PocketPAT

I've killed VWAP and replaced it with the 1H 9-SMA equivalent of 270 on the 2-minute chart; pairing it with the 38-SMA as well. VWAP has mostly just served me for signaling market open moves, falling a bit useless after that on slow-movers. When it IS useful for entries and exits, the 38-SMA is almost ALWAYS right along side it; while also VERY OFTEN providing BETTER risk/reward entry and exit signals over the VWAP as well. I'd bounced around the idea of adding the 1H 9-SMA equivalent on the 2-minute charts just to have a visual reference for what the 1-Hour chart looked like; but ultimately I'd decided that it would only serve as a conflicting entry/exit signal against the VWAP and 38-SMA. I've now, however, realized that it's best used as a "bullish/bearish" signal for overall momentum, to keep in mind as I use the 38-SMA for executions. With the 38 providing nearly perfect entry/exit signals and the 1H 9-SMA giving the thumbs up on which direction the stock is ultimately heading, my quick back-testing this evening has shown VERY clear and profitable moves on multiple charts. The 1H 9-SMA is usually crossed only once per day, so that cross typically serves as an EXTREMELY bullish or bearish signal for the overall momentum. I'd almost considered just using that for my entry/exit signals, but the 38-SMA constantly provides better risk/reward for both singles and home-runs. Things are shaping up ver--- OH, I've also decided to only scan for tickers with AVG 14-Day Range between 0.75 and 1.25. While I'd love to trade more volatile stocks, the cleanliness and ease of charts within this range are exactly what I need for growing my account right now. I'd considered raising the maximum to 1.50 or more after building my account to $100k, but the level of volatility that the scan results in that range provide (at least as of now) is just counter-productive, as I'd like to keep my stop forever at 10-cents. Those more volatile tickers have moves that chop far beyond 10-cents, which could easily have me stopped out multiple times. At the same time, the same tickers that I'm scanning now (with ADR between 0.75 and 1.25) are HIGHLY, HIGHLY liquid (being mid-to-large caps); so I'd still be able to trade them with $100k for easy $3k+ trading days (with just a few moves). So as of now, I'll stick to these scanner settings for the long-run =) #Bedtime

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PocketPAT

Since my last strategical update, I've returned to using 2-Minute charts. It dawned on me that if the 1-Minute charts are clean, the 2-Minutes should be even cleaner. I've also decided to watch just two stocks instead of four, since it's more focused and a second perspective will be enough to judge overall sector momentum (if I can find two top stocks within the same sector). I've realized that TradingView's Stock Screener is pretty on par with StocksToTrade (the same filters provide the same results), so I'll refrain from subscribing to STT every four months as recently planned. I've nixed the idea of trading the same stocks every day. Instead, I'll now have the pleasure of scanning every morning, choosing the two with the best charts and highest Average 14-Day Range (0.75 minimum). Unless I come up with some wild and wacky scanning idea, which required complex filters, I really don't see myself ever using StocksToTrade again =/ ... It was definitely a wild ride =) . All-in-all, STT has a phenomenal scanner, but the overall functionality of the software is VERY subpar. It took using other charting sources to realize how crappy STT's charts are and the constant crashing/overall sh*tty performance is a terrible handicap to what would otherwise be a great product. To use STT, I find that you either have to get USED to the problems or find ways to get around them for an actual usable experience (likely both). Once I got past that stage, STT was laughably awesome lol. It's amazing how expensive it is though ($200/month with Level 2), given the major issues and the fact that (aside from the endless scanner filtering creativity) it's fairly easy to find comparable or in many cases BETTER technology elsewhere for FREE!!! It's amazing that I paid them for a year, but you live and learn. There will always be a special place in my heart for STT; but my new combination of TradingView for scanning, ThinkorSwim for 2-minute charting, ETrade Pro for executing orders and WeBull for extended charting (5M-4H) has slowly but surely settled into the greatest setup I could ask for =)

