Trading Journal #47
08:35 am: “Futures green to start the week giving a nice follow through to last Friday bounce up. IF long, it’s wise to trim gains and adjust stop to cap profits as we going into big tech earnings week, so manage risk wisely
08:36 am: “Morning focus on gapping up stocks to see if the morning gaps hold OR goes green to red. SPY IWM QQQ main focus as I will not be trading tech stocks prior earnings. Manage risk wisely
Morning Trades: I started the day fading IWM with some nice Put scalp where I locked my gains. I tried to catch the AMD knife but it was too soon, so I took the loss and moved into SPY shorts where I added a big size following the 9:45am spike up and was able to get big cash flow on the fade into 10am. After that, I flipped long into AMD IWM TSLA Calls and locked nice gains on the bounce from morning lows.
Loss review: I took a loss on AMD first entry as it was too soon, but it’s part of trading. On the 2nd AMD entry I was able to get all my money back and way more, so I’m happy.
Key Takeaways: Traders need to stay flexible, open minded, adapt to market conditions and ride the waves market is giving either up or down.
Look Ahead: This is a big tech earnings report week, so I’m staying flexible and open minded, but so far some nice short covering from lows. Manage risk wisely and take profits on the way.