White arrows are entries followed by exits.
TOPS: I figured after yesterday that it was a done stock and the bagholders would sell out. I missed a fill but then got in on the pop to vwap and then added when it looked good for a wash. The big wash didn't come unfortunately but I wanted to be patient. However, the volume was decreasing and it was just screwing around and while I would be ok with holding it for the day, we can only be in 2 positions at once so there was opportunity cost to consider. I decided to get out when the .57 bids were absorbing. It went down later a bit more but then came all the way back. My plan was to get in on pops and add on confirmation which is what I did and I was patient as per my plan but given the info at the time I decided to cover when I did and I don't regret it even though it went lower.
OMEX: This was a pump from yesterday and it had a similar chart to GBR when it was pumped. The SSR got on so I became cautious. I tried shorting before it broke that 3.9 level but didn't get filled on my offer so I waited until it retested, which it did and it failed. I was hoping for a bigger move but it just screwed around for most of the day so I decided to just get out on the dips near support. It was a good choice since it didn't do much. I stuck to my plan to be patient but adjusted it like with TOPS based on what was going on.
BIIB: This had news that no one was actually interested in buying them so after the initial drop and bounce (which I thought was from shorts covering) I shorted with a risk on the bounce highs. I thought this could go back to where it came before the rumor came out. Unfortunately, that didn't happen and somehow it ended up going higher than before the flush. Either it was from shorts squeezed or something else went on. It was a small loss since I had really small size. Plan: I stuck to my plan of shorting the bounce and respecting my stop.
UVXY: I had this on watch for most of the day due to thinking the market could fade after a nice failed breakout on the daily chart and a break of support. I tried taking a position earlier in the day but had OMEX and TOPS already so I was blocked. It was a good thing anyway since I was wrong about it and UVXY went lower. Then later in the day when SPY put in a familiar topping pattern (plus it seemed like UVXY reclaimed support after consolidating at lower levels) and broke support I went long UVXY and added when it broke below VWAP. It flushed and UVXY went right to VWAP, I considered taking some off but decided to hold on because I thought SPY could go lower and it wasn't such a huge move anyway (only .10 on UVXY). It was a bit sketchy over/under for SPY so when it looked to be holding VWAP I sold my add and went back to my initial position. I kept that for a bit in case the market went lower but it ripped higher and I got out after it broke support. I stuck to my plan overall and sized down when it wasn't doing what I wanted which was good. Overall while a loss, I stuck to my process and plan.
Stocks of note:
KOOL: I had a long bias on any washout due to it having a very similar chart pattern like TOPS did. It looked like the fade was over then the gap up happens and squeezes everyone. That is what I thought would happen with KOOL. I almost bought when it went to VWAP but didn't. Instead it ended up being a great short. What I didn't know was that an effect was out on the stock of an offering and it just happened to be the night before the PR and the amount of shares being sold was a lot compared to the float. Therefore they were selling into everybody and any long chasers were screwed. I knew there would be longs but I figured the shorts being squeezed would change the dynamic. Note: It is important to be aware of any filings going on and to check the SEC website before trading these low floats.
BIIB: Although I mentioned it above, a good playbook strategy is to go long if the stock is holding up for the eventual squeeze after news like this. If it doesn't go down then it can only go up especially after everyone shorted it. Remember, once the stock goes past the price it was at before the news, all shorts are down.
SHIP: This is more of a reflection for yesterday's trading. I saw on someone's YT recap that trendlines would have worked well for this stock and going long on trendline breaks would have worked for nice trades. Each time the trendline broke, it was after a failed breakdown and a reclaim of support - a perfect combination. This happened twice on the stock so instead of going short, go long for rips higher in cases like this where both trendline breaks and the stocks has a failed breakdown.
Things to keep in mind/work on:
1. The BIIB trade where you can go long a stock after it has held and goes higher. This can also be vice versa for longs getting stuck and you can short the stock.
2. Be aware of SEC filings for low float stocks.
3. Keep to sticking with your plan and not getting greedy and going in with more size than you should.
4. Remember to use trendlines for certain stocks.
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