February will go down as my best month since I have started this entire journey. +$2,645 on the month ($2,148.58 after fees and commissions) and on a much better path than previous months. Towards the end of the month as the market started to slow down and shift I forced a couple plays that just didn't fit the strategy I have been trading recently. As of lately I have been trading FGD overnight & Multi-day runners approaching a key breakout level overnight, all OTC's. This month was a great lesson at how fast an account can be built and how trading proper risk helps with cutting losses fast. This month was honestly scratching the surface of $3k in profits until just this past week where I took a nearly $800 loss on a pretty reckless overnight trade on $MFST... It was a FGD breakout with volume and news. It was still early in the movement but I think with the market shift with OTC's being halted and the overall market falling it was a very risky setup. I also bought too early into the close for what the market was doing recently to buy this AND I didn't hold my risk because I didn't want to take a day trade on this one. So I broke the biggest rule I have (mostly because I did do it once earlier in the month and ended up banking big time on it...) and added to my position. After doing it I realized I made a massive mistake very similar to $LLLI the previous month. Then I broke the next rule and didn't cut instantly the following morning when it opened at the same level it closed at AND I held to see if it would bounce. This one just panicked and I cut at a nearly 50% loss. WTF was I thinking?!? Anyway that ruined my mental space pretty bad for the rest of the week. I sized down to half the size I had been trading. As of now my plan needs to shift a bit. Its likely afternoon FGD will not be overnight holds for awhile and I will need to shift into listed stock knowledge, which will be good for me since I can't be a one trick pony. I also will have to shift into better setups later in the day. Right now what seems to be working with this FGD plays is a crack in the afternoon that holds VWAP and then a run into the close. This might be something to look at for overnight holds OR straight up just selling into strength into the close. With these OTC's being halted by the SEC the OTC market will likely take a big cooler in the coming weeks. That being said when this play starts to come back around again, I will be ready. I created some spreadsheets of my trading data and I am 49 out of 68 on these two setups over the last two months. I didn't trade Dip buys all that much but have a 66% win on those so that is another setup I need to take another look at in the coming days/weeks/months on the OTC market.
I am happy with Feb but its over and it doesn't matter what happened last month. All that happens is what is going on this month. This month I do have some goals in mind. I want to set a goal to let my winners run a bit longer. I tried to do this last month but my brain just says to take profits which isn't a bad thing but I def missed out on much larger gains because of this mentality. My goal might be a mental thing where I need to sell half of my position on overnight winners at the open and then wait for the morning spike. Afterall the play on a FGD overnight hold is to be a part of the morning spike. Selling half means I locking profits where I am locking in profits now but increasing my sell avg by 'X' and this could really make a big difference. My second goal this month is to not take another massive % loss like I have the last couple months. I am happy that February was only one massive % loss which is an improvement but I need to stay disciplined enough to not let it continue. My third goal is to really dive into listed stocks and see if a FGD swing play might be useful to my strategy. Right now my three plays I am focused on are OTC biased for the most part (panic dip buys, FGD/Breakout afternoon buy to swing overnight & Listed AM Low Float Dip and Rip) so looking into applying my strategy some how to listed stocks would only make me a better trader. To get there I think I need to really make sure my entry is much much closer to support on my buys and to not get greedy with these plays as they are much choppier and who knows if a hard pull would stop me out making a winner a loser all because I didn't take profits. So let my winners run by taking profits along the way, cutting all losers FASTS and when risk level is hit and learn listed trading strategy.
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