Hello people of Profitly.
I'm writing this post as a beginning of my small account growth program. If you saw my earlier posts, you know that I was profitable for a small while with my small account. Unfortunately I've had a family emergency and had to take some money out of my account and take a couple of days off.
This puts my small account at around 800 and something dollars at the moment. I feel a bit annoyed because this is slowing me down but not as much because I am using Tradezero as my broker which have really cheap and sometimes even free commissions and so far they have been working great and their customer support was amazing and quick. So as long as I manage my risk I should be able to build this account up again even if it takes a bit longer.
The point of this post is to write out my strategy and rules I follow so I can keep myself accountable and also hopefully the shame of writing a bad recap here will also add in me following the rules. As I've said I haven't traded for a couple of weeks so I thought this would be a great way to start out on the right foot.
Now for my strategy:
I look for low float, low priced stocks that are active in the premarket and have news towards them.
I also look for low float, low priced stocks that have chart patterns on their daily chart that could make them explosive.
That is how I make my watchlist.
Position size: I look at the price action and determine a "must get out" point, if that point gets reached I will take max a 10% loss of my overall account. That is how I decide my share size.
Entries: I look for intraday U shape or ascending triangles patterns. I enter on the break of the resistance with a limit 1 cent above.
Exits: I always get out when a 1 minute candle makes a new low, this assures my losses are small and even though it might sometimes reverse after I can always reenter and again with my commissions not being an issue that is a better strategy for me. Also I consider taking profits at the next resistance level if it gives me at least a 1:1 risk reward from my "must get out" stop.
The next few days will be focused on keeping losses as small as possible and wins as predictable as possible, my mission is to string a couple of green days in a row to get back into the flow of things.
As long as I follow my plan I know I can do it and I hope all of you will roast me hard if I mess up and ignore a rule in the future.
See you tomorrow with the first trade recap.
Thanks a lot and yes everything worked out fine and my small trading profits actually played a nice part in it, so I more motivated then ever.
Sounds like a good plan - gl !!
just surfing and stumble into your chart @minibubble definitely a good start
ill be following you. keep it up
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