Trading Is Risky But Simple

My name @DaChopa comes from being chopped out so badly for many years by the markets. I just share my experience real time to save sheep from being taken to the slaughter house.Do not copy my trade alerts.Just watch me trade live and understand the concept. Play small if you are new, very very small just to be in the game long enough to learn it. The only way to learn it is to stay in the gladiator arena long enough.You are entering a losing game before you plan to have any steady profits.

Tuesday, May 12, 2015

UGAZ PTBI AOL

The biggest faith today I have in AOL fade since it has just too large gains from 3 days ago. It had nice strong momentum after the open, RSI divergence confirmation for expected weakness and if works out it may be a home run. Home run definition for me is when the gains are much larger the just 1:2 risk :reward. It is very hard to guess when that may happen but , I look at it this way: the thinner the glass floor is, the better the odds for a home run. I have not established a rule written in stone when to hold for a home run, except the factor if something being well overextended and having enough longs who will be taking profits and enough longs chasers who may protect their accounts from buying the tops.

AOL the short 50.55

AOL eod day cover at break even

The emotional feelings when trading this contrarian strategy is just too high, specially when I need to re-enter a position that already has lost once twice or more. I know it is due for a drop, I see it, but it is so hard to push the short button after several unsuccessful attempts. The funny thing is : it is much easier to push the short button out of boredom, like I did on PTBI the first time today , betting on over /under PDH ( prev day high ) 9.80 without any shift in momentum and without any clear RSI divergence. But I did and lost which made my second attempt to short way much more difficult daubing if it really will drop, if I will lose once again today.

PTBI the first short o/u PDH 9.80

PTBI stopped 10.03 from 9.73 short 30 c loss

PTBI the second try short 9.92 ( I was doubting a lot)

PTBI lack of discipline to cover at target when reached
( was busy writing this, ....yeah right just an excuse LOL)

PTBI went much lower but it was a roller coaster

Similar boredom trade with UGAZ, On daily, it has a first day total 180 degree reversal ( when daily red candle is negated with trading above PDH on the next day ) , I mean cmoon', if I make money on it today is pure luck. In addition the daily range is just a regular ATR not much of big over-extension, and very difficult to have a nice easy move of few cents to make money after spread of 1 c and commissions..But at least is very liquid

UGAZ short 2.72

UGAZ it did it LOD break wash to cover half of it

Since Im already in this trade , I wander of PDH will hold , ..if it doesn't may have nice drop to continue its daily downtrend

Monday, May 11, 2015

JMEI CSIQ

JMEI
Sold short 25.50. Stop loss upper horizontal line 25.80 risking 30 cents to gain 80 cents, which is pretty possible considering the daily over-extension and the "walk on the glass floor"

JMEI
Planning on how to lose and how much to lose is the number one thing when trading, IMO. My plan here is to stop out and take a minimal lose if breaks NHOD. Then if comes back down below my original entry point 25.50 I may re-enter. It is well overextended on daily so I do not expect to have too much choppiness if it turns back to the original short entry price of 25.50

JMEI
The original stop is no more my risk tolerance. Now the risk is much tighter. The idea is to lose as least as possible or break even till I nail the winners that will pay off for all the small losses, commissions and slippage.

JMEI
locking some gains and paying yourself is never a bad idea although it may be all day fade.

JMEI EOD

By having predetermined risk , it was easy to get out at br even on the rest of the position, and still keep some gains

CSIQ

Risk was 25 cents and first target 50 cents but took only 35 cents. This was not 100% by the rule , but weaknes was kinda obvious at brake of the trend line after being so overextended for couple of days

CSIQ short 39.70 risk was 39.95 cover 39.35

Thursday, May 7, 2015

Just an OK Green day HA ZEN DUST GEVA PLCE

After strong move up from the open gave nice entry short into prev intraday resistances , even-though was not overextended stock on daily chart. I was surprised it even reached target at risk reward 1:2. Then I re-shorted again but took a loss on the second try.

HA the re-short at a loss

The second time short was for a loss smaller then the first gain. Still wish I didn't do the re-short since there was no daily over-extension and comes from nice base. Getting lucky once is more then enough when stock is uptreding from consolidation.
To note : stopping out saved me from much bigger loss so I consider it was well executed trade with discipline and good risk management.

HA third try short
I tried again short and I got our almost br even just 4 cents gain, and did not re-enter as I normally like to do.

HA third short br even
Sure enough made the target per plan but without me.Must focus on re-entries

HA reaching the target per plan

ZEN ss 22.31
This has some big moves and looks like has some major weakness on daily chart, some troubled news I guess , so I used the intraday strong up move to short into it. I may look for a home run on this since it seems may have lot of room to go lower .But will lock in same gains at targets 1:2 risk or better.

ZEN short 22.31

ZEN targets are marked per intraday supports .Normally works fine but not always
Damn thing just spiked up .Stopped at break even.

