Thunder dome

[MattfromNZ 55]

2 hours ago, Michael Sanchez said:

Stock: PLTR

Strategy: N/A

Why did you take the trade?: This was a foolish trade. I took the trade because I saw that the last two 2 min candles were respecting the 1 min 9ema. I anticipated a breakout to the long side, but that did not happen. I messed up by trading based on anticipation and not on confirmation. 

Long/Short: LONG

Entry: 29.11

Risk: 11 cents

S/L: 29.00

How did you feel after taking the trade?: After taking this trade I felt frustrated because I broke my own rules. I should not have gotten in this trade because there was no confirmation that the stock was a long. 

What did you do well?: One thing that I did well, in my opinion, consisted of my resiliency. I was able to come back from this loss with my AAL trade. 

What can you improve on?: I need to improve on my patience and wait for confirmation. I also need to develop a tradebook that fits my style. 

Questions?: How do you guys resist taking a trade that is not an A+ setup?

Correct me if I'm wrong, but looks like you had a bearish engulfing on the 1min chart just before your entry. 

[Michael Sanchez 53]

1 hour ago, Aaron McCune said:

 

Sanchez,

AAL

I like the heads up play on the AAL. I looks like you had a good entry and an even better exit. And good R:R... Good job.

 

PLTR

Good to see you recognize that you anticipated and didn’t wait for confirmation. It’s a process and you’re not alone.

-Did you consider a 5 min ORB?

Question response:
- Self-discipline. Its not easy but can be done. A lot of people have to work at in, including myself.   
- Try walking away from it or changing the ticker. 
 

Thank you for the feed back Aaron,

For the PLTR trade I did not consider an ORB. In all honesty, the trade was taken based on the previous 2 candles that held the 2min 9ema. It was out of impulse. 

[Michael Sanchez 53]

32 minutes ago, MattfromNZ said:

Correct me if I'm wrong, but looks like you had a bearish engulfing on the 1min chart just before your entry. 

Yes!! Sorry I missed the 1 min chart part. I should have payed more attention to that candle in all honesty. It was a big 🚩.

Edited December 23, 2020 by Michael Sanchez

[A_aron 27]

Poor Green Trade

Date: 12-23-20 (Stock HW 9-21-20)

Stock: INO

Strategy: Directional

Long/Short: Long

Entry: $18.06
S/L: $17.80
Risk:  0.26/share
Exit : $18.35 (average)

R:R 1:1

Why did you take the trade?:

-No ORB opportunity that I liked so I moved to my “directional strategy” …  I saw that there was very strong Bullish candle backed by high volume. Additionally, the price action blew through a “strong resistance”. On the 5 min chart the S.S showed the bulls where taking over as well as the MACD -Histogram on 15 min. All EMAs pointing up.  F.I was negative.

How did you feel after taking the trade?:

FOMO, showed up late to the party. .

What did you do well?:
-managing the trade after a poor choice to enter this trade.. I could see that the price action was getting weak and the trend was starting to lose steam. Therefore, I partial out quickly as the price action was approaching the HOD [ for 2 different days].

What can you improve on?:

-FOMO!
- Dont take a long position 1) extended so far form VWAP    2) going into 2 HOD levels.
 

Questions?:

You see anything that I might of overlooked/ missed?

 

CHARTS:

15 min

5min

1 min

[Michael Sanchez 53]

9 hours ago, A_aron said:

Poor Green Trade

Date: 12-23-20 (Stock HW 9-21-20)

Stock: INO

Strategy: Directional

Long/Short: Long

Entry: $18.06
S/L: $17.80
Risk:  0.26/share
Exit : $18.35 (average)

R:R 1:1

Why did you take the trade?:

-No ORB opportunity that I liked so I moved to my “directional strategy” …  I saw that there was very strong Bullish candle backed by high volume. Additionally, the price action blew through a “strong resistance”. On the 5 min chart the S.S showed the bulls where taking over as well as the MACD -Histogram on 15 min. All EMAs pointing up.  F.I was negative.

How did you feel after taking the trade?:

FOMO, showed up late to the party. .

What did you do well?:
-managing the trade after a poor choice to enter this trade.. I could see that the price action was getting weak and the trend was starting to lose steam. Therefore, I partial out quickly as the price action was approaching the HOD [ for 2 different days].

What can you improve on?:

-FOMO!
- Dont take a long position 1) extended so far form VWAP    2) going into 2 HOD levels.
 

Questions?:

You see anything that I might of overlooked/ missed?

 

CHARTS:

15 min

5min

1 min

Good stuff man!! I mean you but the nail on the head you should have waited for a pullback to the 9ema at least. The hammer would have been confirmation. Also I would be hesitant to take a trade when it is far from the 5 min 9EMA because it may pullback.

