Chapter 2 Trading journal #84–05/09/2019 -$48

Main takeaway.

• If the tape is not converging with the chart and I’m getting stopped out more than 2 times — this is a big tell. I need to re-evaluate the setups I’m taking to make sure that I’m taking the right subset.
• Today I was not shy of using size and holding. In every position, I have sized up to 500–600 shares. It was a great learning experience in terms of risk management, where to add, where to cut it off, and where to hold. I should have been more flexible with my covers.
• The market makes moves in periods. They are more frequent at the open (say 6–12 minutes) and less during midday ( 45–70 minutes) hence I have to be able to time my entries in accordance with all the things I already factor in and the natural cycles of the market.

TBLT +$29

1st trade — I was up 3R here — the move was done and after it held 1,08 for the second time — I should have gotten out

2nd trade — the same mistake, was short full size — was not covering even a penny, was holding for the break of 15s. At this point I should have recognized — that bids are holding, this is perhaps frontside. It gave me a chance to cover in 16 and then made a higher low — This was the last sign to get out.

3 — Should have been a complete avoid on the short side. At this point, it was a confirmed frontside.

4 — was ok. Saw the offers were reserving.

5 — Again I was not able to get perfect entries and got chopped in the range. This is something I’m working on. I need to master this range

6 — Scaled in after the topping action (triple top)

NVCN +$13

AKRX -$2

NBEV -$3

Should have gotten long. I was thinking about it but did not get the confidence to do it.

AETI -$85

The main takeaway here for me is:

• First of all, I got stopped out here 7 times. After 2–3 times — I should have asked myself what is wrong here. The chart was not conforming with the tape. Offers kept being taken out. From now on — if the chart is not following the tape. If there is no convergence, I will not trade it off the tape. I will take only the setups of the charts. Like here, I should have taken the last trade after the trendline was broken,
• In general, the loss on this name is completely fucking unacceptable. I will make sure to eliminate this type of loss completely.

Read next: Chapter 2 Trading journal #85–05/10/2019 +$15

Read main Chapter 2. “Peter, you have to start putting green days on”

— — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — — —

Resources

1. Connect with me on Twitter, Linkedin, or hit me up on Telegram
2. Table of contents — everything posted up to date.
3. Subscribe below to get new post notifications.