Warrior Trading Blog

Trading On The Go! | Ross’ Trade Recap

Ross Recap 4.18

What’s up everyone. All right, so on the traveling trading station, I’ve got my main laptop, my trading laptop, one USB monitor, second USB monitor. As soon as I pulled it out of my bag, I dropped it and now it’s broken. So these guys are kind of fragile. It’s kind of annoying. This is like the third one I’ve broken. Oh, well. So that’s fine. Got my work down here, main laptop, one USB monitor, and then my second laptop there.

So this unfortunately is my third red day in a row, down 1,300 bucks. But right now we are just not seeing good momentum in the market. I’m doing the best I can. Keeping losses small. I didn’t have a single loss today bigger than, well, $600 but I ended up with four red trades or red on four stocks.

So what can you do? You got to wait until momentum comes back in the market. So that’s what we’ll talk about during the red day recap here today and I’ll see you guys back at it first thing Monday morning. Enjoy the long weekend. Monday morning. Hopefully we’ve got a good gap scans, some good stocks and we could start getting back on a little bit of a hot streak, a little bit more momentum. This week has been a wash. I’m down, let’s see, made 1,800 on Monday, lost 2,500 Tuesday, a thousand yesterday, so 3,500, 4,800, so down about three grand on the week, whatever. This is a wash week basically. I was up I guess about 35,000 before this week, so still up about 32,000 on the month, which is a great month. This is a week of rest. Good Friday tomorrow. Be back at it Monday morning. Try to really find some momentum. All right, that’s the game plan. So you guys on Monday.

All right, so we’re going to do a quick midday recap here, Thursday. This is the end of the week. It’s been a pretty lame week. Really, we haven’t had good follow through in general. Most of the momentum has been … We’ve seen some momentum on penny stocks, like literal penny stocks. We’ve seen some momentum on higher priced stocks like Qualcomm. We’ve seen some momentum on higher float stocks like UXIN, but we haven’t seen a lot of momentum on the sort of price range of between $2 and $10 which is really my go-to price range. So today’s going to be my third red day in a row. The good news is that I’m continuing to keep the losses small so down 1,300. Again, it’s not more than I would make in one … I’m not going red more than what I can bounce back in one really good green day.

But look, I’m red across the board. I mean, really everything that I traded, I went red on. Just not seeing, we’re not seeing good momentum right now. MBIO was the one I started on out of the gates and this one’s kind of frustrating because it gave this really sort of impressive and surprising red to green move from 8 all the way up to 10 and I got in right here on this micro pullback. It hit a high of 8.85. It then pulled back for a second and I got in at 8.66 but after I got in, it dropped to 8.37 and I was in it with 6,000 shares. So I was down 30 cents a share, 1,800 bucks and I was like, “Oh, oh. This is going to be a big red trade. Then it came back up to my entry and I got right back out break even and then it rips all the way up to 10.

But you know what? The rules for me state that if I get into a trade and I’m instantly down big on it, I got to change my focus from trying to make money to just trying to get out flat, which is risk management 101. So managed the risk on it. But then it ran without me and then it came back down. I took my second trade on it right here, anticipating, and this is a little risky. I got in at 9.27 with 2,000 shares, anticipating the first one-minute candle to make a new high, would give us a retest of 10. But then it did drop and broke 9, I had to stop out and so I went red $571 on it.

My second trade was on IMUX. I tried to take a trade on this coming out of a circuit breaker halt. I knew the risk was high. I only traded with 500 shares. It just squeezed up here, got halted at 18. Hit a high of $20.69 and then faded back down. So not a big deal there. UXIN was my third trade and that one put me down $63. On this one, I saw this long period of consolidation and as it broke right here, I jumped in. It hit a high of 3.18 and then came back down. So it’s still in range, but there’s for me just no point in holding these for a long period of time. One of the things you deal with when you hold stocks for a long period of time is your exposure risk. The longer you hold, the more risks you have that something happens while you’re holding and so on this one I just got right out.

Then the last one was BOXL. Kind of, I don’t know, jumped into it as it was breaking over the highs. So the high of day, this is a high of day break set up. The high day was 34. I jumped in at 33. It hit a high of 45, that’s 11 cents and then it came back down to 4.25. So the setup there was I was trying to scalp 10, 15 cents on the break of high of day, but it just didn’t hold that level at all and immediately started coming back down. So cut the loss there of $583. But again, any day that I can experience loss without getting emotionally charged, without getting really, really frustrated without hitting my max loss. It’s a great day.

One of the things you have to realize as a trader is that loss happens. Conditioning yourself to experience loss and not get bent out of shape about it is really important. So, today’s another one of those days where it’s like, okay, for small losses, it’s really not a big deal. Obviously, yeah, being down 1,300 bucks, the small losses add up. Of course they do. But I’m still sitting up, I don’t know, 31, $32,000 on the month, still sitting up over 150,000 on the year. So, when you look at the big picture, this is just a blip. It’s just one day or a series of three days where the market has been a little slow. We haven’t had really good momentum. It is a holiday week with the market closed tomorrow. So maybe not totally surprising that it’s a little bit more difficult, but it’s just part of the deal.

