First off Happy Father's Day to all the Dad's out there !!
What an intense week!
This is the opportunity we as traders have been prepared for our entire career. Anyone educated over the last year is leaps and bounds above the new traders coming on and thus we have an insane edge that we need to APPLY
The hard part is taking ONE step back and waiting for things to exhaust out. What normally happens is NOT happening but when it does it's MAJOR.
BYFC is an example of that - stuff we've never seen before but the sooner you can realize an algo is in there and soaking like we did in the room Friday the sooner you can BEHAVE and NOT pre exhaust and wait for the home run trade. Commentary was insane on this one Friday I would suggest going back and reviewing commentary and warnings and KEY levels written. As we discussed in the Trader's Lounge - how many LESS head aches were there if you waited for key levels?
WHAT I AM SEEING: I am still seeing many fight trend despite warnings ie: ENPH etc. If you can't see the levels draw them and sit on your hands until they confirm!
- SCAN vs. PRE MARKET
- COHN UONE CARV etc.
- Reset & Wire
- Take Care of Your People
- Importance of giving back a DAY or TWO MAX
- Cut ties with non working - no sizing!
🔥 CHALLENGE 🔥
Every RT I'll donate $1 to @Traders4ACause up to $1,000
Every trader who commits by Tuesday to 4️⃣ IN HOME Zoom workouts in a row w/ Zach 💯 FREE
I will donate $250 to T4AC up to $10,000 💰
— Nathan Michaud (@InvestorsLive) June 21, 2020
Video Scan and Game Plan
BYFC was a Juneteenth play pretty amazing how well these all traded. The thing about these are - they trade at their NAV so to come in and do what they did is purely a large player soaking it up creating a trap which creates their exit and it'll go back to where it came from, seems easy right? Not quite. You have to stay safe until the algo is done and exhaustion is complete, then yes, much easier. This one was AMAZING and could trade any size you wanted. Hopefully we get a gap up tomorrow but super unlikely. Don't underestimate how far this fades back to where it came from.
FMCI has been a nice trader the last few days off strength if you look at resistance and support you'll see its stuck between. I have been trading it daily and will continue to do so until trend fails. Thurs and Friday worked but sized in anticipating the flush but had to size back out since it held.
UONE I am short some over -- UONEK I'll be looking to short any good pops even if it gaps down. Wild squeeze -- this one can raise UONE cannot but as you saw insiders registered to sell last week. They're not stupid they know this move was stupid lol.
AHPI APT swinging since I said on Thursday -- sold some into the big gaps and then re bought dips on trend Friday. Letting it work thinking AHPI could fuel a lot further than most think. Looking to let it work as long as trend keeps building if it fails I will not over hold. Same thing with APT LAKE etc.
Failed Follow Through:
BBGI had a small dabble short on Friday worked out alright -- will be looking LEFT on pops in the AM and looking to trade any failed follow through momentum.
SHLL morning shove is best and fade back. Crazy thin pre market and then they sold it down all day. Ideally $15 + then fade back to $13. These SPAC's have been wild - do not fight if firms up over $14 mid morning.
ENPH nothing to think it HAS to pull back - but waiting for trend to crack to be patient w/ the trade. I'd love to see morning shove and re-test Friday resistance to START in then scale if I am right breaking Friday's support.
AEMD morning shove and then looking for sub $2.50s - this should not be here. A newsletter pumped it pre market Thursday it got a ton of volume and likely caught many on the wrong side as soon as the emotion fades off trend will take over in my opinion back down. Key is not to lose it off radar while everyone is watching other things.
GRPN higher better for back side unwind.
IDEX note those wicks we talk about all the time? I had noticed then sub $1.25 and had a big plan to load up but only got a piece of it on the move - so traded past 2 days on dips and held some over it's gapping AHs - thinking this could surprise many and squeeze out and then ultimate as you know -- they all end the same way 🙂 So, after blow off squeeze I'd be looking to fade the trend - more in chat.
CLDX still going - guess I sold that swing too soon eh? Watch dips if it starts to soak up $13.50s for $14-15 + could be an okay trade but mainly staying familiar and looking for edge.
OBCI nice break out on daily - have small from dip buys Friday when it hit scanner.
MREO this chart has been working really well I sold 1/2 of the big picture swing idea I took early on Friday in the room into the huge move midday - riding rest until it stops working.
CBAY I never forget things - huge exchange at $4.20s the first time it ran with nearly 100 mil vol - so dips vs $3.80 for me thinking if $4.20 firms up we may have a nice swing long here.
YCBD nice scoops on dips Friday - closed well. Same chart / thesis as MREO
BMRA if any PRs etc this is set up well for $7 + have small starter.
The rest I will set price alerts for - staying familiar = edge when the trade comes. You're already ready for it.