Chapter 1 Trading journal #17 - 01/29/2019 +$52

Day overview

• For the morning follow your plan. Know when your setup is invalidated. Morning pop>HOD rejection. V-reversal + high volume consolidation means = exit short or go long
• Do not anticipate Bounce, wait for rejection from the support
• Get out > if the setup has been invalidated
• SSR stocks, all entries should be only on the pops. only on the levels of real resistance

Trading Journal

$TRVN — $46 — “Morning Pop” + V-reversal for break-even = “HOD rejection” failed to recognize new setup

• I recognized 1st minute failure (lack of interest) and got in. This was nice
• When this setup is present and the risk level is very well defined — I need to go either half-size or full-size.
• V- reversal + consolidation on high volume means either going long or at least getting out of your position, It also means a new setup is in play. HOD rejection, which I failed to recognize once again.
• Rule: Always get out on morning V-Reversal + consolidation on high volume. It also means that the “short Pops” setup is not intact anymore.

$BIOC -$0.75 “Breaking news”

• Apparently, I was too early on this news. So what I learned from here — do not go long — if the drop was not good enough for a bounce. Ideally, wait for volume peak (panic) rejection and only after this go long.

$OCX +$3.5 — “Low high” and entry on the wick. But it was not the wick — so Setup invalidated itself.

• Didn’t like the feel of it. So got out. Was a good decision.

$VALE +$10 “Low High” +” Trading around the core SSR”

• With SSR stocks like this should be an understanding ( there is a buyer), the move has happened before — the only way to get in is after it rips ( a lot)
• Do not get in, when there is an unfavorable position.
• Entries should be only on top of the range, after rip ( no entry = no trade)

$GME +$85 “Low High” + “Trading around the core”

• Short SSR stocks only from the top of the range
• When waiting for a wick and instead you are getting filled by consecutive candles + real resistance is way higher = get out.
• Ideally do not get in unless Resistance was tested, ideally on volume

Read next: Chapter 1 Trading journal #18–01/30/2019 -$98 “I fucked up the day” day.

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