So really a characteristic of a trader who’s going to be able to make it as one that can handle, take in a couple of hits, not get rattled, step back maybe a little bit if you need to readjust and then get back at it and not give up. It’s not about how many times you get knocked down, it’s about how many times you get back up. So I’m bummed that we didn’t see better momentum this week. Yeah. I see IMUX curling back up a little bit. This is one that I kind of looked at on the daily chart and I was like, “If it starts to really get volume, it might do something pretty impressive, but I can’t take, no way can I take big size on it.” It’s too expensive. The volume is too light. So I just kind of have to sit tight and watch it and I took a small position on it, but nothing serious. The volume still is very, very light.

So I don’t know. I don’t think it’s good to do anything. I think at this point traders are calling it a day, shutting it down for the week. I’m sure that there’s some traders that did well this week. But I think generally the consensus from what I’ve been hearing from a lot of traders is that it’s been a bit of a difficult week. Not a lot of really good follow through. Not a lot of really good momentum. So a good time just to ease off the throttle. Today’s not a day to be swinging with 12, 15, 20,000 shares by any means. Today was a day to just take some small size position, see if I get something going and I just couldn’t.

So I did end up having four losers. The final trade was on BOXL. Gave that one last trade. I was thinking to myself, I was like, “Should you take a fourth trade?” Because I’ve got this rule about three losers but the rule that I have about three losers is because typically if I’ve had three losses in a row, I start to get emotionally fueled. I really wasn’t feeling emotionally fueled. I was just pretty calm. I was just sort of neutral. I was like, “All right, well, whatever.” I’m still in a good head space and that’s probably because I was only down 750 bucks. It wasn’t a big deal. So yeah, I took the trade on BOXL, which could have worked but and maybe if I was a little faster it would have, but it didn’t.

So yeah, I’ll just be really excited when we get some momentum back in the market. MBIO was definitely volatile today, but not in a way that for me was super predictable. I know some of you guys flipped short on it. Congratulations for those that did. It sold off quite a bit. Despite having shares easy to borrow, I didn’t flip directions on it. I wasn’t super confident on the right entry point. So I just kind of sat tight on it. UXIN, yeah, you can see kind of popping up and making these little moves, 4.25 was high of day. But I don’t know. But you’re talking really literally about a like a 6 cent move right now. So you’re just not getting a lot of follow through. I mean, 6 cents, even with 9,000 shares, there wasn’t a lot of money.

So overall market. a little bit red, last three days, last four days actually. I don’t think that’s has much to do with what’s been going on with my trading. I do well pretty much regardless of what’s going on with the overall market. But yeah, I’ll just be, I’ll be really looking forward to Monday. Hopefully we see some good momentum. We see some stocks that really start to take off. I think probably a lot of traders started on the sidelines after the last couple of days of things being a little choppy. So we need to see things start to take off and when they do, I’m ready to step up to the plate but no sense in swinging if there’s nothing there to swing at, it’s just a waste of energy, waste of time, waste of commission. So trying to follow those rules, stay calm, relax.

It’s like, imagine for instance, like I’m just picturing for whatever reason being on a lake and like some of the … You know how they have those fishing challenges where you go out on your boat and see who can catch the biggest fish. You’ve got a timeline on the challenge. So let’s say challenge all stops at 4:00 PM and you’re sitting there at 3:00 and you haven’t gotten a fish yet and you still have two choices. You can either just start [inaudible 00:11:42] sending that line into the water everywhere you go, getting frantic, getting stressed out, or you can be calm, cool, calculated, look for where that big fish is hanging out, send your line out there and get it on board. So it’s just the pressure.

I mean, for me it’s a little bit of pressure I suppose with the million dollar challenge, but I’m not thinking about that too much. I’m more just thinking about just kind of the pressure of wanting to finish each day green, wanting to finish each week green and sometimes you’ll get it and sometimes you won’t and it’s all right. We’re all really fortunate to be able to do this job. Even on the days where you’re a little bit red, we’re really fortunate. I got up to come to work here. It was 15 feet. I’m in a hotel room right now, but 15 feet to walk over and sit down at my laptop.

Certainly today, as an individual day could have been better. But the fact that this is my job is awesome. I mean, it’s really pretty, pretty incredible. So I always have to just be grateful for that and not get too bent out of shape when you do have a couple of red days. Just keep it in perspective. All right, so yeah, I saw SSLJ earlier. Someone mentioned it and I was like, “Oh, that’s actually a pretty nice daily chart.” The problem with SSLJ was that at the time the volume was only 6,000 shares. That was back here this time. So I was like, “Well, obviously I can’t trade that.” A little volume coming in here now. The trigger on the daily or I guess I would call it a trigger would be right, let’s see, [inaudible 00:13:29] right there and then that gives you room up to the 200 moving average, which is 6.40 but again, even right now you’ve only got 80,000 shares of volume.

So if I wanted to buy a 6,000 shares of this stock and sell it, that’s 120,000 shares traded. That’s more than 10% of the volume today. There’s not enough liquidity to get in now without getting lost slippage. So that’s fine. Wait, wait, maybe there’ll be another day that this one gives us a good opportunity. So popped up right back down. That’s kind of what we’re seeing. The pop and drop action and that’s the way it is when trading is slow. It’s sometimes it’s like that. So it’s all right. I’ll be back at it Monday morning, back in my office. I’ll see you guys then. All right. Bye everyone. 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.