Warrior Trading Blog

+$1,815.54 in 9min! Momentum is on Fire!

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+$1,815.54 in 9min! Momentum is on Fire!

 

 

All right, guys. For those of you on YouTube just getting logged in here, this is my mid-day market recap you can see finishing the day up $1,815. I traded one stock. I kept it simple today. You can see these are my order entrees. I got in with 5,000 shares at 2.50. I sold 5,000 at 2.69, 2,500 at 2.67, 1,250 at 2.69, and the rest coming back down so a decent trade.

We’ll go over the whole thing here in one second so you guys can see it. SNGX, in total, it was a nine minute long … Actually, I was all out by … What was it? 9:39. Nine minutes into the day, I had my daily goal on SNGX. Let’s scroll this back a little bit.

This was a stock gapping up. Had an $11 price target out on it this morning, so that was our catalyst that was driving it up higher. It was on the watch list. We were watching it for a gap and go. It pops up, it starts to curl … It pops up pre-market, consolidates, and then when the bell rings, it pulls back down. It does a little red to green move. I didn’t buy the red to green move. I let it pop up.

It hit the half dollar and as it pulled back off that level, as volume was increasing, I got in at 2.50. Pops up to 2.67, 2.67 and then does a one minute false break out. This false break out here is where I ended up selling it.

It popped up to 74, but then it didn’t hold that level and as it came back down, I bailed out. It consolidated sideways, came back up to 2.67, and then all the way up to 2.80, but it didn’t really hold these levels and ended up coming back down. You can see on this one, your opportunities were fairly short-lived. You had a little opportunity there, and you had a little opportunity right through here, which I didn’t take, but you had two small opportunities and neither of them were really well-sustained moves. Although it wasn’t the easiest, with 10,000 shares I was able to do fairly well.

End at 2.50. Stop on this was 2.40, so about a 10 cent stop roughly and we got almost 20 cents of profit immediately, which was great, and then we got that little pull back, consolidation. I was hoping for a test of $3, and I knew in the back of my mind, target on this would be a 200 moving average at 3.39, so that’s sort of what I was hoping we might see, but obviously we didn’t get that far up. We didn’t go that high. Just something to keep in mind. The resistance around the 200 moving average, back of the mind target, but we don’t always get to the top.

That was SNGX, one trade. Entered with two orders, sold with one, two, three, four, five orders, so a total of seven trades today times 2.50 a trade, not bad. Commissions are pretty reasonable, so overall, a good start to the week. I for sure would’ve loved to have seen another opportunity pop up right away, turn this into a 4 or $5000 day, but we just didn’t see that.

The other stock that was on watch this morning was CBAY, C-B-A-Y, but this one I felt very nervous about because right pre-market it was consolidating around 6.50, and then suddenly it breaks, it squeezes up to 6.40. It looks great. It looks like it’s going to be a great opportunity for a move up to 8, maybe higher.

Then it drops all the way down to 6.50. It drops all the way back down, so that made me feel like, “I’m not going to be able to trust this.” The bell rings, it pops to 7.14, back down to 6.90. Squeezes up to 7.77 and then drops back down under 6, so just a wild range. Lots of hidden sellers on that one where you would see a lot of buying at levels like 7.24, 7.25, lots of buying, lots of buying, but the stock doesn’t break. It doesn’t move higher, so someone unloading some pretty big size on this one it seems like and now it’s just fading a little bit.

One of the things I mentioned is that this is not my favorite daily setup or the stock has been moving up for a long time, and then finally gaps higher. It feels like that’s just this final blast as it’s way extended, ends up being this shooting star, this sort of island way up there, and then the stock comes back down. I prefer setups like SNGX that are curling up off the bottom.

Those seem to be much more powerful. You have this long period of consolidation and then when it starts to move up, traders look at that and they’re like, “Look, my downside risk is only to the low of the pullback. It’s really not that far relative to the upside potential, and move up to the 200 or maybe even higher.”

For that reason, I really liked SNGX. Wasn’t as crazy about TB. CBAY, TEMU also was on watch this morning but didn’t end up having good follow through, just sold off. A couple others, SPEX was also on watch, but it didn’t end up giving us a decent opportunity either so not really the most exciting day, but one trade, daily goal, so that puts me at $1,815 on day 131. Today is my third consecutive green day. In the last three days I’ve made $3,291 so not bad. I had my red day and now I’m getting back on the horse, moving my way back up. I’m definitely hoping that we see some really good opportunities this week, Tuesday, Wednesday, slowing down a little bit on Thursday and Friday, and then get back into it Monday, Tuesday, Wednesday of next week.

The first half of the week is when we see the best opportunity. That’s usually when things go really well and we see good opportunities, so I’m hoping that we’ll see that both this week and next week. That’s about it for today. Like I said, not a lot to go over. Just one trade, but only takes one. All right, so Mike … Sure, my entry was at 2.50, 5000 shares. All I did was type in 5000 shares right here like this with an entry of 2.50. Limit order might’ve been at 2.54. I don’t remember, but whatever, 2.50. When I saw 2.50 on the ask, I press it once and I press it a second time. Boom, boom. I’m in the trade.

I scale in just with smaller orders. I just feel a little more comfortable doing that. I could’ve also pressed it three times if I felt more confident, or even four times, but I didn’t. I only pressed it twice, so added 5000, another 5000. We pop up, 2.67. I’m holding, waiting for the first one-minute pullback and that’s where I wanted to start taking some profit, start paying myself a little bit because how many times have I said I was up 2 or $3000, I didn’t take a profit, it ended up turning into a loss? I was like, “I’ll sell half, around 70,” and it pops up to 74 and I wanted to sell on the ask. I was hoping it would squeeze up to like 78 or 90 but then I started seeing some selling.

I said, “You know what? I’m just going to hit the bid,” so I sold on the bid 5000 shares, on the bid 2.69. Then I see it starting to sell and I was like, “I’ll sell another half at 2.67,” just sell another half. I basically sold 7500 shares right away. Then I sold another half at … So each time I’m pressing Control X, sell half. Half of 10,000 is 5000, so I sold half. Half of 5000 is 2500, sold half. Half of 2500 is 1250, I sold half. Half of 1250 is 625, I sold half. Then I finally just sold the rest at 2.59. That was the way I scaled out: half, half, half and then full.

I did, on this one, was probably the right move. It did end up going up to 80 but it didn’t hold that level so just important to remind yourself to pay yourself. Take the profit when you have it. That’s what I did today. It’s the beginning of the week. I’m still trying to rebuild after a red day last week, so I’m definitely in the mindset of, “Take the profit when I have it.” All right, but SNGX, with that $11 price target gapping up with the catalyst, it was on our watch list pre-market.

It made sense for an opportunity. I could’ve gotten in on the red to green move as low as about 38. I didn’t get in that early. There wasn’t enough volume but once volume started to come up at 45, 46, 47, 48, that’s when I decided to punch the order at 2.50 for the break of the half dollar. All right, so that’s it for today. Hopefully that all makes sense. If you guys have questions or comments, you can put them, those of you on Facebook and YouTube, in the comments and I’ll come back and answer them later.

Oh, hey. I didn’t see you there. I was just working on the dream board for my next home run trade. Hopefully it comes soon. Until then, make sure you subscribe to get email alerts any time I go live or upload new videos. Until then, happy surfing.