QQQ
Gapped up again and is attempting to break out of this 3-4 month base.
All moving averages are aligned. 10 > 20 > 50.
10, 20, and 50ma are sloping UP.
If the QQQ breaks out and goes on a run, we will be entering a really good period for swing trading. Federal interest rate decision kept rates unchanged.
My current risk given the market environment: Full Size
What I did today
Got hit on new gappers today. Entered more space stocks, took profit in LUNR.
Risk per trade notes — Got a bit too aggressive on gappers today and paid the price in them. My risk on each is 1%, however, I may reduce my risk to normal size which is 0.5% in a good environment, and 0.25% during a choppy market. My losses in gappers usually take me two steps back in progress. I’ll be making these adjustments starting tomorrow.
NXT reported record earnings and broke out of a 4 month base. Was a buyer as it was pulling back and got stopped out. My mistake in this stock is that it is not in theme, nor is a neglected stock to take it long.
PDYN with robotics picking up in theme, I was very interested in PDYN. I bought it after it looked like it was going to reclaim vwap, and got stopped out. One thing I should have looked at is all the supply on the left hand side. I was thinking it could have a good break out today, however, the best stocks that end up being great EPs will gap up above a big base.
ONDS similar story as PDYN. Tried it a few times actually and paid the price for it. The number 1 lesson on this one is that it is not neglected so should have been a no trade.
PL missed it yesterday and decided to get involved today as it reclaimed the range. Stops in at $27.
ASTS gapped up and bought it as it was breaking a small flag intraday. Almost shook me out intraday, but luckily did not get stopped out.
LUNR took my first partial and will be trailing the rest.
Prints:
Equity + Holdings:
Even though I took some big losses today, my trailing positions have been outperforming and ended up green on the day. Letting my winners run is what I need to continue to do as it will significantly offset the losses. If I had reduced my gapper trades from 1% to 0.5% from the start of the year, I would be up even more. The 1% risk per trade will be used in certain situations where the stars align on a particular stock with good news, good chart, and volume. Outside of that a standard 0.5% is good enough.