Daily Recap: Another Green Day with Lessons and Progress

Today marked another green day for me. While I’m still working on refining my entries, I made both an error and a successful trade. I’m improving at identifying opportunities but need to ensure the stock is still in an uptrend before entering. I ended the day with a profit of $13.75, bringing my account total to $872.84. Let’s review the trades.

Trade Review: LUMN

My first trade was on LUMN, the stock I had a winning trade on yesterday. It was on the premarket gapper list again, but I didn’t allow enough time for a solid upward trend to establish. I attempted to play the VWAP bounce on the pullback, but the pullback was so significant that it shifted the trend. I entered at $7.07 with a 25-cent offset stop loss at $6.82. This entry point wasn’t ideal. I was too focused on getting close to the VWAP and overlooked that the stock was starting to trend downward and moving sideways. The price continued to fall, and I was stopped out at $6.82 for a loss of $16.27.

Trade Review: ADTX

My second trade was on ADTX. While working, I noticed a pullback and saw a potential opportunity where ADTX was bouncing off the 9 EMA. I entered at $1.77, right at the 9 EMA level, with an 8-cent offset stop loss at $1.69. However, I encountered a technical issue, and my OCO was not properly selected, so I entered the trade without a stop loss or take profit target. I quickly scrambled to set my stop loss, and the price soared upward, which would have hit my 3:1 take profit level. However, due to the technical issue, this was not set. The price then quickly came back down before going up again. I managed to move my stop up to a 2:1 ratio and eventually got stopped out at $1.92, securing a profit of $29.96. This trade could have been a 3:1 if not for the technical issue, but I adapted quickly and capitalized on the 2:1 profit.

Reflection and Lessons Learned

Overall, I am still working on refining my entries and understanding the critical factors to consider. I need to ensure the trend is not flattening or changing when attempting to play a bounce. The stock should be in a clear uptrend before entering. Despite the challenges, I’m glad to be developing a strategy that shows promise. Over time, I believe I can refine it further to achieve a higher win percentage.

Today reinforced the importance of patience and attention to technical details. I’m confident that with continued practice and learning, I’ll be able to refine my strategy and improve my trading performance.