Finding Income
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Finding Income

Trading Journal for 2/27

  • It is currently 8:44AM PT
  • WPG is showing on scanners as hitting intraday highs…it’s trying to break a long downtrend after earnings and is running into resistance on the daily chart. Probably no trade from me on this one…
  • The SPX has a big gap down and is now below a major trendline on the daily chart. Will keep an eye on further drops for trades on TVIX
  • Nothing on my volume scanners at the moment…looking at the pharma stocks I was watching yesterday, most of them are up 40–50% today. All of them are currently trading below VWAP.
  • RDUS on the scanner…wide spread and low volume…no trade
  • HGV on the scanner…running into gap resistance…no trade.
  • MRNA bouncing off of intraday low…halted on a pullback lower…gap down…red candle…red candle…low volume…no trade, even though it looks like an ABCD setup, not without more volume
  • PDCO setting new intraday high on low volume…no trade, too risky
  • SMED…no trade
  • I’m seeing a lot of stocks with earnings call today on the scanner…
  • Lots of ascending channels setting new intraday highs…not enough volume for my taste…
  • TEDU looking to test pre-market highs…watching…no breakout
  • NTRA up in range bound action after earnings call…hanging out near daily resistance…no trade
  • I’m watching for the SPX to break below 3008…
  • SDGR…recent IPO stock…expensive with a wide spread…probably beyond my skill to trade.
  • Maybe I should step up and trade some of these ascending channel stocks…I mean, they are clearly going up…OK, I’ll keep an eye out for one that’s grinding higher in an ascending channel and not approaching a daily resistance…
  • All of the volume is currently in red stocks…
  • Nothing can inspire less confidence than a gapper going up 73% but is somehow simultaneously printing a huge red candlestick.
  • Maybe I should go long on ECPG as it’s grinding up a dollar an hour…
  • SERV testing $39…also at daily resistance…earnings call at end of today…
  • ESTC making new highs but wide spread…not enough volume for me.
  • KRMD new high…wide-ish spread…no momentum…
  • Watching ECPG going up…yeah, I really have no idea how to trade a stock like this…trending up with low volume and wide spread…I’m just gonna paper trade this one :)
  • I just watched KRMD do a false breakout…lucky I didn’t trade it.
  • So, this is kinda what I’m talking about: making new highs in an ascending channel. The price touches the top of the channel, which also happens to be a high, and then immediately pulls back.
  • Meanwhile, my paper trade on ECPG went pretty well…I would have made like $0.20 per share…but then it had a big pullback 5 seconds afterward :P
  • Attention to VXRT…coming above VWAP, looking to test $3.00…volume increasing…resistance at $2.90…it needs to hold above $2.80…
  • Rejected, pull back…but bounced off of VWAP…
  • No trades from me yet…it is now 10:00AM PT
  • MLSS just printed a huge 15% green candlestick on the 1 minute chart…then an immediate pullback…
  • Eyes on GNPX…testing $5.50…it is super choppy…
  • Well, that happened…I feel like I should have been able to trade that…but, in any case I’m glad I didn’t lose money here.
  • Look at those red lines! Magic, no? That’s what tends to happen on decreasing volume: consolidation within whatever prevailing current chart pattern. But, notice the big green move: a sudden volume spike to break out of the ascending channel. Had I chosen to short; I would have taken a loss.
  • Look at that: a volume spike to break down under the trend line. I could have been hopeful and assumed that it would bounce back up at the trendline, but without a confirmation of a move, I would logged a loss.
  • Attention to SMED…it keeps making $0.05 to $0.10 breakouts, but whenever I look there’s always no volume…like exactly 0 volume.
  • Meanwhile, people in chat are posting big gains….in the simulator. How are they managing that?
  • SPX coming into resistance below major trendline…looking for a break under 3080…looking for a break of $87.00 on TVIX…
  • I hesitated on my entry…I should have been able to book a $200 profit. I also was not able to exit very efficiently, my market order took about 3 seconds to fill…
  • The SPX is now down to 3072…TVIX is at $87.70 holding under VWAP. Even though the SPX continues to drop, I shouldn’t trade TVIX until I can confirm a break of VWAP.
  • Time to take a break and read the news…I am up $15.50 on the day…
  • TVIX break out to $89.90…pullback to $88.90…waiting for continuation…SPX at 3059…no continuation.
  • Break out above $90.00! Was able to get in for a small profit there!
  • What I’m realizing is that my trading client just isn’t performant enough to trade this stock…not when it takes seconds to fill a market order…
  • SPX at 3045…looking for a break under 3040…for a breakdown on the 15 minute chart…this one would be big.
  • Notice the green trendline. Notice that it’s only gonna take 1 more drop to retest low of day. There’s nothing but air between 3040 and 3000…no real support levels. Next significant daily support is a critical one at 2960.
  • I don’t like how all of the big movers today look on the chart. 5 coronavirus related medical stocks, all up 50% to 70%, all trading near or below VWAP.
