ATEC: What a layup trade. If there were opportunities like this everyday, trading would be a joke. This is one of the setups that you size into. I wish I could do more than 100 shares but I made sure to do the best with what I had. This was a rehash PR scenario + the day of the original PR it gapped up then closed red + their investors converted warrants into this news to probably sell into. Triple whammy. My plan was ideally a stuff into 5 to get short 100 shares and let it ride. At the open I saw it was heavy and figured there would be less attention/chasers in the stock so it might not just stuff them into 5. So I did half size right at the open and when I saw it would fade a bit more I went in with another 50 shares right away. What happened next was interesting. It came down a bit but then perked above. There was a huge bid that showed up at 4.80 and it looked like it was going to go. My immediate reaction was to downsize but I said to myself - this is what they want you to think. You have the thesis behind you and a lot of times these big bids are fake. Well it perked a bit more, the bid went away, and it flushed to nLODs. Perfect. I was going to be as patient with it as possible and I had a bid at a few cents above g/r. It went to the 4.20s, came back to the 4.40s then came back down a bit but at this point had no volume. I figured there would be less chasers this time due to the weekend so in case it ended up being a double bottom around this area I covered at 4.33. I had a 4.87 average and I am pretty proud of that average. It ended up going near g/r but wouldn't have hit my bid and then it recovered for the rest of the day so overall great trade. Positives: I was confident, sized in, and talked to myself when that bid was there to stay in there.
PAY: I had this on watch due to the earnings and poor guidance. I missed the initial move lower because it didn't really push and was hanging around so I didn't want to get involved. Afterwards though, it had a nice bear flag with lower highs so when the uptrend broke I got in. I knew the SSR was on so a pop should have been the entry but it was relatively low risk. It did pop after I got in but then it came back down. There was a huge bid at the .20 level and it got hit and it went lower but then popped right back up. I let it do its thing and it came back down, broke under it, but then reclaimed it. After giving it some time I decided to cover for flat as it wasn't doing what I thought and with the afternoon coming, I figured it wouldn't do much. Did I violate my plan by stopping out for flat instead of letting it stop me out? No, not in this case because I wasn't too comfortable with the constant dropping under support then coming above it and plus the pattern should have worked immediately, but at this point it was just consolidating. It ended up being a good cover because it came all the way back up.
Other stocks of note:
SPU: I had a feeling this was way too easy and I may have been right. I was busy with ATEC so didn't give this my full attention and this was more of a hunch than anything. But I saw it flushed and then came back and held vwap. I saw it base before the breakout and said this could go higher. I never went in unfortunately. That would have been the only trade in it though. There were good short opportunities but I thought it could squeeze higher so I didn't look for that. It did bag all the EOD chasers though but I have a feeling that is to keep shorts thinking it's ok. If we gap up Tuesday I would long dips.
PI: This recent IPO stock was off everyone's radar it seemed but it had the look of it breaking out. I put this on the backburner unfortunately because it had a perfect consolidation at the open and then breakout. That would have been a nice long and an instance where a long on a breakout is ok. Later in the day it flagged but I didn't think it could go higher due to the weekend. If it was any other day, absolutely. The flag setup worked great though and it went higher. This is a good instance of flags etc working with your thesis.
REN: I saw this before the breakout but this is a tricky stock to trade so I left it alone. It went higher from the 19s and made new highs. I saw it later in the day in the 21s and it broke out and I thought it could be a good short since you have to short when it looks good to breakout. This is partly the reason I didn't long it on the breakout before in the 19s.
PSG: This one had interesting level 2 action. It ripped higher. 3.25 was absorbing very nicely. I figured if it failed then it would tank. The guy next to me shorted under it and it worked for a minute or two but then he came back and refreshing like crazy. He would go away for a second then come back. It caused the stock to go higher so a buy in front of him worked instead but crazy action nonetheless.
Things to remember:
1. Trade the best with size, fuck the rest.
2. Good ideas that are your own. Keep it up.
3. Maybe have more confidence in your own ideas. They all worked today but you put them on the backburner. The stocks that aren't on everyone's radar are the best. Like ATEC.
4. Buying breakouts/shorting breakdowns can be ok with the right setup as seen today.
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