Edited December 24, 2020 by Michael Sanchez

[Michael Sanchez 53]

Stock: SPCE

Strategy: Double Bottom 

Why did you take the trade?:  I took this trade because I saw a double bottom on the one minute chart and on the 2 min chart. I decided to take the trade when the 2min 9ema was breached. However, the stock was unable to break the 5 min 9EMA. 

Long/Short: Long

Entry: 26.39

Risk: 20 cents 

S/L: 26.19

How did you feel after taking the trade?: After taking the trade I did not feel too bad. I liked the setup and I legitimately thought that it had potential to reverse because of the candlesticks. 

What did you do well?: Two things that I believe I did well on had to do with pattern recognition and trade management.  

What can you improve on?: I need to improve on reading volume and tightening my stop-loss.

Questions?: What would you have done differently? 

[Michael Sanchez 53]

Stock: INO

Strategy: ORBD

Why did you take the trade?: I took this trade because INO was hugging the 5min 9ema pre-market. It did not want to break the 5 min 9ema so I took the trade as soon as it broke the 9 ema on the 1 min chart. 

Long/Short: SHORT

Entry: 10.81

Risk: 22 cents 

S/L: 11.03

How did you feel after taking the trade?: I stopped myself out at B/E with a little bit of slippage. I know the stock did what it was going to do and I could have made a small profit. However, I did not like the fact that there was so much resistance underneath. I mean look at all those technical level underneath. To add on, In order for me to get 3R the stock had to break a daily moving average. While it did break the daily moving average, I did not want to take the risk. This would have been an emotional trade because of all the levels. I do not regret getting out because I did not feel comfortable with the trade. Also, I was uncomfortable with my R/R.

What did you do well?: Recognizing pre-market price action

What can you improve on?: Just looking at the stock as a whole. I should have been aware of those levels before the trade was even taken.

Questions?: Did I do the right thing by getting out of the trade?

[Michael Sanchez 53]

Stock: AAPL

Strategy: ABCD (5min)

Why did you take the trade?: This was an A+ setup for me. APPL was strong today and I was waiting for a pullback to the 5min 9ema. When it did I noticed that the volume was significantly lower which indicated that the stock was just pulling back. When the stock was unable to break VWAP I took the trade with a tight stop. 

Long/Short: LONG

Entry: 132.41

Risk: 10 cents

S/L: 132.31

How did you feel after taking the trade?: I felt really good about taking my A+ setup. I felt extremely confident. However, it is difficult to not take partials. I have to trust myself and the price action and it can cause anxiety from time to time. 

What did you do well?: I was patient and did not chase the stock. I want the stock to be close to the 5min 9ema before I take a trade of any kind. I also got creative and played video games on my phone while in this trade. This reduced my anxiety significantly. I set a range so there is not much to do while in the trade other than move my stop to break even after the price action reaches R2. 

What can you improve on?: N/A. This was an A+ trade for me.

Questions?: N/A

[MattfromNZ 55]

Hey question, you guys are talking about the 9ma a lot with no mention of the VWAP. I'm not familiar yet with using the 9ma for anything, but was under the impression that VWAP is the most important technical indicator for trading, and have seen it used specifically for ORB trades. Thoughts?

[Michael Sanchez 53]

18 minutes ago, MattfromNZ said:

Hey question, you guys are talking about the 9ma a lot with no mention of the VWAP. I'm not familiar yet with using the 9ma for anything, but was under the impression that VWAP is the most important technical indicator for trading, and have seen it used specifically for ORB trades. Thoughts?

It depends honestly, but I use the EMA more often than not because I usually set my stop-loss right under them if they are holding well. I guess the only time I really consider the VWAP is during ORBs. In order for me to take an ORB the price action must be close to the VWAP. For my ABCD patterns I focus on the EMA because it allows me to get a tight Risk to Reward. However, if the price action is really far from the VWAP I will not take the trade. So do not get me wrong the VWAP is important, but it is just another tool for me. For example, if you see my SPCE trade the price action broke the VWAP, but was unable to break the 5min 9ema.

Edited December 24, 2020 by Michael Sanchez

[A_aron 27]

Date: 12-28-20

Stock: AAL

Strategy: N/A

Long/Short: Long

Entry: 16.26
S/L:   16.16
Risk:  0.10

Exit:  16.36
 -Stopped Out-

 

Why did you take the trade?:

-          I have no idea. I saw on the 2 min chart that there was 3 shooting star candles [ didn't verify with volume] and initially went short. Then I saw a large bear candle with low volume so I flipped my position to long.

 How did you feel after taking the trade?:

-          What was I doing???

 

What did you do well?:
- I partial out when I hit 1:1. I struggle with taking profits too early.