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PocketPAT

lol 9:25am... Ready to go, all screener results reviewed, two main watchers chosen, biases created... 9:29am... Charts set, plans built....... 9:30am... No opening bell on ThinkorSwim.... "Is the internet good?", "Is it Saturday?", "Is there a holiday today?", "Is it day light savings?", "Should I restart my programs?", "Is WeBull showing price-action movement?", "How about ETrade?", "No 5-minute countdown on WeBull either???", "Somethings wrong, search Google"................. "Markets closed, July 4th observed today"...... Then that sudden feeling of the world being dead fills the air. It's like that time when I showed up to the office in 2016 on New Years Day lol. Lights off, no one but me, holding my things. All you can do is laugh. "Damn, the roads WERE clear as hell this morning, weren't they??? LOL". Sucks that there's no opportunities to practice, to further my strategy today; but then I remembered....... ThinkorSwim OnDemand =) #TheSagaContinues

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PocketPAT

Lots has changed in the past week. I've eliminated Time & Sales and have been efficiently using Bid and Ask on ThinkorSwim for better focus and clarity during trades. I've replaced the 50-SMA with the 75-SMA on 1-Minute Charts and will use it as my primary entry/momentum signal. I have paired it nicely with the half-visible VWAP, which I only really use for the first move's entry signal. The SMA tells me the overall momentum of where the stock is going, but VWAP tells me what it will do just after market open (run or crack). These two indicators combined have proven most reliable and doubt at this point that I will move away from them. I will only trade stocks that move between 0.50 and 1.00, because they are SO PERFECTLY SLOW AND CLEAN ON THE 1-MINUTE CHART!!! My 5-cent stop now RARELY scratched, as I now exit typically after -10 to -20. It's perfect for growing my account and even after I eventually scale to 2000 and eventually 5000 shares on single entries, these should still serve me with their seemingly unlimited liquidity. EPD is my new favorite stock, but I'm going to build out the Watchlist with similar charts within the same sector; so that all four stocks will follow the same sector momentum. This allows me to see how the (sector) market is moving, for better trading decisions. So far, when I'm right, I'm taking $100-1000 on each run; and when I'm wrong, I'm giving back $10-30. I'm now FULLY invested in ThinkorSwim. I will never use StocksToTrade or WeBull for intra-day charting ever again. TOS has been perfect after my color scheme customizations and I've gotten acquainted enough to navigate the charts with ease. I've found that it's SO much better to track FOUR tickers in a full-screen grid than it is focus on just one. This way, I can see exactly when the next best play is available on one of the four top charts that I'm watching. I've narrowed my StocksToTrade scan to only tickers between $5 and $20, with Floats over 500M, Market Caps over 5B, 30-Day Avg Vol over 7.5M and 60-Day Avg Range Between 0.50 and 1.00. The reason why the 60D-ADR is so important, is that it produces the cleanest, clearest and slowest tickers that still have enough daily range potential to provide ample profits in both directions. While I'm executing trades from the TOS 1-Min 4-Grid on my left screen, I also have four full-screen 7-Day/15-Min charts on my right screen (one for each watcher); with RSIs and the 5-Period SMAs to match the 75-SMAs on my 1-Min charts. I've found that the 15-Min charts have the best combination of multi-day perspective and intra-day price-action for maximum benefit. Lastly, I've created alerts for each watcher in TOS, which have been signalling the exact moments that each tickers SMA has been crossed. These alerts let me know about crosses in BOTH directions and this has been CRUCIAL for finding. Things are progressing quite nicely =) #RefineRefineRefine #BrickByBrick

