Strat Check –
Finally back to the excel models after a while. I realised in the last two months I have been shitting quite a bit on my strategy and taking bouncers that were not gaping down enough.
I did some revisions and the stats popped back up to the good numbers that got me to play this set-up in the first place.
Only going to look at >15% gap downs for bounce plays henceforth. The problem with this is that these set-ups come rarely. The road to success is a long one and I will have to keep growing as a trader.
Saw opportunity for a short on this beaten up gapper. As you can see, my size was tiny but I was hopping for a pop to risk off 5.5 but that did not happen. Furthermore, my full size risk was round about 50 USD (gotta start somewhere in life) and hence I took a quick starter.
Still learning and growing on this set-up. Playing it real cautious and being super weary this month.
My wins have been small but I have also been pretty accurate. Going to try to keep being smart and having risk management in mind.
Played this a bit off on the first trade but alright on the second. Saw the thing curling up so I took it off. Second time playing this set-up. Let’s see how this goes aye.
Oh I played this thing beautiful. Got a god damn killer entry as it hit first support at 18.25. Hoping for a pop at open but that did not happen. Took shares off early as it looked volatile to cover my bases. Then immediately cut the remainder the moment 18.25 broke. The rebound did look close but never happened – only visible on the 1 min chart.
Played this like a beauty and so proud of this trade. Let’s keep doing this for the rest of February.
This was a bloody month as I clocked in my biggest losses since July last year. So what happened?
- I got cocky! – The first two weeks I started taking trades rashly and quickly. I jumped in way too early and my timing was waaaay off. I simply did not respect my strategy.
- I was chasing stuff and that is definitely a bad sign.
- I did not wait for the trade to come to me and maybe was too eager to succeed
- Risk Management! – This is a big one! This resulted in my overtrading. I forgot about risk management and should not have taken trades with only a 1 to 1 risk/reward ratio or less. I have to think about this more next month.
- Sizing – When I got scared I downsized. I also downsized when I was playing pullbacks and that was definitely not a good strategy.
Next month I will be different and change my ways. The market has certainly humbled my dumbass this month but I continue to persevere, learn and strive forward. I will be more careful this month and make more wise choices as I continue on this long, tough, arduous but ultimately rewarding journey from zero to a hopeful hero.
Super tough fought day. Had six trades!
This sucker just did not work and I hit the sell button twice. Hence I entered into a short. Got out – Well shit does happen.
- As you can see in the chart above, this was interesting. First entry pre-market was a loss as LOD broke. Good exit and took quick losses.
- Re-entered on the first new high as the second support held. Good trade here and took profits on pops and even managed to top tick the candle.
- Re-entered again for the pullback – rushed this a bit as it did not make a new high yet, even though the ask was showing a new high. Got stopped out.
- Played the pullback for a second time. This time it worked. I did not pussy out on size and sold at pops. This sucker took hours to build up and it was a pain waiting this out. It was the longest time I have been in a position for. Definitely a good learning point.
Walked off green today and I have to say the good trading outweighed the bad today. I was sincerely happy.
As you can see I forgot to take some screenshots and decided to post part of me account statement.
Was eyeing two stocks today and this one provided a nice pullback opportunity. I am proud of this trade. It just did not work. I did not chase. I got in with good size and made an entry only after pullback confirmation and finally exited only as my support broke and minimized my losses significantly. Truthfully its a happy loss here.
I am down bad this month but only because of poor trading in the beginning. Its a long journey and I have accepted that. I have to just keep grinding.