167 [Swing trading school -last 40 minutes. Aug 3, 2020]

  • MARA, up 50%, sold 1/3 in premarket [50kshares], think BTC just getting started so this could go to $5/6 or more, so keeping 2/3 even though sitting on a double for now, think it could double from here. RIOT stopped me out weirdly, but thinking if whole sector gets momo will rebuy this RIOT.
  • The best stocks are pos stocks, the best stocks are like frauds and stuff, like half of the corona names are frauds, IBIO, CODX, INO, they’re never gonna make any money, it’s just a pump, I have legit stocks and then I have pump stocks. LAC is a pump stock, JMIA is a pump stock, but it doesn’t matter, many times these are the best ones, these things are mostly retail driven, there are no big institutions buying these. Then you have stocks like TDOC, AVLR, TTD, DDOG, W, these are fund driven, institutional driven stocks.
  • China names are really strong, they’re all flagging, BABA, JD, TME, TCEHY, TAL, they’re all in big bullflags, very strong.
  • I do like ZM, if ZM can take out this high 250s/260 area and stay above the 20day I think this one is gonna be a big one. Bought a starter ZM [7kshares], this thing is really good looking, and they have earnings in like a month so don’t have to worry about that. Bought a little more have 10kshares. What a move, guys you gotta be on these things, you can’t look at them the day after like ‘what a nice breakout’, you gotta anticipate these things, as soon as they start breaking out that’s when you buy them, I have a 259 avg on this thing. The prepared trader wins.
  • PINS selling tiny here, is straight up from here, selling like 5/10% of position at a time, every 3/5/7% on these institutional quality names. Wow what a move, I need to sell a bit more, scaling out as it goes higher.
  • Avoid UPS, United Parcel Service.. come on guys this is not a trading stock, ADR is 2.1%, you want to see at least 2-3x that, this is not a trading stock, avoid. You want to be in fast stocks, you wanna make a lot of money you gotta be in the fast stocks, not in some sluggish boring stocks. Avoid stuff like COST, don’t even look at something like this, you will never make any money trading something like this it’s way too slow, look at this move it’s an 8% move, you want stocks that can go up fast, this is just a random choppy stock, you shouldn’t even be looking at this, if you’re getting stuff like this in your scans you’re scanning wrong, scan for stocks that are volatile, stocks that have an ADR of at least 4%, maybe even 5/6%.
  • WKHS taking out highs, this one I almost have to own. I bought 100kshares, I have to own this thing, it’s a huge big flag here I can’t ignore this thing. Also they have news that Lordstown is merging with a spac, it may finally go, like if this stock doesn’t go now it will never ever go. This thing could really make a 50% move from here. Looks like it’s gonna go and I only have 100kshares.
  • ADT has a 745M float that’s huge, but it’s working yeah, I wonder why GOOGL didn’t just buy them outright though [invested 450M to acquire 6.6% ownership], wow it’s getting halted, they’re doing the halt game on a 700M float stock, never seen that before. I hope some of you got it orhs, I totally missed it, wasn’t paying attention at all.
  • CAN is a good one, you get 5*, this is a good setup, hot sector, had a big move off the lows went up 60%, pulled back, found support on these 10/20day , now it’s been going sideways for the past two weeks and building hls, and now it had a rangebreak here, and it’s a hot sector, crypto related name, it’s a Chinese bitcoin name. This is a 5*, this is a great swingtrading setup. This is the kinda setup you wanna look for. CAN looks exactly like JMIA when I bought it.
  • ATR, it doesn’t account for gaps, so it’s 27c, and right now stock is up 37c, so it’s more than the ATR, which means it’s maybe a bit late to buy it here, I usually don’t buy the stock if it’s up more on the day than its ATR, preferably you wanna get in when the stock is only up 1/3 or 1/2 or 2/3 it’s ATR, this one I maybe wouldn’t buy it here, you gotta scan for these, you gotta be hot on these right out of the gate when the market opens.
  • NIO, looks decent, it has to take out yesterday’s highs, this $13 area, right now looks like maybe it’s getting rejected this 20day here but if it reclaims, it could go, one of the hottest sectors.
  • I’m gonna show you just one simple swing trading method, there’s no reason you can’t double your account year in year out with just this method. Eg, Z, you have a big move, then you start seeing this consolidating, finds support on these MAs, usually it’s the 10/20/50day, this is a bit slower one lately, found support on the 50day, built hls, went to new highs, pulled back, put in a tight range, this is what I saw on Thur, I bought it right here 68s, hasn’t had any follow through yet but this thing could easily go to 80. So you can sell half after 3-5days, then you move your stop to b/e, and use the 10day as your trailing stop, if it closes below the 10day, you sell it.