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PocketPAT

+750 (ALLY) ::: Not a single red day in about a month. I write out my P&L on a dry erase calendar and it's definitely nice to see the overall trend of my progress, especially with the bigger profits lately. There were many months in 2019 when almost every day was red; but the saga continues. There have been quite a few realizations today; and the greatest part about trading slow-movers is that I am almost always observing and refining my strategy during trades in REAL-TIME. It's remarkable, because I can alter the strategy based on new discoveries and make immediate changes that can have real-time differences in profit/loss. I don't have to have my finger on the trigger for every millisecond. That was actually the worst part about trading fast-moving penny stocks, is that I often felt as though I couldn't even think while trading. I had to just execute and review my gut decisions later on; which is such an inefficient way to trade. Anywho, I almost decided to make the VWAP my primary focus over the 50-SMA, since the 50-SMA actually seemed not as useful in comparison to the VWAP today. I'd only considered this after some quick back-testing, but ultimately, I've decided to keep my strategy the same (50-SMA as the primary indicator and VWAP as the execution trigger). I've decided to continue using full-size on the first move, but now sizing in by half/half on the second move (the reversal). It seems that this is the best course of action to to keep losses small and provide ideal confirmation on the changing momentum. Perhaps the biggest change is that I may be keeping StocksToTrade full-time, eliminating my watchlist completely and simply reviewing the overall StocksToTrade (custom) scan every morning during premarket. The reason for this is that I've found it best to focus on the stocks that not only fit my filter criteria and not only have clean and clear charts (which is most tickers that fit my scan criteria) but now also have the HIGHEST potential to provide ample range and profitability in the trading session. The best way to ensure this is to sort the scan results premarket, not by Biggest % Gainers but by the highest 60-Day Average Daily Range. I will then choose between the top 10-15 results, based on which one has the clearest market open move, cleanest chart and has historically proven it's ability to provide more than enough range for lots of gains. My current 60D-ADR filter is set to anything equal to or greater than 1.00. Technically, I COOOUULD set it to a 0.50 minimum and just buy twice the shares to equal the same profit potential, but I'd ALSO decided today that I would like to always buy the SAME EXACT number of shares on EVERY. SINGLE. TRADE. I'd first dabbled with this idea over the weekend, but it's definitely the decision now as it will cut out any confusion or thought on what my stop-out will be. If I always use the same amount of shares, it will never matter what the price of the stock is; I will always know exactly and immediately how far I'm willing to take the loss. Currently, I've set my stop to 5 cents and my share count to 1000 on full-size/500+500 on the reversal. As considered before, 5 cents may seem like a very tight stop, but these slow-movers may take 1-3 minutes to cross that five cent distance. There will never be a need to give more than 5-cents as it should almost always be clear whether or not the entry location has been compromised. Lastly, I've reduced my price filter to tickers between $10 and $20. This will ensure that I can always afford at least 1000 shares of any stock and narrows my scan to just 25 results on average; which is PERFECT, because I won't have to go through a million charts before market open =)

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PocketPAT

I keep going back and forth on keeping VWAP to accompany the 50-SMA, but I've decided to do so at least for now. I'm back-testing the 50-SMA since October 2019 (again) and it's so perfect. It's much better than the VWAP on confirming overall INTRA-DAY momentum, for clear and safe executions; but the VWAP is a very solid back-up signal. I'd considered using full-size if the price-action was either above both lines or below both lines, while using half-size if the price-action were between the two lines; but I'm going to stick to the 50-SMA exclusively. I'll primarily use the VWAP from market open til about 11AM, just to confirm momentum during the volatile market open periods. For at least another day or so, I'll keep using full-size (1000 shares) on single entries. Judging by the back-testing, the ideal entries seem to be so certain now that I don't imagine I'd get shaken out or have losses bigger than -100. =) #RefineRefineRefine #LetsGo ----- 9:50PM: It's amazing how I had the idea to lower my StocksToTrade filter range to $5-30; only to realize that many of the lower-priced stocks that are still low float/high market cap follow the same 50-SMA/VWAP strategy with clean and clear price-action. The only difference is that I'd be able to afford far more shares, to take advantage of the same price-action but for FAR more gains. Instead of trading $20 ALLY for a $1000 profit, I could trade ETRN, MIK or AM for $3000 or $4000; literally in a single day. That's crazy and it really puts things into perspective. This is why I've been focused on confirming and reconfirming the strategy, so that I can eventually scale it after reaching a point of consistency. I'd have to be comfortable with my risk being raised to about -300 to -500 (same 10 cent stop), but I wouldn't mind if my success rate were consistently high. I've tightened my filters to have just 100 results on average, for tickers that are the safest yet cleanest for trading. Things will be getting very interesting this year, but for now; I'll maintain my focus on reaching consistent profitability and mastering the strategy overall. #Ninja #Focus

