Warrior Trading Blog

Redemption! +$4k on $PXS


Redemption! +$4k on $PXS

All right, everybody. We’re going to go over today’s midday market recap, break down the trades from this morning. Finishing the day up $4,927.04. Not bad. It’s not bad at all for the third day of the month. It’s a good bounce-back from being red yesterday. It’s always nice when you can bounce back on the quick side. In a lot of ways, I’m still bouncing back from a couple red days in November. It is going to take some time to work my way back up over $300,000 of profit this year. I’m still about … Let’s see, I’m right now sitting at like 287. I’m like $12,000, $13,000 off that level, but I will get there. It’ll definitely feel good when I break over that big line in the sand.

But in the meantime, today really was just all about staying focused and looking for good opportunities. It was kind of a funny day because I didn’t see a lot that looked really good on the watch list this morning. Today was another one of those days where the watch list was just kind of like so-so. Now, if I show you guys the watch list here, I can go back and run this scan using historical time. So I’ll run it for, let’s do 9:15. Oops. 9:15 am this morning.

You’ll be able to see exactly what I saw this morning in terms of gappers. We had RNVC, $34 stock. Don’t care about that. We had MBRX, $2 stock, 14 million share float, which is interesting enough, but this is one that I didn’t really want to trade because I hadn’t made very good money on it this year. I’ve traded a couple other times, and I thought it was weak. So it’s not surprising that the bell rang and it just pretty much sold off. No follow-through on that.

CHEK, around $1. A little too cheap. Next one down, COLL, $20 stock, no interest. Next one down, DGLY, 5 million share float. Not bad, but it’s a five-cent tick stock, which means it trades in five-cent increments. So no interest on that one. Next one down, CUR. You can see that I did trade this one. It had a nice pre-market chart here. It did sell off a little bit before the bell, so as soon as the bell rang it was looking kind of weak. I, in fact, only made 113 bucks on it. You can see a few trades here. It made a good move. I just didn’t really think a lot of it because it was kind of sluggish. It wasn’t moving very quickly. In total, over now 30 million shares of volume, which is pretty crazy. 32 million shares. Very thickly traded stock.

Some opportunities here. Probably the best one was the first five-minute pull back right here at 175. That was really nice, and it broke out very well, from 175 all the way up to 239. That was awesome. Then a little pull back here, and a pop back up. But for me, the one that really made the day was PXS. Small winner on GLBS, a small winner on DPW, a small winner on CUR.

In fact, today I’ve taken, let’s see, one, two, three, four, five, six, seven, eight trades. No, nine trades. Nine trades, and I’ve had eight winners, which is awesome. My biggest loss was a $30 loss today. That was a real turnaround from the accuracy yesterday. Yesterday, my accuracy was like, let’s see, 46%. I hate when I have days that are that poor of accuracy because I really should’ve just walked away a lot sooner and just stopped trading. I over traded yesterday. But anyways, today made it back and then some.

PXS, that was the big winner, so let’s look at that trade. PXS obviously yesterday, huge range from $6 to $12. I managed to lose $1,200 on it, which is annoying. This morning, market opens and it sells off, as you can see here. So I thought, “Well, I don’t know. Maybe the fun is over. Maybe it’s just done.” But then, all of a sudden, it squeezes up, breaks over $6, and is halted at $6.11. It’s halted at $6.11 and I’m thinking, “When this thing resumes, maybe we’ll get a squeeze similar to what we had yesterday around the same time.” Right? It sold off, popped up, and then boom. From $6 to $12.

I didn’t think it would go all the way back to $12, but I thought we might get a squeeze. It’s halted at $6.11, and it resumes trading at a low of $6.62. I already had my order ready to buy it at $7, but the market opens, it resumes, I’m long at $6.70. Boom, boom. I jump right in. Immediately, this is insane. This is how volatile this stock was. Two seconds later, it’s up at $7.35 and I’m up 2,500 bucks. I was like, “Okay, time to sell some.” Lighten up, sold some at 35, added back at 35. You can see how fast this all happens. Added back at 35, sold some at 68, 73, 91, and sold the rest as it came back down. In a period of 46 seconds, yeah, 46 seconds, I made a solid $4,000. You can see this big candle here squeezing all the way up to $7.92.

This shows you, this right here was an opportunity hands down. It’s just an obvious opportunity. It was a big move. The question is, are you able to capitalize on this opportunity? Because they happen sometimes so quickly. This is not any different than what happened yesterday on the move from $6 to $12. These first legs of the move happened very, very fast. Obviously, the way I get into these so quickly is I use hotkeys. My hotkey is to buy, was shift 1 on the ask or to sell on the ask. That’s really what I was doing. Jumping in on the ask, selling on the ask, bailing on the bid if I had to.

But on PXS, I was able to sell on the ask. Selling at $7.91, one penny below high of day today, that’s not bad at all. That was really solid. You can see on this candle, we had 500,000 shares of volume. I jumped in with 5,000 shares, sold, added back 2,500, sold, and then stopped out at the rest. It was just a really solid, quick opportunity to make 4,000 bucks. I wasn’t even that aggressive on my share size. I only took 5,000 shares.

Last month I was trading with 10,000, 15,000 shares. So I’m not even being super aggressive on size, which was partly because I knew buying this at $6.70 was risky, because it could come back down to $6. I didn’t want to have that happen with 10,000 shares. It’s fine that I was more conservative, but it’s awesome that, while being conservative, I was able to make almost $1 per share. With 5,000 shares making $5,000, it’s $1 per share. That’s a really very solid move, I think right around 12% or so.

