This weekend is going to be a busy weekend … my buddy Ty’s bachelor party ….. and then back mid Sunday ….
SO send in the questions I’ll read ’em Sunday and prep for the night …..
We do have a lot to talk about – lots has happened the past week … chat room has been incredibly hot … and I decided to take my hot streak and start pressing like an idiot (which is what I do like at a casino …. sometimes you smash … other times you just give back some profits).
While I’m not happy about some of my losses – fact is it goes to show you this … FOUR TRADES can ruin you …. why? Not paying attention to stops, plans … I stated what my plan was and where I was going to stop – then told chat I let my loss ride … DON’T DO IT if you can’t afford etc .. guess what I did? …… ate shit! wasn’t fun … ruined my entire week in one trade. If I had just stopped … I’d be up huge still.
Here’s the thing though .. every other trade and alert was unreal, hot .. profitable … and easy – one trade… one trade is all it takes sometimes it’s best to just throw your ‘bias’ out and take the loss regardless. Now that ruined my ‘confidence’ I had built up with trading size … and I go back as I always do .. grind grind grind … slowly widening stop losses and trade size.
The market has also shifted a bit since we last had a seminar – it’s not all low floaters – volume is dying off on many of these trade set ups causing us to miss them ….
Recent plays, thoughts, questions, comments?
What are you having a hard time with?
I will also discuss my plans for the ‘new’ features after vacation and get feedback and thoughts – I had mentioned about pricing increases and taking out the trial – No, NOTHING changes for current members as long as you’re a member before the deadline. As I wrote, we have a solid crew I don’t need 500 people like the noise we had yesterday when I was away … I’d rather have a higher fee to entry and a more solid chat forum – we have the team.
Have a great weekend and let’s get focused for Sunday night!
Hi Nate,
Question re: GWBU. I put in an order at ask price when alerted in chat. I got a bad partial fill of 200 @ .43–I stuck with my rules and did not chase. As it turns out, it would have been a good one to chase but… stuck to rules-wait for next one. Was there anything you saw when this was alerted that would have made you chase for a cent or two? Thanks.
Some tips on reading L2…specifically, shorts? Tips on reading L2 and tape for shorting going on
TIA
Re: SEFE, SNPK and other similar pumps. I think you said some time before that promoter has a total control over the stock price. Could you clarify why for example the morning panic is pulling the price down then? Is it because that is what the promoter wants or because it is too much selling pressure which he can’t withstand which would mean that he doesn’t have total control over the stock? Thanks.
Can you go over ABCD pattern in detail? With all the possible ways to play it(buy the breakout, ss the eod fade) and with recent up to date examples like SHLD and others that occurred this week.
Risk/Reward – how you determine on any given play.
Seems I would like at least a 3:1 on reward to Risk. Meaning if I am risking 10 cents I’d like a 30 cent upside. That has been my goal, but I am taking profits too soon on most trades and losses too late. Giving me basically scratch in the end.
Question: HOw Best to apply strategies to an account that can only buy stocks that are bullish? i have a cash account no margin hence if the price doesnt go up then i crash , if i put stop loss in i suffer then i am left with a ton od dead money for 4 days until its cleared what so you suggest? My broker-TradeKing only offer margin if you are working and currently i dont want to be working for anyone to get a margin account
I am now trading for a living. I have multiple trading accounts and plan to use an accountant for taxes. I already have an LLC. What do you recommend as a setup, LLC, S Corp, C Corp, Inc? What is better for tax purposes? I know you are setup optimally with your Trading Co. Additionally, because I am using so many brokers, I worry about data preparation. Do you recommend any software for taxes? I have every intention of using an accountant but I will need to have everything neat and organized and doing thousands upon thousands of trades per year with multiple brokers using various formats will likely cause issues for my accountant.
I would recommend a CPA for these types of questions. Everyones situation is different and they’ll be able to give you the best advice regarding this.
Brokers make it very simple now, they give you a 1099, and a P and L …. that’s all you really need.
Nate, can you explain your thought process on your short trades that are “tweeners”? when the stock is not quite parabolic and it hasn’t really shown sideways price failure yet. VHC on thursday at 29.30 is a good example of this i think, unless you saw something else i didnt. it kind of a made marginal new high. how do you manage your risk on these?
i know you like to start in and add on the parabolic but what if it just keeps grinding higher, how do you plan to take it off for a loss??
If the stock has formed a down trend is it smart to even play the small pops that it gives on the way down? or is it just best to stay away from those? Meaning the little up hills it creates on the way down.
Can you go over the PLX short trade you took on Wednesday? Company received FDA approval and stock gapped up maybe 20-30%. You shorted it right outta the open. Can you explain why you were short biased (do you consider every FDA approval play a short, or was there something about the way it was trading after hours/pre market that made you short biased) and why you took the short right out of the open?
VHC on Friday, you write in scan “tomorrow don’t underestimate this thing always is stronger than you think … can get towards $30-31s tomorrow – if it test $30 I’d watch for parabolic and then prob settles around $30s”. Um, that’s pretty much what happened. How the heck did you predict that?