s see, it was actually the red candle right before this big drop. That red candle there is it popped up there to $3.80.

I got into 3.75 or 3.76. I bought 1,500 shares at 3.76. I bought it as I was seeing buyers coming in on a level two in the time and sales and I thought this is going to be the first five minute candle to make a new high. It’s a little extended off the nine moving average, but one of the things that you have to remember is that this nine moving average, when it’s going straight up, sometimes it’ll look like it’s flattening because the stock is going sideways and then when the stock goes back up, the moving average points back up and then when you look back you’re like, oh actually it was touching the moving average now when you look at it in hindsight. There was a little bit of space here between the low of that candle and the nine moving average on the five minute but not terribly, nothing to be super worried about. I jumped in to anticipate, the first five minute candle make a new high and what do we have at 3.80? An 11,000 share seller. We come up to 3.80. We’ve got that big seller, it doesn’t break that level.

It drops, it goes down to 3.60, flushes to 3.50. I sell at 3.50 and drops down to 3.25. Just like that I gave back about $300 of profit and I went 400. I went from being up, you know, 500 on the data up only 147. That’s my cue, you know, at this point to walk away and say, all right, that was 10:32. I don’t usually trade pass the first hour. I took four trades today. I had two winners and two losers. Average winners were about $500. Average losers were about $400. Basically, a one to one profit loss ratio, 50% accuracy puts me pretty much break even for today. Now remember, you know, this is a day where I’m up $147 and I have to remind myself I’m still the same trader who made $30,000 in one day last year, $40,000 in one day. You know, these days, they certainly feel small. It certainly feels disappointing to come in and really hope to see great opportunities and only make $100.

Some of you guys happy with 140 but you know, for me at this point, it’s a little bit of a small day, but that’s the ebb and the flow of trading. At this point, I’m just okay with having some break even days. It doesn’t have to be a big green day every single day. We’re back at it tomorrow. For all of you guys, hopefully we see some good opportunities and I’ll be able to continue to see this account grow. All right. What we’re going to do here is I’m going to finish my midday recap and then I’m going to let the other guys, the other traders here do a little recap of their trades from today, any open positions they have, whatever’s going on and so we’re going to switch to Instagram live. Anyone that is not already subscribed to Instagram, you can go to instagram.com/warriortrading.

Those of you on Facebook, those of you in the chat room and we’re going to live stream Mike and everyone else what they did from today over on Instagram. All right, so my computer is all linked up with our Facebook, so we’re just going to use Instagram for the rest of the stream. Okay. I’m going to give it over to Mike and we’re going to get that stream up and running. All right, thanks everyone watching on YouTube. I’ll see you guys in the morning. If you’re still watching, you must’ve really enjoyed that video, so why not subscribe and get email alerts anytime I upload new content. Remember, when you subscribe, you become a member of the Warrior Trading family.