 What can you improve on?:

-          Look at the whole picture. Don’t get tunnel vision on only the 2 min chart.

-          Shouldn’t have traded today. Had poor sleep and all the stocks I liked for a trade had no shares available to short.

-          Exit after if broke through VWAPx2 .

 

15 min

 

5 min

 

2min

 

Edited December 28, 2020 by A_aron

[A_aron 27]

On 12/24/2020 at 9:30 AM, Michael Sanchez said:

Stock: AAPL

Strategy: ABCD (5min)

Why did you take the trade?: This was an A+ setup for me. APPL was strong today and I was waiting for a pullback to the 5min 9ema. When it did I noticed that the volume was significantly lower which indicated that the stock was just pulling back. When the stock was unable to break VWAP I took the trade with a tight stop. 

Long/Short: LONG

Entry: 132.41

Risk: 10 cents

S/L: 132.31

How did you feel after taking the trade?: I felt really good about taking my A+ setup. I felt extremely confident. However, it is difficult to not take partials. I have to trust myself and the price action and it can cause anxiety from time to time. 

What did you do well?: I was patient and did not chase the stock. I want the stock to be close to the 5min 9ema before I take a trade of any kind. I also got creative and played video games on my phone while in this trade. This reduced my anxiety significantly. I set a range so there is not much to do while in the trade other than move my stop to break even after the price action reaches R2. 

What can you improve on?: N/A. This was an A+ trade for me.

Questions?: N/A

 

Great entry and exit! Additionally good job at being patient!! Like you said this was an A+ trade! 

 

 

 

 

[A_aron 27]

On 12/24/2020 at 9:17 AM, Michael Sanchez said:

Stock: INO

Strategy: ORBD

Why did you take the trade?: I took this trade because INO was hugging the 5min 9ema pre-market. It did not want to break the 5 min 9ema so I took the trade as soon as it broke the 9 ema on the 1 min chart. 

Long/Short: SHORT

Entry: 10.81

Risk: 22 cents 

S/L: 11.03

How did you feel after taking the trade?: I stopped myself out at B/E with a little bit of slippage. I know the stock did what it was going to do and I could have made a small profit. However, I did not like the fact that there was so much resistance underneath. I mean look at all those technical level underneath. To add on, In order for me to get 3R the stock had to break a daily moving average. While it did break the daily moving average, I did not want to take the risk. This would have been an emotional trade because of all the levels. I do not regret getting out because I did not feel comfortable with the trade. Also, I was uncomfortable with my R/R.

What did you do well?: Recognizing pre-market price action

What can you improve on?: Just looking at the stock as a whole. I should have been aware of those levels before the trade was even taken.

Questions?: Did I do the right thing by getting out of the trade?

I think you did the right thing at getting out. Especially if its a rule!  Otherwise you had a pretty good entry for the ORBD. 

[Michael Sanchez 53]

Format:

Stock: AAL

Strategy: ABCD 

Why did you take the trade?: I took this trade because AAL formed a type B ABCD pattern on the 2 min chart. I took it for the breakout once I saw the previous candle on the 2 min chart (Hammer).  The stock failed to breakout any higher. 

Long/Short:  Long

Entry: 16.30

Risk: 7 cents

S/L: 16. 23

How did you feel after taking the trade?: After taking this trade I did not beat my self up too much. I managed my risk well and lost half of an R. 

What did you do well?:One thing that I believe I did well had to do with reading the price action on the 2 min chart and incorporating it into my trades. 

What can you improve on?: I should have paid more attention to the SPY to see if I was trading against or with the market. 

Questions?:

What would you have done differently? 

[Michael Sanchez 53]

28 minutes ago, A_aron said:

Date: 12-28-20

Stock: AAL

Strategy: N/A

Long/Short: Long

Entry: 16.26
S/L:   16.16
Risk:  0.10

Exit:  16.36
 -Stopped Out-

 

Why did you take the trade?:

-          I have no idea. I saw on the 2 min chart that there was 3 shooting star candles [ didn't verify with volume] and initially went short. Then I saw a large bear candle with low volume so I flipped my position to long.

 How did you feel after taking the trade?:

-          What was I doing???

 

What did you do well?:
- I partial out when I hit 1:1. I struggle with taking profits too early.

 What can you improve on?:

-          Look at the whole picture. Don’t get tunnel vision on only the 2 min chart.

-          Shouldn’t have traded today. Had poor sleep and all the stocks I liked for a trade had no shares available to short.

-          Exit after if broke through VWAPx2 .

 

15 min

 

5 min

 

2min

 

You should move your S/L to break even everytime you take a partial. That way you protect your profits.  I took the same trade so I can not offer much advise lol. I think it was a great trade tbh. It just did not go our way.