All of a sudden, out of nowhere, boom. Opportunity pops up, I jump in, I’m up $4,000. If I’d stepped away from my computer for 10 minutes and missed it, this is what my day would look like. It would be $500 a profit and I wouldn’t have that big winner. That’s kind of the funny thing with trading, is that these opportunities sometimes, all of a sudden, we see this opportunity and if you’re not able to capitalize on it, you miss and that might’ve been your only opportunity for the day. Seems like Daddy’s back. This was a great day. Finished the morning up $5,000 and I’m happy with that.

Yesterday was frustrating, no doubt about it. Down 3,500 bucks is not how I wanted to start the month or start the week, but today I was able to bounce right back. I didn’t bounce right back trying to be aggressive, trying to swing for the fences. It was just looking for one good opportunity, one good trade, and today I had it. It’s been a tough month so far. We’re only three days in, but it’s been, so far, a pretty tough month. It just hasn’t felt easy. It hasn’t felt like the momentum is as predictable as it was last month.

I’ll show you guys where everyone is on the December challenge. You’ll be able to see, in contrast to our November challenge, November got off to a little bit of a slow start and then it really picked up mid-month. That’s kind of what we’re seeing here on the December challenge. So far, we’re off to a bit of a slow start. You can see, some of the traders on here have taken some good sized losses. I certainly was one of them yesterday.

Where we’re at here today, you can see my PNL Mike took a loss today on Alibaba. That one he’ll probably go over for you guys in the room, but that was this morning. Jeff hasn’t updated his swing trades. He’s holding. Roberto, no trades. He’s in Scotland today. John, he was our MVP last month. Only one red day, and it was a $700 loser, whereas his best days were well over $10,000. I think he finished the month in the $50,000, $60,000 range. But these first couple days have been a little bit tricky for him as well. Sam, I’m not sure where he’s at today. Shana, she had a tough trade on PXS yesterday, which I totally get it. It was not an easy one. Josh, waiting on the updates. Tyler, green so far, which is good. Simon, a good sized loss yesterday on PXS. This is one that I think got a lot of us. I think a lot of traders struggled with it. It was not easy.

Some of the traders who are newer to the challenge here have actually been doing pretty well, Raj, Jamie, David, Nate. These guys go in for consistency, not swinging for the fences as much, and looking really good. Couple others here, waiting on updates. You can see, out of the 21 or so traders that are part of this challenge, we’ve got one, two, three, four, five, six, seven, eight, nine, ten. About half of us are green and the other half are red. So it’s obviously a little bit of a tricky start to the month, especially considering the month of November.

We all started a little slow, but at least in the green. Hopefully we’re able to see some better momentum, a little bit better follow-through, as we get further into the month. I’m obviously hoping that I’m able to get myself back over 300 grand, which means I need to finish this month with about $15,000 of profit. So I’ve got a little ways to go. I’m only up like, whatever, $1,900 on the month. I’ve got some work to do. But we’ve got three and a half good weeks ahead of us.

Even if you’re in the red right now, you started the month with a loss or whatever, you can get yourself out of the hole. I’m still in the hole from $15,000, $20,000 loss at the end of November. Fortunately, I still finished the month up $88,000 or whatever it was, $81,000. Great month, but I had a little bit of a setback. So now I’m focusing on building it back up one step at a time. Yesterday was a little step back, but now back on the wagon, getting focused, and hopefully we see consistency here through the rest of the week. I’m not sure why we’ve got a space here. I’ll probably delete that. Let’s see, Steve’s on that line. All right, I’m just going to delete this line item. Delete row. All right, there we go. That looks better.

Okay, so anyways, that’s where we’re at here for today for the quarter million dollar challenge. We’ve got some work ahead of us. We’ve all got to get ourselves focused, and hopefully not get chopped up too much this month. But remember, we’re all in this for the long haul. It’s a marathon, not a sprint. So if we come up short on any week, any day, any month, whatever, that’s okay. The big thing is that we never want to put ourselves in a position where in one day we could lose half our account. Even for me my biggest draw down, I think, so far this year is 8%. I’m okay with that. Some traders might think that’s too much, but for me, I’m comfortable with that. It really comes down to the strategy that you have, and remembering to respect your max loss.

I know it’s easy to be a deer in the headlights, and that’s the think that I struggle with. When I jump into a trade, I’m getting too aggressive, then instantly I’m down like 50 cents per share. It’s like, “Oh my god, what have I done? Not again!” Then I’m just watching it as it goes to 60, 70, 80 cents a share, 90 cents a share. Then I’m down a full dollar share and it’s like, “All right, I give up. It is what it is. Taking the loss,” and I bail out. But for me, that’s how it usually happens. I get into a trade, I just let my excitement get the best of me, I jump in way too high, and then boom. I have a big pull back. That’s what my big losses usually look like.

This month I’m hoping to be better about that, but of course, yesterday it happened on PXS. I jumped in at way too high, at like $11.88. Even though I was up $3,000 on the trade, I ended up giving back $3,600 on that drop. Boom, lost 60 cents per share. Ugh, that was frustrating. But today I came back in, not trying to make back what I lost yesterday, just trying to finish the day green, and ended up having a good opportunity. That’s definitely nice. Yeah, hopefully we see good opportunities again through the rest of the week and we’re able to finish this week in better shape than we started out.

Okay, so that’s it for me today. Mike is going to do the mentor session today at 3 pm for Warrior Pro students. I’m going to do the mentor session tomorrow at 3 pm. In any case, I’ll of course be back at it first thing tomorrow morning, 9 am, pre-market analysis.

All right, everybody. Hope you guys have a great afternoon. If you didn’t feel like you traded as well as you could’ve, whatever. Get out of the office, take a little bit of a break, and then come back, look at your trades, review it. What could you have done better, and what are you going to do tomorrow to be a little bit of a better trader? I’ll see you all back here first thing tomorrow morning. All right. Bye, guys.

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