Daily Recap: Red Day but Staying Cautious
Today was a tough one, ending with losses on both trades. It’s always frustrating when the stocks you trade eventually move in your favor but after you’ve already been stopped out. I felt like I took both trades at logical entry points, but the setups just didn’t play out in my favor. I closed the day with a loss of $53.25, bringing my account balance down to $1,134.26. Let’s break down the trades.
Trade 1: FFIE
FFIE had an impressive ramp earlier in the day, and although I wasn’t sure it would offer another solid opportunity, I saw a potential 2:1 RR setup. I patiently waited for the price to dip and then come back up through my entry point. I got in at $5.13 with a 25-cent stop at $4.88. The setup looked promising—especially with the 5-minute MACD showing a positive signal—but momentum faded quickly, and I was stopped out at $4.87 (with 1 cent slippage). Even though it didn’t work out, I felt confident that the entry was sound and in line with my strategy.
Trade 2: WISA
WISA was a premarket gapper that had news driving it higher. Despite the initial sell-off after the open, I spotted a decent ramp and took an entry at $2.83 with a 10-cent stop at $2.73. Unfortunately, the stock experienced a sharp decline, and I was stopped out at $2.71 (with 2-cent slippage) for a loss of $28.62. Ironically, the stock rallied shortly after and went well past the high of day as I had expected. The issue was the deep sell-off right before the move. Once again, I feel like my entry was valid, but the trade just didn’t hold.
Reflection
Even though I lost both trades today, I still believe I followed the right signals and remained cautious with my entries. Some days, even when you follow your rules, the market doesn’t cooperate—and that’s just part of trading. I’ll keep refining my approach and staying disciplined. Tomorrow is a new day, and hopefully, the market will offer stronger opportunities.