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PocketPAT

+1000 (ALLY) ::: I've decided to scrap the VWAP and RSI indicators, replacing them with a single Simple Moving Average; set to 50-bars on both the 2-minute and 5-minute charts. Back-testing the 50-SMA day-by-day, tick-by-tick, side-by-side with the VWAP, since Mid-March 2020, at least three times this afternoon; the 50-SMA provides about 40% more ideal entry and exit signals. It would have me entering better trades often, taking profits quicker and giving up less in losses (over VWAP). The only handicap it seems to repeatedly have, is not showing ideal short plays at market open, after premarket gap-ups. This won't be a big deal though, as I'll simply look left on the 15-minute and/or 1-hour chart to see either the Gap & Crap or long-term resistance signal. The VWAP would otherwise sit above the premarket bars, clearly signifying the impending short play. I'd considered just keeping the VWAP as a very faint and slim line, so that I could focus more on the 50-SMA; still being able to catch those odd-ball opportunities; but I feel that having both indicators would inspire conflicting entry/exit signals. I've also decided to revert from single entries, back to 1/2 + 1/2. The signals are much clearer now, so I'll enter on the bounce/crack and size-in the second half after a key level break (or higher low/lower high). I'll also place an SMA indicator on the 1-Hour chart, for overall momentum trend. ----- 6:45PM: I'll also kill the 2-minute chart, at least for now; and continue trading with just the 5-minute chart.

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PocketPAT

+800, +900 (ALLY) (Yesterday & Today) ::: It seems that a few revisions to my strategy were needed. I'm continuing to only trade one ticker at a time, but I'll revert back to using StocksToTrade for only one month; three times per year (Jan, May, Sep) (only to refine the watchlist). I'll stick to my slow-movers, combining the 1-Hour RSI with premarket price-action and VWAP for trading them. Currently, I'm trading with only the 2-minute and 5-minute charts on the left screen; with the 20-minute and 1-hour charts on the right screen (full-screen windows via cycle-clicks). I've had a bit of trouble these past few days, getting confused on likely direction at market open; but I've narrowed my focus to four potential plays (all at market open): 1) Premarket Gap-Down + Overbought on 1-Hour Chart = Short On Open Crack Under VWAP, 2) 2nd/3rd Red Day Gap & Crap = Short On Open Crack Under VWAP, 3) Premarket Gap-Down + Oversold on 1-Hour Chart = Dip Buy On Open Bounce Over VWAP and 4) 2nd/3rd Green Day Dip & Run = Dip Buy On Open Bounce/Run. These cover pretty much every scenario on all the slow-movers I've been trading since the start of this year. They are not pattern-based, but momentum-based; so I trust that they'll work in any market environment on almost any slow-moving stock. The only exception has been when the ticker is overbought/oversold, but is still going in it's respective direction. In this case, I've noticed that the momentum will trump it's overbought or oversold status; and so I'll continue to trade it the same until a reversal is produced in the form of a lower high or higher low. The biggest change in the past few days has been my decision to completely eliminate sizing into positions. Going forward, I will simply go ALL IN!!! (DUN DUN DUNNN!!!). I've decided to raise my risk level to -250 or 25 cents, always trading tickers with a single entry of 1000 shares or less (depending on the current market price). Over the past 6-8 months of trading slow-movers, it's become apparent that they seem to never rip more than 5-10 cents in a single 1-2 minute tick. Also, a potential $250 loss would be small in comparison to the average profit being roughly $700-1200. Considering that my success rate seems to be near 75-85%, the overall risk-reward is still greatly in my favor. Although, to maintain that risk-level, I'll only trade tickers between $15 and $45. Back to rinse and repeat, things are going very well =) ----- 2:37PM: Actually, I've reduced my stop back to -100 or 10 cents (whichever comes first). Looking back on the charts, there doesn't seem to be much need for a stop more than 10 cents on these slow-movers. Even at market open, if I get in on ideal entry after the bounce/crack from support/resistance, even a 10-cent stop would be far from the start of my position. As said before, these stocks really don't move so fast that I wouldn't have time to exit on a bad entry reversal; so this actually still gives me a semi-wide stop for extra-small potential losses, yet exponentially high potential rewards. I've decided to stay in the market from open til close every day going forward. There are often very many small opportunities to either take singles or to enter the overall trend for a ride of momentum throughout the remainder of the day; and I'll always only watch one ticker until it no longer serves me consistently. =) #RefineRefineRefine

