Shewww…what a day. I did some very good things and some very stupid things. I absolutely nailed RTNB which saved my day and turned it green, but before that I totally botched MOMO, and had a small loser on SNAP as well. RTNB I want to save the discussion on this one and talk about it live. I’m happy to announce that I’ll be starting webinars soon with Alex, and our first one is slated for September 6th, so looking forward to that.
SNAP: This one was a pain in the ass today. I was shorting pre & out of open again looking for similar trade to yesterday, and got stopped out on that 10:26 rip candle, then one tiny scalp, didn’t feel good, and then I never went back. It was pretty obvious to avoid after that. If you watched the tape yesterday versus today, there was a blatantly obvious change in the undertone, they just weren’t selling today. Hence the giant mess of a chart that ensued. Reality here is nothing’s changed fundamentally…they’re just taking advantage of the fact everyone on planet has short bias. If you notice it floats up every day after hours and pre it feels like, they take advantage of the low liquidity when it’s easier to push it up and put even more pressure on shorts to cover. Today they took it to a new level, naaasty AH ramp & even more just got twisted for tomorrow. It’s on watch every day, but cautiously right now. I attacked yesterday heavy because the tape said to. Today, it was complete opposite. It’s a day-to-day trade here right now while the games are still going on. No prediction for tomorrows move until I can see the open action.
That’s all I did with it today. Small loss. No problem & moved on. Tomorrow is a new day.
MOMO: Ugh…not even going to show you that chart, I don’t want to scare you away lol, it was ugly. Tried the dip buy 3 or 4 times, failed miserably on them all. This is just what MOMO does, I KNEW this is what it does (it does what it’s not supposed to, constantly), and I still got dragged in. Shame on me, deserved it, and took a nice loss here. Just amazing refresh seller ALL day. They had good analyst notes out, which ended up being total liquidity trap. They had good #s, good Daily Active User growth which is usually the driver on names like this, but man. Bloodbath, all day. This WILL have a meaningful bounce, and it will come as soon as you stop looking at it, as it always does. I rarely trade this name well. Probably avoid tomorrow, but if weak open & ramp back, can go. That’s the main thing with MOMO, it usually picks a direction and just goes way further than you think, both ways. Reversals get pretty gnarly too. So keep that in mind this week if you nail an entry and get a good average, let this thing work. Pays well when you’re on right side w/ patience.
RTNB: Total destruction here this afternoon, and rightfully so. I’m not going to discuss smallcap fundamentals in these scans, as that is my edge in the market, it’s what I do best, and I’m not going to pour it out to the universe. However I will say total turd here. It may get jumpy when the volume slows down and there’s still lots of shorts to cover, but end game here is terrible. I’ll be watching all meaningful pops to reshort in coming days.
ZN: I love this company lol. One of their latest PRs was actually about them calling upon their God to find them oil. I’m not kidding. Look, not only is it real, it’s directly off their company website…gotta love it. So this company is just wonderful, as you can tell. Total zero, higher the better tomorrow, and I’ll be eyeing for a short. A push towards 4 would be great.
HMNY: Oink oink. Nice pushes last few days, mostly covers from people who loaded on the Netflix movie theater nonsense on the day it pushed towards 4 is my guess. Kind of same deal as ZN here for me, higher the better tomorrow, maybe we get some chat rooms to buy it, and then eyeing a short. Again, push towards 4 would be great.
If you’re not an IU member and would like to become one, there’s still a sale going on here. Or if you’d prefer a shorter time commitment to see if you like it, you can go monthly as well here. Shoot me a PM anytime in chat (DGTrading101 is my IU handle) and I’m happy to discuss trade ideas with you.
See you out there!
– D
shout out to Dante, welcome welcome 🙂