  • Meanwhile TVIX is in a huge range between $88 and $92…dare I trade it? Do I dare?
  • TVIX consolidating around $92.00. SPX hovering near 3040…
  • Watching SPX, CODX, and AHPI…CODX testing VWAP with volume….AHPI up 123% on the day and testing high…
  • Consolidating….looking for TVIX to break $93…
  • Medical stocks grinding up…now mostly trading above VWAP…
  • SPX is holding strong near 3040 support…
  • AHPI is just ripping. I hesitated at $9.75…missed out on a good one. Should have bought and maybe held into the halt.
  • AHPI about to exit halt…watching….gap up! Market order in…probably a bunch of slippage there…out as it starts to pull back for a quick $32.50 profit.
  • Holding above $10.40…coming back up…may buy back in on break above $11.20…current high at $11.49…breakdown to $10.26…..buyers are stepping up to try to support $10.40…
  • $10.40 broken…2 standard deviation above VWAP broken…trying to keep above $9.75…back up to $10…
  • Attention to VIVO…will buy in a break of $8.25….not gonna happen.
  • Back to AHPI…it’s trying to climb back above $10.40…above $10.40 it’s got a shot at going higher…
  • Attention to LIVN…wide spread… looking for a bid above $70…
  • Attention to APT…break of intraday high….quick scalp for $25 of profit…momentum is slowing down on that one…I almost got nailed.
  • Back to LIVN…looking for a break of $71…wide spread…will buy if I see a bid above $71…? Not gonna happen, pullback.
  • APT big pullback
  • Attention to AEMD…testing $3.25…it’s not going…better check charts…daily resistance near $3.25…big pullback.
  • Back to LIVN….no orders on the book to buy…not gonna risk it…I’m out of practice when it comes to hitting the bid on a wide spread…
  • Back to AEMD…consolidating…
  • Back to LIVN…making new highs on low volume, it’s out.
  • APT consolidating…..probably before tanking…it’s out.
  • LIVN volume spike…$0.70 spread on a $73 stock…I don’t really have the skill to manage that.
  • QGEN…what a scary false breakout…
  • Attention back to AEMD…
  • SPX still holding strong at 3040…TVIX starting to come down…
  • LIVN is done:
  • So is APT:
  • Watching AHPI for a possible continuation….waiting for AEMD to break $3.25….
  • Attention to TPC….range bound, low volume, no trade…
  • APT curling up…
  • AHPI looks like it’s done / consolidating
  • APT volume is coming down…
  • SPX still holding strong near 3040…
  • OPGN breakout……..missed a move from $2.00 to $2.05….lucky for me looks like it’s not able to hold above $2.00….
  • Kinda disappointing, I should be skilled enough right now to be able to trade that with 5000 shares. It would have been a $250 profit had I done it.
  • IMRN huge move up…it’s halted…looks like it went on a run from $3.75 all the way up to $4.70…if only I weren’t looking at OPGN at the time…
  • Time to take a breath…be ready to trade IMRN when it comes back from the halt…
  • Meanwhile SPX coming down…no breakout from TVIX…
  • IMRN gap up…high at $5.18….it’s coming down…happened way too fast for me to trade…
  • Watching PHUN…ready for a 5000 position….
  • Watching DYNT…
  • Gotta be careful with these $1.00 stocks…
  • LRN break of high…it’s range bound, no momentum….
  • QTNT….is it gonna pop? Nope, big pullback.
  • VIR, break of high…$1.00 spread on a $72.00 stock…pretty much untradable by me…
  • AHPI coming up…it’s halted…
  • Gap up…waiting for the first bid above $12.50…
  • Quick look at APT…range bound… big pullback…
  • Back to AHPI…consolidating….holding above gap…still waiting for $12.50 break…ascending triangle…rising volume…
  • Break! Quick 500 share position for a $65.80 profit….halt.
  • I should have held that….I would have made 10x more :/ I really need to work on that.
  • AEMD break….is it gonna go…? Is it gonna go…? I feel like if I have to ask twice, it probably isn’t gonna happen. I wonder if that’s another way of saying double top.
  • Waiting for AHPI to come back from halt….
  • Quick look at OBCI….ascending triangle….I have a minute to check it…no continuation…
  • Back to AHPI…gap up….red candle…….holding gap support…….doji…green candle….resistance at $15…it’s gonna halt…should I buy?
  • Hmm…I really need to figure out how to play this kind of move…
  • APRN huge green candlestick…it’s halted.
  • OBCI break….missed it as it printed a shooting star…trying again to break $6….I have 1 minute….another break…another shooting star wow. I’m not fast enough to trade that kind of fast pullback…
  • Back to AHPI…looks like it’s on a 10 minute halt…will come back at 12:38:31…
  • Attention to APRN…also on a 10 minute halt…nope, it’s back…huge doji candle……looks like it’s moving because of acquisition speculation…I’ll set an alert for when if it comes back to highs…
  • APT pop…consolidating….big pullback…?
  • Bought in at $17.79…got caught in a big pullback. Bailed at $15.32.
  • Attention to APT…not gonna happen…
  • Attention to LEDS…nope.
  • VIR going on a run…..nope
  • NVAX big move…
  • Quick look at AHPI…gap down
  • Attention to TVIX…is it gonna pop…?
  • Traded a quick pop…total $211.15 profit on TVIX so far…
  • Another pop, another $100 of profit…
  • Another pop…$40 profit…
  • SPX still dropping, but TVIX has cooled off…
  • I am up a total of $357.50 on TVIX…
  • Overall down $790.90 on the day.
  • I would have been very green had I not made that single bad trade.