ZEN after this spike my stop is just above the entry

This was a perfect entry waited long time to set up

Second try on ZEN was much better. Being br even when wrong and a winner when you are right is not bad. at all ... burning commissions is worth it, although the gain is not too large. But all we can do is to try to do the best of what is given to us. I did not tweet this becuase it is not too liquid and sometime I'm afraid if I do somebody may go against me just to stop me out ..What do I know ...

DUST
I am thinking for a bigger drop on this one, since it has daily over-extension but covered it all just because I wanna be done for today.Its way too nice outside and soon will be again 120F so why not enjoy now. (no I did not go out BTW )

DUST short 14.71

DUST cover 14.49

DUST little later in the day kept moving lower
GEVA
Had break even try, but I was veeery patient to get the entry. I know they have a great news buy out or so , but regardless stocks always make pull backs and this is why I am here , to find them and make few bucks.

GEVA Br Even
PLCE
Got the right short entry, dropped , and covered with small loss less then my original planned stop since did not reach target and moved back up.

PLCE

Wednesday, May 6, 2015

Green day PGN DUST AAWW ELNK losers UVXY HILL EL RDC

Four losers and four winners still green day.
I do not have to be right more then 50% to be profitable as long as R:R is favorable.

UVXY
Same set up as the trades from yesterday. I really like these large cap indexes and stocks when they get out of balance since they have great liquidity and can not be pushed easily by individuals.Was a smooth trade with great risk reward accomplished

UVXY

DUST
Similar like UVXY large cap easy to get in and out with size , I do not get too much of instant momentum like small cap stock, but I like how it moves in very predictable manor and risk control is quite all right to handle ( getting in n out )> It almost stopped me out at HOD , but using a very simple technique of 5 min candle confirmation helped me to stay in. 5 min confirmation didnt happen . it did not close above HOD so I stayed short , and later in the day I covered with loss 13.93
To note the daily was not overextended , plus had a trend break out , but I wanted to try it.

DUST

PGN
This was a unsuccessful long , tell me something new all right .

PGN the long loser
AAWW
Shorted this against PDH that lined up perfectly with triple tops today same as PDH including the RSI div. Risk was HOD of course same as PDH . SPread was bad 17 cents. Got stopped

AAWW

AAWW stopped on this choppy stock with 17 c spread..usually harder to trade those if u r wrong

HILL
Same thing easy short with patience to set up with confirmation

HILL

HILL covered with small 5 c gain I gave it a chance but didn't reach the target

EL
short 87.80

EL 87.80 short

EL took profit with nice risk reward
ELNK
Short 5.70
It did not reach the target took a smal loss less then original stop loss planned. Should have taken break even but was hard to do it.

ELNK

ELNK loss
RDC
Short 23.15 nailed so quick I didnt have time to tweet it..Nice spread of only 1 c. Since way overextended on daily , kept this short with trailing stop instead of fixed profit target

RDC

RDC
OBSERVATIONS
DYAX

DYAX
NYMX
I tryed to enter short 1.50 but no borrows

NYMX no borrows

Tuesday, May 5, 2015

Great green day even by trading sloppy WPRT GLNG PES TWI AAWW

I will mark this post as SPECIAL READ... MUST READ over and over many times.
Really bad trading WPRT and GLNG
WPRT
Nailed the entry right on, I was in profit and I did not do what I normally do: Get out at break even if haven't taken any profit. Then even worst , chased it short after parabolic drop 4 min in a row.What was I thinking ?!? Is this my first day trading ???? Crap happens. But it happens for a reason. AT least I am not adding to a loser. I know that can save my day but NO THANX done with that addiction long time ago.
I am cool , the good thing is I know what I am doing wrong today. Not taking break even or smaller loss then original stop loss. I always have original stop loss to calculate risk:reward, but I rarely let the stock stop me there, I usually am out if I am wrong much sooner. It cost me yes, but on long term I just make little less money then risking to have emotions rule my trading and blow up an account. It is worth it !

WPRT I mean cmoon' !!! chase like this must be stopped on next tick if wrong !!!!

WPRT rejection of 6.00 double tops with RSI div

WPRT the cover
GLNG
Same as WPRT nailed the entry spot on was in green , and did not exit at at least break even. There is almost always a better entry if I exit br even in this type of overextended stocks. .
Next entry was better and was more disciplined exited break even.

GLNG first entry short was spot on but exit needed to be br even after being in green

GLNG br even stop, but no balls to go long.. it's just me and IMO longing O/E stocks sucks
And this is why I have no balls to go long
Short 3rd time 47.93

GLNG short 3rd time 47.93

GLNG the cover

PES the home runner from 8.61

PES the short entry 8.61

PES trialing stop for a home run

PES the cover

TWI
Did not have time to tweet this , but worked as charm just like PES , with trailing stop
This is how you make rough day into a green day ..Trading ain't for everybody. Need nerves of steel and super strong belief in your strategy which ever it is .