MikeyMoe

OTLK today part deux: Looks like an "ABCD" or "gun-chart" pattern developed through the midday for a strong end of day run. Looks like the 2.40s area held up nicely during consolidation. I am still glad I chose to walk away today with my single, wasn't sure if I would have been focused and think I would have got myself caught up in the volatility and played bigger with my risk from my realized profit. Realized profit is real money in the account and should be respected, not used to increase risk on an evolving trade where your mental edge (initial thesis) is lost. Will work on strategies to step away and come back focused, and as always will keep studying!

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MikeyMoe

OTLK today: Intention was to dip buy morning panic. Saw the steady decline out of the gate and started wondering if this was a fader on account of recent dilution. Was not comfortable trying to find a bottom with the gradual decline, was hoping for a hard crack to the 2.10-2.20s and it didn't come. I was thankful to be in chat this morning and observe Mark Croock talk about how he was sizing in on this trade. Price action appeared to squeeze to 2.40s which was a key support area pre-market. This area held and there was A LOT of volume coming in. This made me feel comfortable to buy on the retest of this support and enter long for a breakout over premarket high. It did break the high and popped up to 2.60s and quickly dropped back to high 2.50s. I thought we may be in for some consolidation before another move as the volume still seemed to go that way. But, the selling pressure picked up. I think lot of profit-takers stepped out and perhaps a few shorts averaged their position up. Regardless, I was not able to recognize it fast enough and lock my gain at a higher. I didn't give myself a real target above the premarket high to take profit on, going forward I may try to identify target zone where I will happily take my single, walk away and come back later to reformulate a thesis. After yesterday's personal fiasco with discipline, greed, and trade management I will happily take the 91 profit. Enjoy the long weekend everyone!

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MikeyMoe

OBLN today. Did a good job identifying and acting on the dip buy. Did a terrible job otherwise. After taking pause to reflect I now realize the influence of emotion and psychology. It's one thing to hear it or read it and its another to experience it. Tuition paid to Mr. Market. Dealing with the self frustration of continuing in irrationally after my plan. Hung around when I had no business. Was so weird to capture fast gains on the bounce and with the huge volume spike I lost focus of the picture and the pattern--got caught up in the recent plays of biotech squeezes thinking that this one would squeeze further after the initial spike, but I did not allow the price action to play out before jumping in. Had to cut that for a loss, erased my gains on the day then if I had to be honest part of me wanted that revenge trade late day hoping for a short trap and squeeze late day into close. I was the one who ended up getting trapped; first and foremost, buy myself; and secondly, trapped in price action late day playing guessing games on a no play. This was clearly a dead cat bounce and long kiss goodnight from the very first videos I've watched, but was blinded by emotion. Very powerful. Ended the day with a good loss and black eye, but live to fight another day and ensuring I come out of this with some insight.

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MikeyMoe

OBLN today: big premarket gainer on news, thesis was to "dip buy" and sell into morning bounce/spike. Went to close my position as my risk level was breached, but price action managed to hold at that level. So, I cancelled the sell order and ended up selling a fifth of my position. Made such a stupid mistake selling into the spike. I did not account for my open position when I sold into the spike. The price jumped and I sold my original full order size instead of the open size--ended up short a fifth into a halt as the stock spiked. Had to buy into a spike to cover a short I had ZERO interest and business being in. This fifth of a position killed half of my gains! So careless on my part--I got lucky!! Looked to dip buy EOD (my entries at both trades were off, but the EOD entry was awful—maybe rattled from the earlier mistake). I let it ride a bit risking with some of the realized gains on the day. This provided me with the patience to grind through the bottoming action. I didn't feel comfortable averaging down in the .80s, but saw the gradual grind up from that level as a sign that it could perk later and have a secondary squeeze. Seemed to be a lot of sell orders going through near the bottom with a solid base/support holding up, thought that this could create an interesting squeeze as more volume came in. I sold too soon. Wanted to lock in the minor profits near VWAP from my poor entry earlier. I left a quarter size to run and didn’t really let it run, locking in before a retest of higher support level. It ran big to new HOD just after closing my position. Lots to take away from today. Glad to be green.

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MikeyMoe

SMRT today: I got trapped at the top in a failed breakout. Cracked hard and quick below my support, but just as quickly retested and looked like it was going to hold. It cracked again and I wanted to cover into strength, this secondary crack had me cover below my defined risk by a few cents. Ended up with a loss, but still feel it was a good cover despite the rapid price action at that level. Total loss of 200, but if I bag held it would have been closer to 750 on the day. The loss stings a bit, but not nearly as much as it could have. I liked that I was patient and waited for the pattern to set-up, but wound up getting myself trapped at the top. After reviewing video lesson #16, "the trap," I understand that this sideways price action (and my entry) would have been better suited for an end of day move. However, earnings next morning with this ticker, so the typical ramp into close (short squeeze) likely would not have been there. Perhaps not such a SMRT trade-ha! Good learning experience--trying to fail forward.

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MikeyMoe

NOVN play yesterday: after studying some more, it's clear that it was an over-extended gap down. I saw the spike off of the initial washout and got F-O-M-O. After reviewing the lessons I realize how irrational and emotional I was--chasing the spike anticipating a r/g move and squeeze higher. I should have waited for the break of r/g resistance and retest as support before entering and basing my risk off of that level for the long play. Instead I got stuffed at my entry--dead top! I let this stock get to me, didn't cut as quick as I should have (RULE#1!) and experienced a decent loss. Fail forward! study hard.

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MikeyMoe

Was away from the market today, saw MBRX set up today with what I suspected out of yesterdays trade. C'est la vie! Always another play.

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Received 346 Karmas
jtran
jtran Feb 24, 8:19 PM

@GroundUp not sure what you have against this guy. Just because he isn’t posting his trades on Profitly or coming out with material it doesn’t mean he lost everything. All I know is that mason is one smart dude and knows what he is doing. He will definitely succeed.

atlastowander
atlastowander Mar 11, 8:24 PM

Thanks for the blog post man! Super helpful!

DominicanWolf
DominicanWolf Apr 14, 11:50 AM

Awesome post! It is inspiring me to keep learning the market and pursue my dream of being a full time trader! Thank you Mason

MikeyMoe
MikeyMoe May 19, 7:43 AM

Lots of good nuggs of wisdom here. I'm almost 2 months into the challenge now and glad to come across a post like this. It's refreshing to see some long bias, everywhere I turn it seems that people want to drop the hammer on stocks-ha! I can see where you are coming from with understanding the mindset of a short seller to help with long setups--Spikeability and Short Stocking have given me some perspective on this, as well as SEC filings and the book the art of short selling by kathryn staley se

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