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PocketPAT

-124 (TOL) ::: Got stopped out after looking for the PMGD Short to a lower level near $29. I've been playing with share-count sizes to both keep a wide stop and build comfort for taking slightly bigger losses. My ideal stop is currently -100; but ironically, that's nothing compared to what it would have been a year ago trading fast-moving penny stocks. It's almost like I'm being TOO conservative, but honestly, I'll likely raise that stop before the day is done (after a bit more back-testing). I changed my PMGD strategy, ignoring the potential(predictable) bounces on PMGDs to support and instead opting to take the back-side once VWAP was cracked for a breakdown. I'd noticed that the VWAP was interestingly FAR below the bounce run and I'd pondered that I could potentially take PMGD bounces on entry-level size for small but meaningful gains; but overall, I was wondering why I was so wrong today on the short play. I mean, TOL was just RIPPING through resistance. Higher and higher and higher. I'd reasoned that perhaps I've been looking at price-action movement with a bit of a caveman mindset: "PMGD mean short!!! PMGU mean long!!!" (or Gap & Crap, which never fails). Perhaps there was more to the story. Perhaps, there was something that I'd been missing. It was this curiosity that led me to realize how oversold TOL was at market open. I'd only considered using RSI on the swing strategy and VWAP on the day trading strategy; when (with TOL and all of these slow-movers) I could have been using 2-Hour RSI to see what the stock was likely to do (for day trades) and VWAP to determine when it was likely to do it!!! Briefly back-testing this theory on TOL for the past three months, it became clear as hell that this was in-fact the ideal strategy. It made absolutely NO SENSE to look for the short this morning, with TOL (albeit not as much oversold as on Friday) was STILL very oversold at market open. VERY! VERY! VERY EXCITED! LOL. With this realization, I may decrease my stop and increase my size-in share counts; but only after back-testing for the remainder of the morning. When back-testing, I go through every single day, almost tick-for-tick, comparing the strategy accuracy to my likely executions (and possible shakeouts). I'll now be trading with the 2-minute chart on the left (with the 5-minute and 15-minute charts available in the background) and monitoring the 2-hour chart with RSI on the right. #RefineRefineRefine

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PocketPAT

+1260 (TOL) ::: The strategy is confirmed. I got shaken out a bit in the early part of the morning, before realizing that it's best to rely on VWAP for these slow but clean volatile stocks. I've updated all four setups to place my first entry at ideal crack/bounce, continuing to size in the second half on a higher low, lower high or level break. The reversal, however, will be primarily reliant on VWAP crosses. The first entry on the reversal will be at ideal crack/bounce NEAR the VWAP cross, but the second half will be executed ONLY on the ACTUAL VWAP cross itself. I'll be reviewing the past three months of 1-minute charts on TOL tonight, but it already seems apparent that these slow movers continue all day on their paths once a cross of the VWAP indicator is confirmed. I'll continue trading one ticker at-a-time, but sometime within the next year and a half, I'll be looking to return to trading two tickers on the same size I'm using now. By then, I should be well versed in my trading style; strategy completely refined. #RinseandRepeat

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