  • TDOC, so again big big move, a momo leader, finds support on this 20/50day, keeps surfing these MAs, last time it pulled back, found support on the 20day, built hls then it broke higher on earnings. I bought it 225.80s, usually I use lods as my stop, but since this thing gapped down, opened below previous day lows, I used g/r as my stop.
  • DDOG, I was already in but this is a 5* setup, had a big big move, was a big earnings winner but let’s just ignore fundamentals all you need to focus on is the strongest stocks, big move surfs the 10day, did undercut it but reclaimed, starts building hls, then you have a tight range and starts breaking out on higher volume, you can just use the 10day. It’s not gonna be perfect, you’re not gonna nail any tops or bottoms, but you’d have sold half here [5days] and the other half here [10daybreakclose].
  • The strongest stocks find support on the 10day, the strong ones the 20day and the slower ones on the 50day, generally.
  • TSLA, there is a lot of good setups on this one, there was a more subtle setup here, it happened to close weak but never took out lods so you wouldn’t have gotten stopped out. Look what would have happened if you’d have used the close below the 10day, for at least like 1/3 or maybe even 1/2 of your position, bc look at the move this did without closing below the 10day, here it gapped down but closed above so you wouldn’t have gotten stopped out until this day here, you would have caught a 150%+ move. This is the logic behind trailing with the 10day, these homeruns, you catch a few of these, you’re gonna make a lot of money. And this is what’s great about swingtrading vs daytrading, you don’t have to sit there and scalp for stupid small moves, sit around your entry, constantly looking for new trades new action, you can just sit here and have patience, obv it’s easier said than done, but there is a logic behind all these things bc they work.
  • APT, this was more of an anticipation, this is another type of setup, but let’s focus on here a secondary entry where I added, this is a 5* setup, big move off the lows, pulls back, goes sideways, finds support on the rising 20day, puts in narrow candles then breaks out on high volume.
  • SRNE, I bought it here, this is like the hottest sector is a corona stock, had a big move, found support on the rising 20day, started breaking out, and look at the move, unfortunately I got shaken out here at $6, didn’t follow my rules. Then I rebought on Thur, and on Fri it made a huge move.
  • W, another one, I bought it here, this was one of the stocks with the biggest rs in the early/mid july pullback we had in the markets, it barely pulled back, it was back at aths in no time, and this thing is up 900% from the lows. You have a stock that’s up 900% in a few months, and the market weakness can’t bring it down, this stock is trying to tell you something, it’s yelling at you, it’s literally yelling in our faces ‘hey I want to to higher, if the market weakness stops I’m gonna go higher’. We bought it orhs and now look at this, I’ve been selling tiny pieces every single day, I’m using the 10day as my trailing stop.
  • BILI another, riding the 10day, had one narrow range candle then it broke out here. I got stopped out, then I got back in friday, pulled back found support on the rising 50day, put in narrow candles, built hls and boom breakout on higher volume. This one I bought after the stream ended a couple of hours into the trading session. Now look at this, leaders lead.
  • CODX, this one I chased the chase, I got shaken out I had a little bit too tight of a stop, it actually found support on the rising 50day, this thing always finds support on the 50day, keeps surfing the 50day. These are the only technical indicators you need, the 10/20/50day, you don’t even need to look at intraday charts, this is all you need, f*ck level 2, f*ck intraday charts, it’s all noise. Then I rebought on this day, when it started rebreaking, bc if you have a tight range and it keeps surfing higher higher, eventually stocks break either way, and you gotta buy them when they go.
  • A hot sector is when several stocks in a sector, like let’s say corona stocks, there’s so many stocks that have gone up 500/1000% in the past 3/4months, that’s a hot sector. When you see a good setup on a stock in that sector, you know there’s a good chance it will follow through. Versus buying some stock in a random sector where nothing is running, that’s kinda sketchy why is this one stock running in the whole sector, you wanna be in the sectors where a lot of stocks are making big moves or breaking higher, that’s what I mean by a hot sector.
  • Position sizing is another thing, if you have less than 100k I would say you can put all your money in 4 stocks, or up to 25% of your account in any one stock. If you have a bigger account let’s say 100k to a couple of million, maybe you should but in maybe less than 20% in any one stock, if you have more than a few million you should probably do less. I personally do smaller positions these days unless I have really high conviction and the stock is liquid, but it depends. So if you’re gonna be fully invested you shouldn’t have more than 4-5 stocks in your portfolio. And you shouldn’t use margin if you have a small account, there’s no need, you’re just gonna mess up and blow up.


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