First up, the good news:

From these two charts, it’s pretty clear that I enter late. The first late entry (middle of the top image) was due to my hesitation. I should have been in for the break of $87 up to $88. I exited too early.

Then, I should have been in for the break of $90. I don’t remember for sure, but I should have spotted the break of $90. Clean break, I should have been able to ride it from $90 to $92. There’s no way my market order slipped a dollar on entry. Was I not paying attention at the time?

And then, the final set of trades I should have been holding and adding. I was probably looking at a different stock when it broke $93.50. I would have been in going into $94.00, and I imagine that I could have added on break of $94.00.

Overall, early exiting is really killing my profits. Maybe next time, I should try holding winners with a stop and then just manually increase the stop order until the price comes back down. After all, what I’m looking for is to enter on a breakout, and hold if the stock starts consolidating at its higher price. I can then add on a continuation and move my stop orders up.

For AHPI, it looks like it gapped up after halting from $15.50 to $16.50, pulled back to $15.75 or so, and then started to rip. Looks like I decided to enter on break of $18.00.

I’m suprised that I couldn’t enter closer to $17. It was probably a combination of hesitation and market order slippage. I do remember that the spreads were slightly wide, but not enough for me to think it was a problem.

So, fine I got caught in a pullback. I should have done a knee jerk sell. Instead, I think I waited to size up the pullback. I certainly should have sold once it fell below $17. Or, at the latest sold as it came back above $16.50.

Overall, how I should have traded this was: buy for the break of $12.50, add on break of $13.50, hold into the halt, continue holding as long as it stayed above $13.50, aggressively add as it comes back up above $14.00, and keep adding as it broke $15.00. Continuing with this way of thinking, I would have held as long as it stayed above $15.50, probably still be caught by the pull back, and sell off my position on the way down. In this scenario, I would be up a bunch, give back like 15% of my profit, and ended happy.

Oh well. As long as I’m learning these lessons and getting better.

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