218 [Finally getting some fear back in the markets! Oct 28, 2020]

  • TUP, what a report, we saw an enormous beat last Q [29/7/2020] on both eps and rev and huge vol, 43M shares, and today would be a continuation ep, I don’t know if it would be a good buy here, how much these numbers are already baked in, this thing is up 1600% from the lows, but holy sh*t those numbers, the beat, big numbers.
  • I’m more bullish than bearish on this gap down, SPYs are right on the rising 100day that’s where we found support the last time, and QQQs still holding a hl from two sessions ago, and a lot of stocks they’re barely down, a lot of the leading names.
  • The best time to buy stocks usually is when we come off a 10/20% correction. This correction, I want this thing to become worse so we can get some great buying opps.
  • FSLR not super excited about since it faded so far since the AH session, but gonna do some. Bought some orhs. Stopped out starter, took a 70k loss. Took out hod again, had to rebuy, 30kshares. If you look at the vol, this is gonna be the highest vol day in many many years probably, it’s already above the daily avg vol 17mins out of open, this thing is easily gonna trade 10Mshares, prob more. Yeah earnings was really really good, enormous beat, big guidance. Strong now, undercut vwap now it looks like it wants to take out hods. Stopped out again, what a pos, 215k loss, 50c slippage. If it goes back to orhs no I wouldn’t bc I would have to use like an 8% stop, that’s way too wide, the key to this game is tight stops not wide stops.
  • TSLA showing some weakness, short some. May add another 8kshares if it takes out lods. Added more to TSLA, made a vwap fail here. Stopped out of add, looks like it’s reclaiming vwap here. Just added back [vwap fail] so now short 20kshares again. Stopped out again on vwap reclaim. Back in for the 3rd time [vwap fail], so now back in 20kshares again.
  • UVXY bought some orhs, just in case. Damn, guess I should have bought more, only bought 50kshares, 21.59 avg, chased it a little bit, wanted to buy orhs. It’s more like in case the markets really tank, this thing could go to 30/35 or something, you never know.
  • SHOP, I bought some yesterday, it reclaimed the 20day, looked really good, today stopped me out. SE too, looked so good, that’s what I’m telling you, these types of markets are the worst, the best markets go either straight up or straight down, bc there’s no doubt, these types of markets of the past weeks are the worst, bc you get these mixed signals, you get strength you get weakness, you get lured into these setups then they don’t work.
  • Some of you in the chat are gonna be worth tens of millions more 5/10years from now, but most of you won’t be trading a few years from now, I’m 100% certain, but a few of you will make it really big, and a bunch of you will have some decent success. Not putting in the appropriate work, not taking time to study what really works in the markets, and most people just don’t have the mentality for it, they want action all the time, they don’t have patience, there’s many reasons for why people fail in trading.
  • Patience to wait for the correct setups, patience to wait for the correct market conditions, and patience once you’re in the trade to wait for the trade to play out. There’s many types of patience, you need to be constantly patient. The problem is that trading rn is people who are used to getting instant rewards, but that’s just not how it works. (patience with not blocking David).
  • If you’re a trader, anything less than 100% per year is sh*tty, if you’re a long short trader doesn’t matter, bullmarket is the best but you can make a lot of money in declining markets too, especially if you’re a daytrader.
  • EP scan, but easiest way to find them is not after the open, it’s in premarket and afterhours, things that are gapping up on volume, AH and PM, that’s when you find them, and then you’re ready when the market opens. You can buy PM or AH but I haven’t had a lot of success buying PM and AH, I think the best thing you can do is buy orhs as it starts going up from the open.
  • On EPs, gap ups are great, 10/20% you want a gap up, you want an ep to gap up, that shows strength, shows there’s demand. The whole point with an ep is something that gaps up on news, on a big surprise, doesn’t matter if it’s guidance or earnings or biotech or FDA related or some kind of government macro stuff or whatever, the whole point is gap up on news and a surprise, it should be a surprise. The most important thing is the guidance, the current beat and the guidance is very important, bc a stock could report really good numbers and have a big beat and everything, but if the guidance is crap there is no reason for the stock to go up. the best ones have a big beat and also have a beat of guidance, surprisingly big guidance, those are the best ones.
  • I would never buy right out of the gate, I would wait for 1min at least so you have some kinda range to play against, bc if you buy something right out of the gate and it goes straight down, where’s your stop? It’s better to let the stock prove itself.
  • If you want to be a successful trader, get used to getting stopped out. No matter what timeframe you use you’re gonna get stopped out. I’ve seen people always try to tweak things bc they think they’re gonna get stopped out less, but that’s not how it works, you should embrace taking losses, taking a good loss is the best thing you can do.
  • You’re dreaming of the setups, exactly that’s what you should do, you close your eyes and you see setups, that means you’re on the right path. It has to become second nature, once you see a good setup you don’t hesitate, you just click buy, short, sell, whatever, there should be no second guessing, that’s the point you want to get to.


  • Most important mentor for me? I’ve had a lot, but either Dan Shapiro or Pradeep.
  • I’m the wickman.

#earnings #ep

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